NY’s MSG may be worth 81 pct above share price-Barron’s

* Garden renovation, improved Knicks help company-report

* Taking MSG private could unlock value-report

NEW YORK, April 10 (Reuters) – Madison Square Garden Inc
(MSG.O: Quote, Profile, Research) shares could be worth more than $50 apiece, 81 percent
above where they currently trade, helped by renovations to its
namesake arena and improved performance by the New York Knicks
professional basketball team, Barron’s said in its April 11
edition.

According to the newspaper, the nearly $1 billion, two-year
make-over of the aging Garden arena, home to the Knicks and New
York Rangers hockey team, will considerably improve cash flow
by expanding luxury boxes and concession space, and installing
billboards that display ads based on audience demographics.

The Knicks are also performing better, having made the
National Basketball Association playoffs for the first time in
seven years. As of Sunday morning, the team needed one win in
its final three games to clinch its first winning record in a
decade.

According to Barron’s, close to half of MSG’s revenue and
all of its operating profit in 2010 came from its media unit,
which largely includes the cable networks MSG Networks and MSG
Plus.

Barron’s said some of MSG’s value could be unlocked if the
Dolan family, its controlling shareholder, tries to take the
company private, as some investors expect.

It cautioned, though, that some analysts believe MSG shares
could fall to $20 if the home teams stumble, its entertainment
unit continues to lose money, or NBA players go on strike after
their contract runs out following this season.

MSG shares closed Friday at $27.61 on the Nasdaq.
(Reporting by Jonathan Stempel in New York, editing by Maureen
Bavdek)

NY’s MSG may be worth 81 pct above share price-Barron’s