Why People Still Invest In Broadway
In this excerpt from Kevin Surace’s YouTube discussion, he explains the economics of mounting a major Broadway musical, noting that production costs now average about $23 million and the probability of recouping the investment is roughly 1 in 20–30. He outlines why producers continue to fund such high‑risk ventures: a genuine love for Broadway, an acceptance of the high‑risk nature, and the lure of a potential outsized payoff. Surace uses the success of "Hamilton" as a case study, describing how a modest $10,000 investment can generate a perpetual $10,000‑per‑month income, likening the chance of hitting such a hit to buying a lottery ticket. The conversation emphasizes that while most investments lose money, the rare hit can more than compensate for the losses.
