Talks are being held over the future of Gateshead International Stadium after the local authority revealed running the venue over the next 10 years will cost "a minimum" of £12m.
Gateshead Council's cabinet voted on Tuesday to start collaborating with Gateshead College to negotiate a new operating model for the iconic venue.
A review of the stadium was launched while the future of Birtley Swimming Pool and Gateshead Leisure Centre was also being considered. However, the review of the stadium was a separate undertaking and started in February this year.
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Councillors also backed moves to begin a "market testing exercise" to see if private sector cash could help enhance the stadium and its educational and sports prospects.
The stadium has had an illustrious past as a music and sports venue. The sports centre hosted the European Athletic Team Championships three times, most recently in 2013 and the pop group Little Mix in 2018. However, future large sporting events in the venue have been branded "unlikely" in a report into the future of the sports ground.
The report also stated that the costs involved are prohibitive and other more suitable centres for larger events exist in other parts of the country, notably Birmingham. Gateshead Council currently covers 49% of the business rates, which run up to £490,000 a year.
The council report on the site also notes: "Achieving net zero budget by April 1, 2024, may be unachievable, although it may be possible, through consultation and negotiation to significantly reduce the operating budget and retain the current management arrangements."
Leader of Gateshead Council, Martin Gannon said: "Gateshead College is a really strong partner. We have a strong relationship, not least because I sit as a member of the board. They run a whole range of first-class sporting facilities.
"This is about how do we reduce the costs to the council, how do we increase income, and how we get a better, fairer share of the burden of the costs."
