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Glendale bets on bed tax dollars to cement its status as a premier sports destination

A new three-year, seven-event partnership with TKO Group Holdings brings UFC, WWE, PBR, and Zuffa Boxing to the Valley, and city leaders say the economic benefits will reach beyond the stadium walls.
Glendale bets on bed tax dollars to cement its status as a premier sports destination
Glendale entertainment
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GLENDALE, AZ — Glendale has entered into a three-year partnership with TKO Group Holdings, the parent company of UFC, WWE, PBR, and Zuffa Boxing, securing seven major sporting events for the Valley and reinforcing the city's growing reputation as one of the country's premier sports and entertainment destinations.

The city is funding its role in the partnership through bed tax dollars, fees collected on hotel and short-term lodging stays, with a focused goal of driving hotel occupancy and the economic activity that follows.

"Glendale, Arizona had a great opportunity to enter into a partnership agreement with the Arizona Sports and Events Alliance to bring TKO Sports," said Glendale City Manager Patrick Banger. "Over a three-year period, we will be the host city, using State Farm Stadium and Desert Diamond Arena for the UFC championship fights as well as some of their specialty fights, the PBR bull riding championships, the WWE WrestleMania and Royal Rumble, and then the Zuffa Boxing Championships."

The Arizona Sports & Events Alliance is serving as a key partner in connecting the TKO event portfolio with broader regional sports tourism initiatives. Kyle Hedstrom, executive vice president and CEO of the Alliance, says the impact of these events extends well beyond the venues themselves.

"They're also there for a couple of nights," Hedstrom said. "So they're going out to dinner, they're going to the venues, and the fun and other entertainment activities that are around the space. They're having lunch, breakfast. They're flying, they're renting a car. I mean, the list goes on. So there's a lot of direct benefit to the state and to the city of Glendale."

The partnership is already showing results. The first event, Noche UFC at Desert Diamond Arena, broke records, becoming the highest-grossing single-day event in the arena's history and setting a new record gate for a UFC Fight Night.

Banger says the benefits of the partnership reach every corner of the Glendale community, not just sports fans.

"To fund our police officers and our firemen and parks and rec and our libraries, the majority of that is going to come from sales tax," Banger said. "And so all of these activities are sales tax generating activities. So the more events we can bring in, the more investments in that district we can make."

The city is also undertaking a master planning study for Glendale's entertainment district, with ambitions to develop it into a destination rivaling some of the biggest urban entertainment hubs in the country. With six more TKO events still to come over the next three years, Glendale is betting the best is still ahead.

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