Real Madrid president Florentino Perez believes that soccer is losing ground as the world’s most popular sport — and that a resurrected European Super League could boost its status. 

“To fix a problem, you have to first recognize that you have a problem,” Perez said. “Our sport is sick. It’s losing its leadership as a global sport.” 

Real Madrid — the most valuable soccer team in the world at $5.1 billion, per Forbes — is one of 12 top-flight soccer clubs that announced plans in April 2021 to create the Super League. 

• It was met with public outcry, leading most clubs to distance themselves from the venture. 
• Real Madrid joins Barcelona and Juventus as clubs still in favor of the breakaway league. 
• Perez believes it’ll offer fans “top-level games year-round between the strongest teams.” 

Perez and his allies face an uphill battle. 

The Super League — established under Spanish law — is seeking approval by the European Court of Justice to continue with its plan, which is hampered by a Spanish ruling. 

In April, a Spanish court ruled that UEFA and FIFA could sanction Barcelona, Juventus, and Real Madrid if they followed through with their plans to join.

Still Strong 

Real Madrid reported a profit of $13.2 million for the 2021-22 season, marking the third straight year the club has avoided losses amid the pandemic.

The club posted the results for a season in which it won a record-extending 14th UEFA Champions League trophy and 35th La Liga Championship.

The favorite to take home Formula 1’s Constructors Cup could face an unexpected speed bump.

On Wednesday, the FIA will release its report detailing whether any teams exceeded the $145 million cost cap in 2021. Reports have surfaced that Red Bull is one of two teams to have done so, which the team firmly denied.

• Reports claim that both Red Bull and Aston Martin, owned by Canadian billionaire Lawrence Stroll, both exceeded the cap last year, perhaps by as much as $10 million.
• Surpassing the limit by under 5% — $7.25 million in 2021 — is considered a “minor violation,” and breaches above that line are deemed a “material violation.”
• Penalties could include the loss of points for a driver or constructor for that season, or even suspensions from upcoming races. 

Red Bull’s Max Verstappen narrowly edged out Mercedes’ Lewis Hamilton for first place among drivers last year.

Mercedes team principal Toto Wolff has alluded to a potential breach by Red Bull, spurring a sharp rebuke from his Red Bull counterpart Christian Horner, who has threatened legal action.

Spend Limit

The cost cap was instituted last year, dropped to $140 million this year, and will be $135 million from 2023-2025, reining in a sport where the top competitors regularly spent over $200 million.

The cap is meant to create parity among teams and bring profitability to a sport where many teams view spending as a marketing and research expense for their associated consumer car brands.

The 245-acre site of a proposed $800 million team headquarters for the Carolina Panthers in Rock Hill, South Carolina, is now up for sale after the project fell apart.

Rock Hill Overlook is on the market after the Panthers and team owner David Tepper abandoned their HQ project. Construction was paused in March 2022 when Rock Hill missed a payment toward infrastructure costs. 

• Plans for the failed project included a 5,000-seat stadium and indoor practice center.
• Construction began in 2020 and was scheduled to be completed in 2023.

Tepper’s development arm GT Real Estate then filed for bankruptcy in June after already investing more than $170 million into the now-defunct project. 

York County, where Rock Hill is located, gave $21 million to GT Real Estate for the development and wants to be repaid.

In August, GT Real Estate submitted a plan to the U.S. Bankruptcy Court to repay creditors and resolve all claims. GT Real Estate would put $60.5 million into a trust dedicated to paying back creditors and contractors and also pay York County $21.1 million.

The proposed plan, which must be approved by the court, is slated for a hearing in October. 

Same Move, Different Team

Tepper Sports & Entertainment backed out of a team facility project for its MLS team — Charlotte FC — in July. TSE had a public-private partnership at Charlotte’s Eastland Mall.

OneFootball is looking to expand its women’s soccer audience.

The soccer media company is acquiring Gloria — a soccer startup building a social app that gives fans the ability to discuss their teams and share content — and hiring founder Victoire Cogevina as the vice president of women’s soccer.

“Women’s football is the fastest-growing sport in the world and the most exciting sector in global football,” Cogevina said.

Financial terms of the deal, which is expected to close in November, weren’t disclosed.

• The app, which is still in beta testing, will be integrated into OneFootball, which offers soccer coverage and live soccer matches. 
• Cogevina will help OneFootball look for investments and deals in women’s soccer.

Several of Gloria’s investors, including Reddit co-founder Alexis Ohanian and Muse Capital co-founder Assia Grazioli-Venier, will transfer their investments to OneFootball.

OneFootball — which boasts more than 100 million monthly active users, raised $300 million in April in a round led by Liberty City Ventures.

Popularity Points

UEFA released a report in August estimating the fan base for women’s soccer would grow from 144 million to 328 million in the next decade, and the commercial value of women’s soccer could increase sixfold in the next 10 years to $698 million.

The governing body claimed sponsorship could increase to $300 million per year, media rights could be worth $260 million annually by 2033, and matchday revenue is expected to increase to more than $137 million each year.