Clippers owner offers $100m in loans for housing and libraries as sweetener for arena deal

The Los Angeles Clippers arena battle is a weird one: Team owner Steve Ballmer says he’ll pay for the arena himself (yay) but wants the right to put up more ad signage than would normally be legally allowed, might want to use eminent domain to seize some property, negotiated with the Inglewood city council without telling anyone it was about a Clippers arena in apparent violation of open meetings laws, and is getting sued by both Madison Square Garden and some local citizens over the project (all boo, to varying degrees). All of which sort of explains why Ballmer is looking to sweeten the pot by offering to loan $100 million toward public benefits for Inglewood residents as part of the deal:

Such benefits, presented Tuesday at a meeting of Inglewood’s council by city manager Artie Fields, would include “up to $75 million in low-interest loans for the acquisition, preservation, or development of affordable and mixed-income housing in Inglewood,” according to the team. Other proposals include more than $12 million for youth and education programs, up to $6 million toward improvements of its public library and financial assistance for renters and first-time homeowners in the city.

This is all a yay, though it’s worth noting that the Los Angeles Times story on it didn’t bother to answer (or even ask) the question of whether this money would come out of Ballmer’s pocket or from some cut of arena revenues or taxes, or who would repay the loans or how. (Hey, L.A. Times! If you’re going to put up one of the strictest paywalls in all of journalism, at least use some of the resulting cash to give your reporters room to report!)

Still, it’s at least something more than most team owners do as part of arena deals, so it’s better than a kick in the head. Yet again, we’re seeing how the ease of getting voter initiatives on the ballot in West Coast states forces sports franchises to actually offer reasonable deals rather than just asking elected officials for wads of cash behind voters’ backs; democracy might not solve everything, but still has its benefits.

Friday roundup: Lotsa new vaportecture renderings, lotsa new crazy expensive bridges

I’m traveling this week and next, so there will likely be some weird scheduling changes for posts, such as this Friday roundup appearing close to noon Eastern time. (I think. I’m not entirely sure what time it is here or anywhere, just that it’s hot, which doesn’t narrow it down much because it’s hot everywhere.) The news watch never stops, though, so here’s a somewhat abridged week of highlights:

  • New Los Angeles Clippers arena renderings! This vaportecture is honestly all starting to look more or less alike to me, though what appears to be a transparent roof on an arena is novel — the article refers to “indoor/outdoor ‘sky gardens,'” though, so maybe this is those, whatever those are. (Gardens open to the sky? Wouldn’t that be … “gardens”?) Anyway, constantly releasing renderings is a great way to show people that you absolutely are going to be able to build an arena, despite any lawsuits trying to block it, because everyone knows cartoons always come true.
  • And on the other side of the pond, Everton has released its own stadium renderings, with more lens flare and balloons and promises that 1.4 million more people will visit Liverpool just by Everton moving into a new stadium. (The balloons are probably the least fanciful of these predictions.)
  • Norman Oder has a long analysis of the New York Islanders Belmont Park arena plan laying out all the remaining questions about the project, from the value of land and tax breaks to how exactly the state expects a Belmont arena to host sports and concerts without cannibalizing shows from the nearby Nassau Coliseum. (Not that it should matter to the state if the Coliseum loses business, but if shows are just relocated, they’re not new economic activity. For that matter, if Long Islanders just go to more shows and fewer restaurants, say, that’s also not new economic activity. So very many questions.)
  • Dodger Stadium is getting a $100 million facelift this offseason, including a new centerfield plaza, new elevators and bridges for fan circulation, and a statue of Sandy Koufax. A hundred million dollars seems like a lot for that, but it’s Magic Johnson‘s stadium and his money, so whatever floats his boat.
  • And finally, the cost of the Atlanta Falcons‘ pedestrian bridge has now surpassed $33 million. up $6 million from the last accounting. On second thought, maybe $100 million for some bridges and a statue isn’t that crazy at all.

Friday roundup: Clippers broke public meetings law, Vegas seeks MLS team, Buccaneers used bookkeeping tricks to try to get oil-spill money

Any week with a new/old Superchunk album is a good one! Please listen while reading this week’s roundup of leftover stadium and arena news:

  • The Los Angeles County District Attorney’s office has determined that Los Angeles Clippers owner Steve Ballmer violated open meetings laws by hiding information about the team’s proposed new Inglewood arena’s location and scope when formally proposing it in 2017, even replacing the name “Clippers” with “Murphy’s Bowl LLC, a Delaware Limited Liability Company (Developer).” Unfortunately, the DA’s office noted, it’s too late to do anything about this because the violation wasn’t reported in time, but don’t do it again, I guess? In related news, NBA commissioner Adam Silver says he supports the team’s arena plan, even though Ballmer is being sued by New York Knicks owner James Dolan, who also owns the nearby Forum and doesn’t want the competition, and who was apparently the main reason for all that secrecy on the part of Ballmer. It’s all enough to make you feel sympathetic to Dolan, until you remember that he is an awful person.
  • Las Vegas Mayor Carolyn Goodman has announced she’s looking at building an MLS stadium in her city, because “We have not become the pariah anymore, and there is no end to this. It’s so exciting,” which would almost make sense if MLS had previously steered clear of Vegas because of gambling or something and also if MLS were currently about to put a franchise in Vegas, neither of which is the case. The stadium, if it’s ever built, would go on the site of Cashman Field, where the USL Championship Las Vegas Lights FC currently play, and would be paid for by some method that the developers “would have to present” to the city council, according to the mayor’s office. It’s so exciting!
  • The owners of the Tampa Bay Buccaneers tried to get $19.5 million in settlement money from the 2010 Deepwater Horizon disaster on the grounds that the team lost revenue that summer compared to the following summer when it was banking extra NFL checks that the league was stockpiling in advance of a player lockout. Amazingly, that’s not what got the claim rejected — it was only nixed when it turned out the Bucs hadn’t even stockpiled that revenue at the time, but rather did so retroactively on its books when it realized it could use it as a way to try to get oil spill settlement cash. It’s such a fine line between mail fraud and clever.
  • Inter Miami owners David Beckham and Jorge Mas have agreed to pay a youth golf program $3 million to clear out of the way of their proposed Melreese soccer stadium and move, you know, somewhere else, so long as it’s not on their lawn. This is not a ton of money in the grand scheme of things, but it is worth noting that Beckham and Mas are sinking a whole lot of money into this stadium and a temporary stadium until this one is ready and the old new stadium site that they say they’re not building a stadium on anymore; this can either be seen as a laudable commitment to private funding or a dubious business investment or, hell, why not both?
  • The Portland Diamond Project group has gotten a six-month extension on its deadline to decide whether to build a baseball stadium at the Terminal 2 site, and is paying only $225,000, instead of the $500,000 it was originally supposed to be charged. That seems like bad negotiating by the Port of Portland when they had the wannabe team owners over a barrel, but I guess $225,000 just for a six-month option on a site that probably won’t work anyway for a team that probably won’t exist anytime soon is nothing to turn up your nose at.
  • When the headline reads “New A’s stadium could generate up to $7.3 billion, team-funded study predicts,” do I even need to explain that it’s nonsense? If you want a general primer on why “economic impact” numbers don’t mean much of anything, though, I think I addressed that pretty well in this article.
  • The Los Angeles Rams‘ new stadium is reportedly set to get $20 million in naming rights payments for 20 years from a company that lost hundreds of millions of dollars last year, which is surely not going to result in a repeat of the Enron Field fiasco.
  • A reporter at the Boston Bruins‘ 24-year-old home arena was startled by a rat on live TV. Clearly it’s time to tear it down and build a new one.

Judge okays suit against Clippers arena land sale for not considering affordable housing first

I haven’t paid much attention to the citizen lawsuit against the proposed new Los Angeles Clippers in Inglewood since it was filed last summer and Mayor James Butts abruptly ended a city council meeting and ran away when someone tried to serve him lawsuit papers, but now it might be worth perking up our ears: A Los Angeles County judge has ruled that the lawsuit can proceed, accepting the argument of plaintiffs that a state law may have required the city to first try to find an affordable housing developer for the arena land:

“Today’s ruling is a step forward for our neighbors in Inglewood who are simply asking the city of Inglewood to follow California’s affordable housing laws,” says D’artagnan Scorza of Uplift Inglewood. “It simply does not make any sense to prioritize an NBA arena over the needs of Inglewood residents. Public land should be used for the public good.”

Some background: The California Surplus Land Act of 2005 requires local governments that want to sell public land to first offer it up to either low- and moderate-income housing developers or to local parks departments, then engage in “good faith” negotiations to try to get a fair price before moving on to other buyers. Uplift Inglewood is a coalition of “residents, businesses, faith groups, and community organizations all working together to ensure the vision of Inglewood’s future includes and benefits everyone.” Inglewood is a city with lots of poor people and little affordable housing and no rent controls. Clippers owner Steve Ballmer is a multibillionaire who doesn’t like his team’s current arena because he doesn’t own it.

As for the legal details, we’ll all find out more when the suit goes to trial in September. Ballmer’s going to have to content himself for a while with his team being called “pesky” for scaring the Golden State Warriors slightly in the playoffs.

Friday roundup: Raiders’ Oakland deal still not done, A’s stadium plan gets rounder edges, Flames arena vote delayed

Let’s get right to the week’s news roundup:

  • NFL Network’s Ian Rapoport reported on Monday that Oakland Raiders owner Mark Davis was on the verge of an agreement with Oakland officials to stay put in Oakland for 2019 and possibly 2020, and four days later, they still appear to have moved no closer than the verge. More news as events warrant, if they ever do.
  • We have new renderings for the proposed Oakland A’s stadium at Howard Terminal, and they look slightly less doofy than the old renderings, or at least somewhat less angular. Odds that any ballpark will look remotely like this if a Howard Terminal stadium is ever built: two infinities to one. Odds that a Howard Terminal stadium is ever built: Somewhat better, but I still wouldn’t hold your breath.
  • The Calgary city council put off a vote on a term sheet for a new Flames arena on Tuesday, after a marathon meeting that the public was barred from. They’ll be meeting in private again on Monday, and still plan not to tell anyone what the deal looks like until they’ve negotiated it with the Flames owners, which Calgary residents are not super happy about.
  • Los Angeles Clippers owner Steve Ballmer still really really wants a new arena of his own by 2024, and documents obtained by the Los Angeles Times show that he met with Inglewood Mayor James Butts as early as June 2016 to try to get Madison Square Garden to give up its lease on his preferred arena site before they found out he wanted to build an arena there. This is mostly of interest if you like gawking at warring sports billionaires, but if you do you’re in luck, because the battle seems likely to continue for a long time yet.
  • The Miami Marlins are turning the former site of their Red Grooms home run sculpture in center field into a “three-tier millennial park” with $10 standing-room tickets, because apparently millennials are broke and hate sitting down? They’ve gotta try something, I guess, and this did help get them a long Miami Herald article about their “rebranding” efforts, so sure, millennial park it is.
  • Building a football stadium for a college football team and hoping to fill it up with lots of Bruce Springsteen concerts turns out, shockingly, not to have been such a great idea. UConn’s Rentschler Field loses money most years, and hasn’t hosted a major concert since 2007, with the director of the agency that runs it griping, “The summers are generally slow, the springs are generally muddy, and the falls are UConn’s.” And nobody built lots of new development around a stadium that hosts only nine events a year, likewise shockingly. It still could have been worse, though: Hartford could have spent even more money on landing the New England Patriots.
  • Speaking of failed sports developments, the new Detroit Red Wings arena district is “shaping up to be a giant swath of blacktop,” reports Deadline Detroit, which also revealed that the city has failed to penalize the team’s owners for missing development deadlines, and has held out the possibility of more public subsidies if he ever does build anything around the arena. At least the Ilitches are finally paying for the extra police needed to work NHL games, though, so that’s something.
  • Oklahoma City is considering using up to $92 million to build a 10,000-seat USL stadium that could later be expanded for MLS, because of course they are.
  • Here is an article that cites “an economic development expert” as saying that hosting a Super Bowl could be worth $1 billion in “economic activity” to Las Vegas, saying he based this on the results of last year’s Super Bowl in Minneapolis. Actual increased tax receipts for Minneapolis during the game: $2.4 million. It took me 30 seconds to research this, but apparently the Las Vegas Review-Journal is too high and mighty to use Google. Do not reward them with your clicks.

David Beckham actually won something, world to end on Friday

And in yesterday’s stadium- and arena-related election results:

  • David Beckham’s Inter Miami stadium plan will move forward after 60% of Miami voters approved building a soccer venue atop city-owned Melreese golf course. Though as the Miami Herald notes, it will only move forward as far as the city commission, and “those votes were far from assured,” with a four-out-of-five-vote supermajority required for passage. There’s still time for Beckham to grab defeat from the jaws of victory here!
  • San Diego voters appear to have approved San Diego State University’s expansion plans to the site of the old Chargers stadium, with 55% in favor as votes continue to be counted. Only 29% are currently in favor of the competing plan to build a “Soccer City” MLS complex on the site.
  • Inglewood Mayor James Butts was reelected in a landslide, so the Los Angeles Clippers‘ arena plans will continue to move forward, though it still faces a legal challenge.

Next up: Next Wednesday’s big Calgary vote on whether to support the city’s 2026 Olympic bid. Remember to double all results and add 30!

Miami, San Diego to vote on MLS stadium proposals today, also fate of nation or somesuch thing

Happy U.S. election day, when Americans will be waiting up to learn the fate of a bunch of stadium and arena proposals! And the direction of an entire nation, but this site doesn’t have time for that, so on with tonight’s sports venue scorecard:

  • Miami voters will decide on Referendum 1, which would allow the city of Miami to waive competitive bidding and give David Beckham the right to negotiate a 99-year lease on the city-owned Melreese golf course, for the purpose of building a stadium there for his Inter Miami MLS club. Polls close at 7 pm Eastern; this being Florida, however, there’s always a good chance no one will know the results until December.
  • In San Diego, voters will be faced with two competing ballot initiatives: Measure E, which would have the city lease 253 acres of land on the Chargers‘ former stadium and practice sites to developers of the proposed Soccer City, which would include a soccer stadium and other stuff; and Measure G, which would have the city sell the land to San Diego State University for a new campus, including a new college football stadium. Polls show Measure G winning and Measure E trailing; if both measures get a majority, whichever gets more votes will win; if neither measure wins, it’ll be left up to the mayor to determine what to do with the site. The San Diego Union-Tribune editorial board has declared that neither measure is worth voting for, while letter writers to the paper — yes, there are still people who express their opinions by writing letters to newspapers, in 2018! — are all over the place in how to best game the system. San Diego polls close at 8 pm Pacific, so expect to wait up for this one.
  • Inglewood will elect a mayor today, and with incumbent James Butts in favor of a new Los Angeles Clippers arena and challenger Marc Little opposed, the outcome will be important for the city’s sports future. Polls close at 8 pm Pacific here as well, but a mayoral race is high-profile enough that we could see earlier projections.
  • Contrary to what I implied on Friday, Columbus voters will not be deciding on a 7% ticket tax that would apply to all large sports and entertainment venues — but maybe not Ohio State University football, nobody’s actually sure — and use the proceeds to fund arts programs and the Blue Jackets arena, because while a vote is indeed coming up, it’s a council vote, not a public referendum. A completely unscientific poll of Columbus Business Journal readers shows massive opposition to the measure, but even if that were a valid measure, the city council can still do whatever it wants, because representative democracy, yay!

Vote early and vote often!

Friday roundup: Election Day could have big consequences for Rays, Blue Jackets, Clippers

Happy last week before Election Day! Unsurprisingly, we lead off with a bunch of vote-related news:

  • Tampa Bay Rays president Brian Auld says he’s confident team execs will be able to meet a December 31 deadline for stadium funding without having to ask for an extension, even though right now there’s currently a $300 million funding gap. Frequent FoS commenter Scott Myers has theorized that the Rays ownership is hoping Hillsborough County voters will pass a 1% sales tax hike for transportation on Tuesday, which would free up other public money to pay for transportation improvements for a Rays stadium; that doesn’t seem like it’d provide $300 million, but every hundred million dollars counts, so everybody watch the ballot results carefully. (Which you should be doing anyway. And voting!)
  • The Columbus Blue Jackets owners, who have been criticized for being the main beneficiaries of a proposed 7% ticket tax in the city because their arena would get the lion’s share of the proceeds, surprised everybody this week by coming out against the tax, saying it “would materially harm our business.” Maybe this is reverse psychology to get residents to vote for the bill, since they’ll no longer think it’s a sop to the hockey team? Okay, probably not.
  • Madison Square Garden has given $700,000 to the campaign of the chief challenger to Inglewood Mayor James Butts in an effort to block plans for a new Los Angeles Clippers arena that could compete for concerts with MSG’s Forum, and the Clippers have fought back with $375,000 in spending to support Butts’ campaign. Poor grass.
  • In non-electoral news, the University of Connecticut is building a $45 million hockey arena on campus even though its team will continue to play most of its games in Hartford’s XL Center, just because its new NCAA conference requires an on-campus arena. (It also requires that the arena have at least 4,000 seats, but UConn got a waiver to only build 2,500 seats.) Since UConn is a public university, this technically means that public money will go into the project (though the university says it can pay for it from its own reserves), but mostly it’s bizarre to see an entire arena being built just to meet a technicality — what do you think the carbon footprint will be for this?
  • Transit experts are worried that the 2020 Olympics will overwhelm Tokyo’s already-crowded subway system, though they may not be anticipating how much the Olympics tend to cause anyone not interested in the Olympics to stay the hell out of town. The government has been encouraging local businesses to stagger work hours and open satellite offices to accommodate Games traffic, since “everybody call in sick for three weeks” would be anathema to Japanese work culture.
  • Opponents to Nashville SC‘s stadium plans are seeking a court injunction to block construction of a new expo center to replace the one that would be torn down to make way for the soccer stadium on the grounds that it would interfere with parking for a flea market, which is a first in my book.
  • Louisville is officially not bidding for an MLS franchise (yet), which unofficially makes it the only city in the whole U.S. of A. that isn’t. How is MLS ever going to meet its dream of a franchise for every individual person in North America if these keeps up?

That’s all for this week — go vote! And try to fight your way past the journalism extinction event to educate yourself about all those downballot races and initiatives and such, since as we cover here every week, they can have huge consequences.

Friday roundup: Worcester stadium subsidy snowballs, Rochester Rhinos look to abandon 12-year-old stadium, old rich white guys continue to control the media

TGIF, but please cut God some slack for this week in stadium facepalms:

  • Members of the Worcester city council say they won’t rush to rubber stamp city manager Edward M. Augustus Jr.’s proposed $100 million stadium subsidy deal for the Pawtucket Red Sox, with public hearings scheduled for next Tuesday and September 5. Augustus, though, says he won’t accept proposed amendments to the deal, only a straight up or down “yes” or “no” vote, because any changes “would significantly impact our ability to deliver this project on time and could lead to unintended consequences.” So, basically, he’s asking for a rubber stamp, though the council still always has this one available.
  • Worcester city councilmembers might also want to check out this article from WBUR about how throwing large sums of money at minor-league baseball stadiums has worked out in other cities like Nashville, Durham, and El Paso. Representative quote, from Nashville City Councilor John Cooper: “Our overall success as a tourist destination is clearly not part of this baseball project. Nobody here thinks of the minor league baseball park as driving much of that.”
  • Meanwhile, the Worcester stadium deal has already created a cascade effect, with the owners of the Boston Red Sox‘ single-A team, the Lowell Spinners, asking when they’ll get some public money too. “I love Lowell, and I believe in Lowell,” Spinners owner Dave Heller said after meeting with Massachusetts state economic development officials. “I’m excited about the future in Lowell and investing here. I want to make sure we can take advantage of any incentives that are available from the state.” Spoken like a true Vercotti brother.
  • The GM of the New York Islanders and the owner of the Los Angeles Clippers both say they’re optimistic about getting the arenas built that they are lobbying to get built, and they both got articles in major news outlets (Newsday and CBS Sports) about their optimism. Normal non-rich humans who would like to express their pessimism about the arena projects can write a letter to the editor — ha ha, just kidding, CBS Sports doesn’t publish letters to the editor, go write an angry tweet or something.
  • The former owners of the USL Rochester Rhinos got $20 million from the state of New York for a new stadium in 2006, but now the new owners say they’re looking to move to a newer stadium in the suburbs, because people would rather watch the Premier League on TV than sit in a 12-year-old stadium or something? (And this after they narrowly avoided getting evicted!) Anyway, what the hell is it with upstate New York cities not thinking to lock their minor-league teams into long-term lease deals? Is it something in the water?

Friday roundup: Untangling NYCFC’s stadium plan, fighting over the Crew’s future, and what to do with a luxury suite

Sorry for the radio silence the last couple of days — it was a combination of not much super-urgent breaking news and a busy work schedule on my end — but let’s remedy that with a heaping helping of Friday links:

  • Part of that busy schedule was wrapping up work on my Village Voice article trying to unravel NYCFC’s latest stadium plan, and while the upshot remains what it was a month ago — this is a Rube Goldberg–style proposal with so many moving parts that it’s hard to say yet if it would involve public subsidies — it also involves city parks land that isn’t really parkland but is really controlled by another city agency that isn’t really a city agency and denies having control over it … go read it, you’ll either be entertained or confused or both!
  • The state of Maryland has luxury suites at the Baltimore Ravens and Orioles stadiums, and Gov. Larry Hogan mostly uses them for family members and political cronies. This should come as a surprise to no one, but it’s a reminder that getting government use of a suite as part of a stadium deal is less a public benefit than a, what do you call those things?
  • Based on questions asked at a Monday hearing, The Stranger concludes that most King County council members aren’t opposed to the Seattle Mariners‘ demand for $180 million in future county upgrade spending on Safeco Field, in exchange for the team signing a new lease. That could still change, obviously, but only if all of you readers turn toward Seattle and shout this post in unison. Three, two, one, go!
  • MLS commissioner Don Garber says talks are “ongoing” with the city of Columbus about replacing the Crew if they move to Austin, and by “with the city of Columbus” he apparently means the local business council the Columbus Partnership. And even their CEO, Alex Fischer, doesn’t sound too in the mood to talk, noting that Garber has called for a new downtown stadium in Columbus while not requiring the same of Austin: “I find it extremely ironic that the commissioner wants a downtown stadium at the same time that the McKalla site is the equivalent of building a stadium in Buckeye Lake.” MLS deputy commissioner Mark Abbott retorted that Fischer’s remarks are “certainly a strange way to demonstrate an interest in working with us.” The lines of communication are open!
  • The owners of Nashville S.C. would have to pay $200,000 a year in city rent on their new stadium, which is … something, at least. Except, reports the Tennessean, “Parking revenue collected from non-soccer events at the new MLS stadium, such as concerts or football games, would go toward the annual base rent and could potentially cover the entire amount.” So maybe not really something.
  • Glendale has extended its arena management deal with AEG through 2026, which will mean continuing to pay $5.6 million annual management fees, but also collecting about $1.6 million a year in shared arena revenues. That’s not good, but it is significantly better than the lease that had the city paying the owners of the Arizona Coyotes more than $7 million a year after revenue shares, so yay Glendale for tearing up that lease and bidding out the contract to at least cut their losses.
  • Here’s Austin’s lead negotiator with Crew owner Anthony Precourt over a new stadium, Chris Dunlavey of Brailsford and Dunlavey. on whether the deal is fair to taxpayers: “All around, I don’t know how it could get characterized as favorable to [Precourt Sports Ventures]. I think the city of Austin has negotiated this to as favorable for a city as PSV could stand to do.” Uh, Chris, you do know that “good for the public” and “as least awful for the public as we could get” aren’t the same thing, right?
  • Former U.S. senator Barbara Boxer has thrown her weight behind Inglewood residents opposing a new Los Angeles Clippers arena because it could cause gentrification and displacement. Which, not all arenas do, but in hot urban areas like L.A. it doesn’t take much to cause gentrification and displacement, so I can certainly see why there’s concern.
  • An otherwise unidentified group calling itself Protect Oakland’s Shoreline Economy has issued flyers opposing the A’s building a stadium at Howard Terminal because, among other things, it could displace homeless encampments to make way for parking lots. This is getting David Beckham–level silly, but also it’s getting harder and harder not to feel like the A’s owners should just give in and build a stadium at the Coliseum site, since at least nobody seems to mind if they do that. Yet.