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https://www.espn.com/blog/onenacion/post/_/id/710/baseball-academies-thrive-in-the-dominican-republic

According to Rafael Pérez, MLB director of Dominican operations, in the past 10 years 15 academies have been built at an average cost of $4 million each. The more modern and luxurious academies have cost $6 million to $8.5 million, a large sum compared to the $785,000 it cost to build Campo Las Palmas.

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2 minutes ago, Sports Guy said:

https://www.espn.com/blog/onenacion/post/_/id/710/baseball-academies-thrive-in-the-dominican-republic

According to Rafael Pérez, MLB director of Dominican operations, in the past 10 years 15 academies have been built at an average cost of $4 million each. The more modern and luxurious academies have cost $6 million to $8.5 million, a large sum compared to the $785,000 it cost to build Campo Las Palmas.

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"Right now all the teams have moved or are in the process of moving to new facilities. The Dodgers are renovating Campo Las Palmas, Philadelphia and Minnesota are finishing their own academies, and St. Louis will be moving into a new facility built with private investment," Pérez said.

This isn't about taking a step forward, it's about trying to catch up.  Catching up is important of course but the Orioles aren't suddenly a leader in the field.  This sort of thing is a necessary expense at this stage of the game.

Also, as shown by SG's quote, this isn't big money being spent.

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2 minutes ago, Can_of_corn said:

This isn't about taking a step forward, it's about trying to catch up.  Catching up is important of course but the Orioles aren't suddenly a leader in the field.  This sort of thing is a necessary expense at this stage of the game.

Also, as shown by SG's quote, this isn't big money being spent.

I dislike imprecise phrases like “drop in the bucket” or “isn’t big money.”    My old law firm had annual revenues similar to the Orioles, and I guarantee you that we didn’t consider $5-10 mm to be a “drop in the bucket.”    Successful businesses don’t think that way.   

Now, if the point is that the amount spent on the Dominican facility, technology and other “infrastructure” is far less than the drop in payroll over the last 3 years, that is undeniably true.   There’s little question that, putting aside the unusual circumstances of 2020, the team has been way more profitable than it was in 2018 when it ran a $161 mm payroll.    
 

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3 minutes ago, Frobby said:

I dislike imprecise phrases like “drop in the bucket” or “isn’t big money.”    My old law firm had annual revenues similar to the Orioles, and I guarantee you that we didn’t consider $5-10 mm to be a “drop in the bucket.”    Successful businesses don’t think that way.   

Now, if the point is that the amount spent on the Dominican facility, technology and other “infrastructure” is far less than the drop in payroll over the last 3 years, that is undeniably true.   There’s little question that, putting aside the unusual circumstances of 2020, the team has been way more profitable than it was in 2018 when it ran a $161 mm payroll.    
 

OK then, it's Adam Ottavino money.  At most.

 

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11 minutes ago, Frobby said:

I dislike imprecise phrases like “drop in the bucket” or “isn’t big money.”    My old law firm had annual revenues similar to the Orioles, and I guarantee you that we didn’t consider $5-10 mm to be a “drop in the bucket.”    Successful businesses don’t think that way.   

Now, if the point is that the amount spent on the Dominican facility, technology and other “infrastructure” is far less than the drop in payroll over the last 3 years, that is undeniably true.   There’s little question that, putting aside the unusual circumstances of 2020, the team has been way more profitable than it was in 2018 when it ran a $161 mm payroll.    
 

It’s all relative Frobby.  You may not like the phrases but it doesn’t make it less true and the team knows that they will make that money many times over.

If we are taking it within the context of discussing whether the brothers are cheap or not, pointing to them building up the infrastructure isn’t a point in their favor imo.  That is a cheap way, again relatively speaking, of showing you care while not going all the way to show it.  Don’t get me wrong, we should all be ecstatic that they are doing it.  It needed to be done and what Elias has brought in and done on that side of things is tremendous.

Signing Intl FA, signing your picks, etc…that all adds up but those salaries are nothing in the scheme of things and the surplus value is tremendous even if a lot of the money is spent on guys who never do anything.  
 

Again, many teams throughout the sport are doing this.  Many teams are spending on all of these things AND spending on the ML team.  The fact that the Os are finally doing these things just means they are catching up to where they should have been years ago.  

This goes back to my point..they are good with winning if it’s done their way, just like their dad.

They aren’t willing to go the full boat commitment.  That would be doing all of this and significantly increasing the payroll and putting a team on the field that is competitive in this division.  In fact, they are likely on a track that has them DECREASING the payroll in 2022. They may want that to win but only if it means using what we have and sprinkling in waiver wire picks, cheap FAs and rule 5 additions.  This is an ownership group that has prioritized saving money at the ML level.  They have done that at the expense of trades, the fans and the players on the team that deserve to play for a team that is trying.

 

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12 minutes ago, Frobby said:

I dislike imprecise phrases like “drop in the bucket” or “isn’t big money.”    My old law firm had annual revenues similar to the Orioles, and I guarantee you that we didn’t consider $5-10 mm to be a “drop in the bucket.”    Successful businesses don’t think that way.   

Now, if the point is that the amount spent on the Dominican facility, technology and other “infrastructure” is far less than the drop in payroll over the last 3 years, that is undeniably true.   There’s little question that, putting aside the unusual circumstances of 2020, the team has been way more profitable than it was in 2018 when it ran a $161 mm payroll.    
 

And sure, I would think they are making more money with 100M less on the payroll but I’m also sure when they were spending that 161M, that they were still turning a profit.  That shows you how much the team is making.

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2 minutes ago, Sports Guy said:

And sure, I would think they are making more money with 100M less on the payroll but I’m also sure when they were spending that 161M, that they were still turning a profit.  That shows you how much the team is making.

I don't know.  The team does have a history of getting loans....from the owner...to pay the bills.

I'm sure that was because of need and not some accounting trick.

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1 hour ago, Sports Guy said:

https://www.espn.com/blog/onenacion/post/_/id/710/baseball-academies-thrive-in-the-dominican-republic

According to Rafael Pérez, MLB director of Dominican operations, in the past 10 years 15 academies have been built at an average cost of $4 million each. The more modern and luxurious academies have cost $6 million to $8.5 million, a large sum compared to the $785,000 it cost to build Campo Las Palmas.

That's an interesting detail, thanks.  My imagined guess here had been 8-figures, and not necessarily beginning with 1.

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38 minutes ago, Just Regular said:

That's an interesting detail, thanks.  My imagined guess here had been 8-figures, and not necessarily beginning with 1.

Well with material costs up and inflation being what it is, I could see 10ishM now.  I wouldn’t haven’t thought much more than that.  

 Of course, other things are up to, like the National TV contracts, so it’s all relative.

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Just now, Sports Guy said:

Well with material costs up and inflation being what it is, I could see 10ishM now.  I wouldn’t haven’t thought much more than that.  
 

Inflation?  What's the inflation rate down there?

I would think they are using local contractors to do the work.

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4 minutes ago, Can_of_corn said:

Inflation?  What's the inflation rate down there?

I would think they are using local contractors to do the work.

https://www.statista.com/statistics/527466/inflation-rate-in-dominican-republic/
 

I would bet they have some local people doing “dirty work” but have hired people they know and people who built these facilities to run it.

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4 minutes ago, Sports Guy said:

https://www.statista.com/statistics/527466/inflation-rate-in-dominican-republic/
 

I would bet they have some local people doing “dirty work” but have hired people they know and people who built these facilities to run it.

I would think they would hire a local company to handle things.  Would seem more efficient.  I'm sure they have companies experienced in such matters.

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10 minutes ago, Can_of_corn said:

I would think they would hire a local company to handle things.  Would seem more efficient.  I'm sure they have companies experienced in such matters.

It’s anyone’s guess.   We don’t know how this facility compares to those that were being built in 2015 when the article was written.  I think we can estimate $5-10 mm and be confident that’s not far off.   Hopefully the facility will truly be first class and put the O’s in an advantageous position down there for a while.   

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Just now, Camden_yardbird said:

What should really throw Orioles fans into a fit this off season is the Pirates have signed two free agents, and they are arguably a year behind the Orioles in their rebuild.

The Orioles timetable seems...unique.

Can't expect them to act like a big market team like the Pirates or Rays.

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