Amick : Kings to Anaheim? Follow the money

[Peter_Gibbons]

http://sports.espn.go.com/los-angeles/nba/news/story?id=6270605


A good article detailing the chain of events and some new insights.


"Whether the Maloofs sign a deal with that affiliate (FoxSports) or take another route, sources close to the process say they stand to at least triple and possibly quadruple their earnings from the current contract in Sacramento."

• A population of approximately 3 million in Orange County that not only more than doubles the population in Sacramento County but has significantly more wealth.

• A Honda Center venue that features nearly three times as many luxury suites as Arco Arena (84 compared to 30).

• A corporate base that, according to 2010 U.S. Census Bureau Data, nearly triples that of Sacramento County in terms of private companies (89,527 compared to 28.532).

 

[Jim Les]

I don't know what's the matter with me. It absolutely sickens me that this is going to happen, but I can't stop searching the internet for the newest details in the matter. It's like watching the executioner sharpen the guillotine.

 

[PurpleHaze]

If Sac city council would have got heads out of their rear over past decade and got new arena plan together this never would have happened. Irony is Anaheim City Council charging ahead at lightening speed and only now is Sac City coming out of their collective stupor to flail away in total desperation. Pathetic!

 

[pdxKingsFan]

I don't see anything about real fans. The Anaheim Whatchamacallits would just be another sanitized corprorate backed team with lazy "fans" that come to the arena midway through the game to see their faces on the scoreboard and work their business deals in their suites with some people playing bouncy ball for entertainment in the background.

...but someday if they ever get good though there will be two million people claiming they were always fans and they even rooted for the Kings against the Lakers back in the early 2000s.

 

[Big Cuz 15]

Fargo.

 

[rhythmless]

If Sac city council would have got heads out of their rear over past decade and got new arena plan together this never would have happened. Irony is Anaheim City Council charging ahead at lightening speed and only now is Sac City coming out of their collective stupor to flail away in total desperation. Pathetic!

And that's why we continue to be also rans in California reputation. Sacramento is pathetic and quite fitting of our cowtown hick reputation when compared to what the bay area and southern CA have been able to do. We suck. No two bones about it.

 

[King Baller]

I don't see anything about real fans. The Anaheim Whatchamacallits would just be another sanitized corprorate backed team with lazy "fans" that come to the arena midway through the game to see their faces on the scoreboard and work their business deals in their suites with some people playing bouncy ball for entertainment in the background.

...but someday if they ever get good though there will be two million people claiming they were always fans and they even rooted for the Kings against the Lakers back in the early 2000s.

+1000 Yep!

 

[Section 101]

http://sports.espn.go.com/los-angeles/nba/news/story?id=6270605


A good article detailing the chain of events and some new insights. So if they are making $1 million now on tv contract they could be making $4 million a year. Whooptie do. That doesnt cover an MLE. If they are making the $9.5 like some say now there is no way they are getting 4 times as much. That is more than the lakers. I dont think they would get even double. So under the best scenario its 5-6 million more or a MLE contract. They get $3 million cash every time they make a trade. This will have little impact on the bottom line.


"Whether the Maloofs sign a deal with that affiliate (FoxSports) or take another route, sources close to the process say they stand to at least triple and possibly quadruple their earnings from the current contract in Sacramento."

• A population of approximately 3 million in Orange County that not only more than doubles the population in Sacramento County but has significantly more wealth.

• A Honda Center venue that features nearly three times as many luxury suites as Arco Arena (84 compared to 30).

• A corporate base that, according to 2010 U.S. Census Bureau Data, nearly triples that of Sacramento County in terms of private companies (89,527 compared to 28.532).

I will believe the TV contract when I see it.

Doubles the population of an area that already has 2 sports franchises (Ducks, Angels) and 4 others within 60 miles and potentially 2 more in NFL teams in the future. So realistically the fan base to draw from is smaller than a single team in a smaller market. Same goes for the money, they only have so much to spend. Do they spend on the NBA or other things.

The Maloofs are tenants not managers of the arena, the increased number of suites doesn't mean more money than what they have now over all events.

See above. They still have limited amount of money to spend. Just because they may spend on the NBA doesnt mean they will continue to spend on current areas.

 

[Peter_Gibbons]

I will believe the TV contract when I see it.

Doubles the population of an area that already has 2 sports franchises (Ducks, Angels) and 4 others within 60 miles and potentially 2 more in NFL teams in the future. So realistically the fan base to draw from is smaller than a single team in a smaller market. Same goes for the money, they only have so much to spend. Do they spend on the NBA or other things.

The Maloofs are tenants not managers of the arena, the increased number of suites doesn't mean more money than what they have now over all events.

See above. They still have limited amount of money to spend. Just because they may spend on the NBA doesnt mean they will continue to spend on current areas.

Judging by your logic, the Knicks, NY Giants, NY Rangers, Yankees, Devils, Mets, Islanders, Jets, Nets, etc all should get the small TV deals then because its not much after you divide up the population.

 

[RookieOfTheDay]

Judging by your logic, the Knicks, NY Giants, NY Rangers, Yankees, Devils, Mets, Islanders, Jets, Nets, etc all should get the small TV deals then because its not much after you divide up the population.

A, New York metro is even bigger than L.A. metro, B, there's no third NBA team there!

 

[RookieOfTheDay]

I don't know what's the matter with me. It absolutely sickens me that this is going to happen, but I can't stop searching the internet for the newest details in the matter. It's like watching the executioner sharpen the guillotine.

I can't either. It's because i keep hoping to read that the deal fell through somehow or that something will prevent it from happening.

 

[Section 101]

Judging by your logic, the Knicks, NY Giants, NY Rangers, Yankees, Devils, Mets, Islanders, Jets, Nets, etc all should get the small TV deals then because its not much after you divide up the population.

Look at my post in another thread that outlines the revenues of those teams. One is dominate in each sport the rest dont get squat compared. The Knicks get the most revenue in the league the Nets get the lowest.

 

[origkds]

http://sports.espn.go.com/los-angeles/nba/news/story?id=6270605

• A population of approximately 3 million in Orange County that not only more than doubles the population in Sacramento County but has significantly more wealth.

Don't forget that San Diego County has around 3 million residents and does not have an NBA team. Many of these people live about an hour’s drive from Anaheim. That’s about how long it took me to get to Arco from Jackson and I went to a lot of games.

 

[Section 101]

Don't forget that San Diego County has around 3 million residents and does not have an NBA team. Many of these people live about an hour’s drive from Anaheim. That’s about how long it took me to get to Arco from Jackson and I went to a lot of games.

And most are already Laker fans. All my friends in SD are laker fans.

 

[kennadog]

Supposedly the lease deal says the Maloofs will have no control over the luxury suites at the Honda Center. So strike that extra income. More club seating, but they don't get any revenue except from ticket sales for "Royals" games. The TV deal and potential corporate sponsorships have to be the big deal to the Maloofs at this point.

 

[Section 101]

Supposedly the lease deal says the Maloofs will have no control over the luxury suites at the Honda Center. So strike that extra income. More club seating, but they don't get any revenue except from ticket sales for "Royals" games. The TV deal and potential corporate sponsorships have to be the big deal to the Maloofs at this point.

It's not supposedly.

 

[kennadog]

It's not supposedly.

Well, I couldn't recall for sure, but I thought I read that.

 

[RookieOfTheDay]

• A population of approximately 3 million in Orange County that not only more than doubles the population in Sacramento County but has significantly more wealth.

I guess he's never heard of Placer and El Dorado counties. I guess he also forgot that the 3 million in OC is a meaningless number because a very large chunk of them are Laker fans.

• A Honda Center venue that features nearly three times as many luxury suites as Arco Arena (84 compared to 30).

Which The Maloofs will split the profits from, which will largely cancel out the greater number as far as their bottom line is concerned.

• A corporate base that, according to 2010 U.S. Census Bureau Data, nearly triples that of Sacramento County in terms of private companies (89,527 compared to 28.532).

If that's the case, then I guess all the smaller markets should ship out for greener pastures. Why waste their time languishing away in a nowhere town when they can have it made as a 3rd wheel in a big market?

 

[pdxKingsFan]

Supposedly the lease deal says the Maloofs will have no control over the luxury suites at the Honda Center. So strike that extra income. More club seating, but they don't get any revenue except from ticket sales for "Royals" games. The TV deal and potential corporate sponsorships have to be the big deal to the Maloofs at this point.

I wonder if there is some side deal for Samueli to purchase some Palms debt and be a silent partner. How else does this make sense long term compared to waiting out another year in Sac and seeing if they get something better and if not going to KC or Louisville's vacant arenas where they will be handed the keys?

When I was home a few weeks ago my dad who is not a complete idiot was going on about how Samueli already had his hooks in the Maloofs for 60-100 million, something I've never heard anywhere else.

 

[Geoff]

Doubles the population of an area that already has 2 sports franchises (Ducks, Angels) and 4 others within 60 miles and potentially 2 more in NFL teams in the future. So realistically the fan base to draw from is smaller than a single team in a smaller market. Same goes for the money, they only have so much to spend. Do they spend on the NBA or other things.

Not sure that being a fan of one sport precludes you from being a fan of another sport...I agree that money for games and things can be an issue but the only sport that would be more popular than the NBA is the NFL, and there aren't any NFL teams in the region...

 

[kennadog]

Not sure that being a fan of one sport precludes you from being a fan of another sport...I agree that money for games and things can be an issue but the only sport that would be more popular than the NBA is the NFL, and there aren't any NFL teams in the region...

That will be changing. They may even end up with two NFL teams down there. The rich get richer.

 

[macadocious]

If the NBA allows the Kings to move for what is seemingly only for a better TV deal, this will set up a very very bad precedent.

 

[RookieOfTheDay]

If the NBA allows the Kings to move for what is seemingly only for a better TV deal, this will set up a very very bad precedent.

Exactly. Heck, half the teams in the league could benefit financially from leeching off of a larger market as a 3rd wheel. This Kings move basically says small markets are SCREWED because the grass is greener in the big markets. Once you allow one team to move because of that, why not another and another? you might as well contract half the league and just have three teams in each of the top 5 markets. It may be a slippery slope argument but it's a valid point here.

 

[Jim Les]

The rich get richer.

Exactly. And this is just how the NBA wants it. Create a 3-4 league team, with a bunch of other teams who are just along for the ride. Why share profits and promote parity and fair competition?

 

[PurpleHaze]

If the NBA allows the Kings to move for what is seemingly only for a better TV deal, this will set up a very very bad precedent.

I don't think that would be only reason, if even the primary reason. In case of Seattle, Key Arena was old and falling down like old, crumbling Arco. Sonics ownership tried to get something done about it with King County (Seattle) authorites but was not able to get action so they sold the team to a businessman from Oklahoma City. He simply moved the team with NBA board of governors rubber stamping knowing Key Arena was about to be declared not suitable for NBA games - even though OKC was a much smaller TV market and overall market than Seattle.

Amazing deja vu! Sonics were down and out but on upswing heading into OKC as the Thunder. Now playoff bound and more. Old Seattle Sonics fans now blame their elected officials for blowing it not new OKC ownership. Kings are down but on the upswing and look to have a new name and home soon. Likewise, they seem playoffs bound as early as next season. Sacramento community flailing around looking for scapegoats - when it's obvious who is mostly to blame.

 

[Gary]

Exactly. Heck, half the teams in the league could benefit financially from leeching off of a larger market as a 3rd wheel. This Kings move basically says small markets are SCREWED because the grass is greener in the big markets. Once you allow one team to move because of that, why not another and another? you might as well contract half the league and just have three teams in each of the top 5 markets. It may be a slippery slope argument but it's a valid point here.

yep..

Seriously we should put suburbs between here and SF/Oakland and then call ourselves the "bay area" in order to leech some of their market.

GO WARRIORS!

 

[Jim Les]

In case of Seattle, Key Arena was old and falling down like old, crumbling Arco.

This isn't really a fair statement. Key Arena was completely renovated around 1995. It was essentially a re-build. The arena issues had nothing to do with the arena falling down and crumbling. It just didn't have enough luxury boxes and other amenities to supplement the various revenue streams the NBA now requests (hence the constant references to the buildings small "footprint," which is code for "this building doesn't generate enough secondary means of revenue").

 

[macadocious]

A "crumbling" Arco is not a valid reason, when they are leaving to a building that will provide the same or less revenue. Also, it's not like Kings fans don't come to the games because of Arco. Hell I would argue a lot of Kings fans love Arco.

If they were leaving for a city that was offering a sweetheart deal for the Arena then this would have already been over. It's virtually a lateral move in regards to the Arena (revenue wise). This deal as it's looks right now is 100% for TV rights.

 

[Section 101]

Not sure that being a fan of one sport precludes you from being a fan of another sport...I agree that money for games and things can be an issue but the only sport that would be more popular than the NBA is the NFL, and there aren't any NFL teams in the region...

Being fans no, spending money yes. The is a plan in place now to build a football stadium next to the staples center. They want 2 football teams. Maybe they should rethink it and get 1 football team and 1 baseball team (angels).

 

[pdxKingsFan]

One critical difference between Seattle and Sacramento was that the citizens of WA voted a ballot measure that there would be no further public funding of arenas or stadiums whereas Sacramento actually was working on a deal at the time the Kings decided to pull out.