The 24th annual Breeders’ Cup World Thoroughbred Championships will be held at Monmouth Park Race Track in Oceanport, New Jersey, on October 27, 2007. The event will feature eight championship races with an estimated $20 million in prize money. During the Thursday and Friday preceding the Breeders’ Cup and the Sunday after it, Monmouth Park will hold a racing festival featuring stake races and special events on and off-track. In preparing for this set of events, the New Jersey Sports & Exposition Authority (NJSEA) has asked the State of New Jersey to invest about $25.7 million to renovate Monmouth Park. About $10 million of this capital investment is strictly for the benefit of the Breeders’ Cup: the rest is expected to last beyond the term of the Breeders’ Cup. Nonetheless, none of the investment would not have occurred in the absence of this set of events added to Monmouth Park’s 2007 race card.
In return for the $25.7 million in targeted investment, the state’s economy will obtain about $15.9 million in spending by out-of-state visitors and $7.79 million in operations at the park. The Breeders’ Cup operations will occur during Monmouth Park’s off season and, hence, can be a fully new activity to the State of New Jersey and, therefore, a net gain to its economy. Of course, the $25.7 million in investment itself yields some a net gain to the economy in terms of income to construction workers, as well as manufacturing activity and associated state and local tax revenues. These also can be attributed as economic benefits since were it not for the Breeders’ Cup, this construction and renovation activity would not have occurred in New Jersey.