Radio One Acquires Cox Houston

[JustinT]

BTW it looks like RO will let go of the KROI call. Had wondered if they would exclude it from the sale, as it stood for K Radio One Incorporated.

Well it sure doesn’t stand for K Return On Investment

 

[stan]

I can kind of see 92.1 being bought by a South Asian buyer, which would make it the first full-powered South Asian FM in Houston.

As for 97.1, I can definitely see EMF buying it and turning it into an Air1 simulcast - 103.7 for covering the southern areas of Houston, and 97.1 for covering the northern areas of Houston, like what The Eagle does basically. (I don’t see EMF bringing K-Love to Houston because of how established and dominant KSBJ is.)

The second outcome would be especially disappointing.

 

[Mediafrog+]

Don't know how many immigrants from India live around Houston

Some quick research shows that there are between 150,000 and 200,000 people of South Asian heritage living in Houston metro. Hard to get a more exact number as statistics vary depending on what specific national origin is being included.

Most of the South Asian community is in the southwest quadrant of Houston metro. This is where the aforementioned South Asian programmed translators are located, so excellent matchup.

92.1 would be a great signal for any Asian targeted programming, but I doubt that is going to happen.

but seems like 880 tried Indian-focused programming at one time. Someone spent north of $3 million to get a DFW rimshot in the last auction and run that type of format. If that person is interested in Houston and wants to give it a go, 92.1 and 97.1 are probably his only chances.

The 97.1 rimshot is on the opposite side of the market from the majority of the South Asian community, so not viable for such programming.

All of this assumes the FCC will approve the transactions. People also assumed the SG - Tegna deal would be approved. I didn’t.

That is not just an apples to oranges comparison, but rather apples to alligators. Deal will sail through approval.

What I thought was 'telling' given values today is KROI was purchased in September 2004 for 72.5 million.

For grins I put that number through an inflation calculator. $72.5 million in 2004 is the equivalent of ~$115 million today. Will be interesting to see how much KROI sells for and how much of a haircut RO took.

I’ve said it before and will say it again: Michael Stude was a genius. He sold KRTS right at the peak of the market.

As for 97.1, I can definitely see EMF buying it and turning it into an Air1 simulcast - 103.7 for covering the southern areas of Houston, and 97.1 for covering the northern areas of Houston, like what The Eagle does basically.

I don’t think so, too much coverage overlap between 97.1 and 103.7. One is NNE of Houston while the other is ENE. Completely unlike 106.9/107.5 on opposite sides of the market.

What about KSBJ buying it to restore the northern coverage they lost due to the tower move?

Discussed earlier, they would need to flip the current signals in Livingston and Liberty.

A further consideration: At what point does Hope Media Group make a geographic demarcation between KSBJ and their co-owned national WAY-FM, which are pretty much the same format?

 

[gimmethemoldies]

The second outcome would be especially disappointing.

I’d personally much rather the new owners just keep the classic country format because there is no other station like it in Houston. I’m part of the problem because I hadn’t really listened much to 97.1. Maybe I better start changing that before it’s too late.

 

[Ryan Williams]

What about KSBJ buying it to restore the northern coverage they lost due to the tower move?
EMF doesn't seem to quite have the respect it used to for established CCM markets, see Atlanta

No inside information, but some groups would draw a distinction between an established non-com Christian "competitor" and a commercial one.

In the case of Atlanta, there is only a tiny bit of overlap between the 65 dBu contours of 93.3 The Joy FM and 106.7 FM K-Love.

 

[Ryan Williams]

Some quick research shows that there are between 150,000 and 200,000 people of South Asian heritage living in Houston metro. Hard to get a more exact number as statistics vary depending on what specific national origin is being included.

Most of the South Asian community is in the southwest quadrant of Houston metro. This is where the aforementioned South Asian programmed translators are located, so excellent matchup.

92.1 would be a great signal for any Asian targeted programming, but I doubt that is going to happen.

The 97.1 rimshot is on the opposite side of the market from the majority of the South Asian community, so not viable for such programming.

That is not just an apples to oranges comparison, but rather apples to alligators. Deal will sail through approval.

For grins I put that number through an inflation calculator. $72.5 million in 2004 is the equivalent of ~$115 million today. Will be interesting to see how much KROI sells for and how much of a haircut RO took.

I’ve said it before and will say it again: Michael Stude was a genius. He sold KRTS right at the peak of the market.

I don’t think so, too much coverage overlap between 97.1 and 103.7. One is NNE of Houston while the other is ENE. Completely unlike 106.9/107.5 on opposite sides of the market.

Discussed earlier, they would need to flip the current signals in Livingston and Liberty.

A further consideration: At what point does Hope Media Group make a geographic demarcation between KSBJ and their co-owned national WAY-FM, which are pretty much the same format?

Lots of smart analysis here. Agree there is too much overlap for 97.1 and 103.7 to really make sense as a simulcast.

I also doubt that Audacy or iHeart is very interested in 97.1. It's too much of a rimshot.

 

[Ryan Williams]

I’d personally much rather the new owners just keep the classic country format because there is no other station like it in Houston. I’m part of the problem because I hadn’t really listened much to 97.1. Maybe I better start changing that before it’s too late.

Classic Country does't work by itself very well. It works in some cases as a flanker when paired with a a cluster station that focuses on newer country.

The current format is almost certainly toast.

 

[gr8oldies]

No inside information, but some groups would draw a distinction between an established non-com Christian "competitor" and a commercial one.

In the case of Atlanta, there is only a tiny bit of overlap between the 65 dBu contours of 93.3 The Joy FM and 106.7 FM K-Love.

I was thinking The Fish but yes, they are commercial.

 

[Deleted member 108832]

I can kind of see 92.1 being bought by a South Asian buyer, which would make it the first full-powered South Asian FM in Houston.

As for 97.1, I can definitely see EMF buying it and turning it into an Air1 simulcast - 103.7 for covering the southern areas of Houston, and 97.1 for covering the northern areas of Houston, like what The Eagle does basically. (I don’t see EMF bringing K-Love to Houston because of how established and dominant KSBJ is.)

The issue with this is that there is a ton of overlap between the signals of KHJK and KTHT for an Air 1 simulcast to be worthwhile. If EMF ends up as the new owner, K-Love would most certainly be the programming that ends up on 97.1.

 

[Deleted member 108832]

Classic Country does't work by itself very well. It works in some cases as a flanker when paired with a a cluster station that focuses on newer country.

The current format is almost certainly toast.

Unless, of course, Bryan Broadcasting is the suitor, and pairs it with their soon to be acquired KJCS.

Hey, Mediafrog isn't the only person who has a drum to beat. 😁 I really don't think 97.1 is going to fetch as much as most think, and that 92.1 will likely have the larger price tag attached.

 

[gimmethemoldies]

The issue with this is that there is a ton of overlap between the signals of KHJK and KTHT for an Air 1 simulcast to be worthwhile. If EMF ends up as the new owner, K-Love would most certainly be the programming that ends up on 97.1.

I see, but I’m still not sure about K-Love happening here. They could try, but KSBJ is the fourth most listened to station in Houston, so I doubt it’d work.

 

[Deleted member 108832]

I see, but I’m still not sure about K-Love happening here.

Nor am I, but the popular consensus is that it is only a matter of time for the Space City. The same holds true in DFW, where there's scuttlebutt about Audacy giving up the heritage K-LUV branding to facilitate EMF's arrival in the Metroplex. KLTY, although commercial, is the longstanding Christian Contemporary, with a loyal, and quite dedicated, listener base. Hope is finding that out, with KAWA "Way-FM". There's absolutely nothing wrong with what's being presented on 89.7, but it hasn't made the first real dent in the KLTY holy armor.

 

[MarkW]

K-Love bought 106.7 in the Atlanta metro even though 104.7 The Fish was already well entrenched there.

They bought WRQX in Washington, D.C. even though 91.9 WGTS is well entrenched.

I don't think KSBJ's existence is much of a deterrent so long as 97.1 can be bought at a reasonable price.

I would be very surprised if 97.1 lands in the hands of any entity other than a faith-based Christian broadcaster.

Unless improvements have been made since I last visited the area, I've always found 103.7's signal in Houston proper to be very underwhelming. Same is also true by Bush Intercontinental Airport. It's susceptible to intermod. 97.1 is more reliable, and 92.1 is better than either of them.

I could see EMF buying 97.1, moving K-Love there, and then flipping 103.7 to Air1.

 

[Kent]

Nor am I, but the popular consensus is that it is only a matter of time for the Space City. The same holds true in DFW, where there's scuttlebutt about Audacy giving up the heritage K-LUV branding to facilitate EMF's arrival in the Metroplex. KLTY, although commercial, is the longstanding Christian Contemporary, with a loyal, and quite dedicated, listener base. Hope is finding that out, with KAWA "Way-FM". There's absolutely nothing wrong with what's being presented on 89.7, but it hasn't made the first real dent in the KLTY holy armor.

From everything I've heard over the last week to 10 days, that is no longer in the works. I've heard the new CEO at EMF didn't think DFW was a good fit for the K-Love format.

I haven't listened to Way FM in 20-25 years, but my understanding is that it's more of a Christian CHR and tilts a little younger than KLTY does.

 

[gimmethemoldies]

K-Love bought 106.7 in the Atlanta metro even though 104.7 The Fish was already well entrenched there.

They bought WRQX in Washington, D.C. even though 91.9 WGTS is well entrenched.

I don't think KSBJ's existence is much of a deterrent so long as 97.1 can be bought at a reasonable price.

I would be very surprised if 97.1 lands in the hands of any entity other than a faith-based Christian broadcaster.

Yeah..it seems like the fact that 97.1 is a rimshot signal kind of guarantees that neither iHeart nor Audacy will buy it. And I’m guessing Cumulus isn’t going to want to go back to having a rimshot station after having owned 2 (KFNC and KHJK), right?

 

[Deleted member 108832]

From everything I've heard over the last week to 10 days, that is no longer in the works. I've heard the new CEO at EMF didn't think DFW was a good fit for the K-Love format.

I haven't listened to Way FM in 20-25 years, but my understanding is that it's more of a Christian CHR and tilts a little younger than KLTY does.

I'm not surprised at that, Kent. KLTY, as you aptly stated, tends to stray into the secular world of artists that have crossed over, while Way-FM keeps the programming strictly in the CCM lane. The CEO of EMF is very much on point, and I think he will make the same call with regards to Houston.

 

[MarkW]

One scenario I may have overlooked:
Might Audacy want it? They have room for 1 more FM, correct? If they want an analog FM simulcast partner for 610 KILT, it might make some sense.

Their Buffalo and Memphis divestitures will be closing around the same time any purchase of 97.1 would likely close, so they'll have the cash on hand to make an acquisition. I'd be surprised if 97.1 sells for more than $5 million.

 

[Kent]

One scenario I may have overlooked:
Might Audacy want it? They have room for 1 more FM, correct? If they want an analog FM simulcast partner for 610 KILT, it might make some sense.

Audacy has too much debt. Only way it would be able to make a play for 97.1 would be to trade another station for it.

 

[gimmethemoldies]

One scenario I may have overlooked:
Might Audacy want it? They have room for 1 more FM, correct? If they want an analog FM simulcast partner for 610 KILT, it might make some sense.

I really doubt it. Think about the other FMs Audacy owns. They’re all better signals than 97.1. Also don’t forget the reason why 92.1 and 97.1 are the ones being divested: because they’re the weakest performing signals involved in this deal.

 

[Mrtejano]

I could see EMF buying 97.1, moving K-Love there, and then flipping 103.7 to Air1.

AIR1 already is on 103.7.