Local buyer reportedly enters the picture!
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Because... 77 million is the total of the outstanding balance of 65 million plus a 12 million early payoff penalty. This was confirmed by the city manager in the mayors press conference the other day. If someone assumes that loan, it will be refinanced. But no early payoff penalty is due. And you need to understand that payout off 77 million dollars today versus 65 million over 15 or 20 years has some advantages.
I don't know if it has been posted here before, but this is a national article on KJ and the arena/team issue:
http://www.usatoday.com/story/sport...johnson-sacramento-save-team-maloofs/1828335/
http://www.usatoday.com/story/sport...johnson-sacramento-save-team-maloofs/1828335/
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Your missing the point. They are including this in the purchase price. If someone assumes the debt and offers $450 million then the maloofs take home more money. The same with the NBA loan. If a local owner assumes that debt they can offer lower than the reported $525 mil deal and the maloofs get more money.
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A major player steps into the ring
http://www.sacbee.com/2013/01/12/5109940/group-plans-to-buy-kings-and-build.html
In a stunning new twist on the Sacramento Kings saga, a group including the new owner of Downtown Plaza is proposing to buy the team and build a $400 million arena on the site of the troubled shopping center.
A source connected to the proposal said the group believes it would make a viable alternative to the Maloof family's potential sale of the team to a consortium planning to relocate the Kings to Seattle.
A source said the group includes other deep-pockets investors who have the ability to pull the deal together.
"We make the case to the NBA that we've got the funding," said the source, who insisted on anonymity.
The source said the group includes JMA Ventures, the San Francisco investment firm that bought Downtown Plaza last year at a bargain-basement price.
http://www.sacbee.com/2013/01/12/5109940/group-plans-to-buy-kings-and-build.html
In a stunning new twist on the Sacramento Kings saga, a group including the new owner of Downtown Plaza is proposing to buy the team and build a $400 million arena on the site of the troubled shopping center.
A source connected to the proposal said the group believes it would make a viable alternative to the Maloof family's potential sale of the team to a consortium planning to relocate the Kings to Seattle.
A source said the group includes other deep-pockets investors who have the ability to pull the deal together.
"We make the case to the NBA that we've got the funding," said the source, who insisted on anonymity.
The source said the group includes JMA Ventures, the San Francisco investment firm that bought Downtown Plaza last year at a bargain-basement price.
Let's say this happens and a new Sacramento arena gets built on site of Downtown Plaza with acceptance of this local group and other deep-pocket investors. With the railyards site continuing to be developed, however slowly considering all of its issues. We keep the Kings in Sac, get new $400M arena faster than expected and have railyards for perhaps a future baseball/football stadium. We can still dream big it seems... Fingers crossed!
Agreed. I've walked around the railyards and just across other side on Sacramento River in West Sac - amazing how large that total area is. It appears not only could large multi-purpose sports stadium be constructed there but also all or part of public attractions you mention - although some might be strung across river into Yolo County. It appears there's actually more new infrastructure already in place on the otherside. A car/bike/walk bridge would be necessary but that should be part of any plan to develop the "riverwalk" in that entire area. The railyards has a new federal courthouse now but hopefully it will have a set aside for eventual "homerun," like stadium plus other much needed public venues.
Meanwhile let's get this done - new arena at Downtown Plaza site, perhaps much like new sparkling one in in Brooklyn.
Meanwhile let's get this done - new arena at Downtown Plaza site, perhaps much like new sparkling one in in Brooklyn.
If there's one Maloof I like, it's Gavin. But if that tweet is true it's telling. The guy who's been in Sac's corner and wants to stay here is clearing out his house. Tells me the team is for sale(not that there isn't evidence to suggest otherwise) and the Maloofs are preparing to cut ties with the city and move on to other ventures in the near future.
Essentially your correct, except that with Seattle its all up front money, and with a local buyer it isn't. The relocation fee is the exception. The local buyer doesn't have to pay it, and the Seattle buyer does. What I find amusing, is that people throw the 12 mil early payoff fee, or the 30 million relocation fee around like its nothing. Just chump change! How do some of these people think these guys got to be billionaires in the first place. They don't light their cigars with 100 dollar bills.
This whole thing could change on a dime if Stern gave Hansen a call, and says, you know what, were going to expand in a year. Why don't you just wait and save yourself around 200 million dollars. I think you pointed out the financial advantage of waiting for an expansion team. Not only would Hansen benefit, but the whole league would benefit. Hansen has the reputation of being a very patient man, and he's not a fool. If I were the Maloofs I wouldn't play too many games with him if they want to keep him as a serious buyer.
This whole thing could change on a dime if Stern gave Hansen a call, and says, you know what, were going to expand in a year. Why don't you just wait and save yourself around 200 million dollars. I think you pointed out the financial advantage of waiting for an expansion team. Not only would Hansen benefit, but the whole league would benefit. Hansen has the reputation of being a very patient man, and he's not a fool. If I were the Maloofs I wouldn't play too many games with him if they want to keep him as a serious buyer.
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