Speaking of getting an NHL team by waving a $500 million check around, our old friend Geoff Baker of the Seattle Times suggests that Chris Hansen might want to do just that if he ever wants to get a Seattle arena built:
For now, with the NBA not expanding and the NHL needing another Western team to balance conferences, it might be worth giving that “NHL first” option another look.
Las Vegas built its arena with private funds, resulting in limited political delays. Of course, an all-private venture for a $500 million arena in Sodo would be tougher without public-bond money.
Yeah, it sure would be tougher: The finances of an NBA arena in Seattle looked difficult enough under Hansen’s original plan, and it would only be tougher with a hockey team (which is projected to bring in less money) plus paying off $200 million that was supposed to be covered by city bonds — though about half those bonds were going to be paid off by Hansen’s rent payments anyway, so presumably he could just replace those with plain old bank loans. Yes, an NHL franchise would probably be cheaper than an NBA one at this point, but you’d also end up with a less valuable asset for your money, so really the concern here is whether Hansen could turn an operating profit on an NHL arena after paying off construction costs — I’m guessing no, but if he wants to give it a shot, more power to him.
Of course, that’s the other thing: Hansen, like Fannee Doolee, loves basketball but doesn’t think much of hockey, so he might not be willing to risk his money just to become an NHL owner. Baker’s theory is that at least it’ll let him build an arena, maybe, so that down the road he can get an NBA team, maybe, which … sure, maybe. I don’t really expect to see Hansen jumping at this option, but stranger things have happened.
If $500 million is the new NHL cover charge, I can’t think of another city coughing that up. Only 11 teams in the league are valued over 500 million. There are 10 teams in the 200 million range. You’d could buy two of those teams and move them both to your arena, thus filling out 80 dates.
Exactly. And re: Vegas, announcing a $500m expansion fee is not the same as receiving one. I think Foley and co will pay less than that up front (possibly half), and perhaps notionally pay the rest through reduced revenue sharing etc over time.
If he actually pays the $500m out of his own pocket he is a fool.
It’s just Baker filling column inches again.
The NBA will expand when someone offers it $1Bn for a franchise alone. The NHL is no different than any other league in this respect (to paraphrase Marlon Brando) “If they offer so much money that the league lacks the moral courage to refuse”, they will expand.
Anyone think if Kroenke had sold the Rams in Stl and turned the proceeds as part of a $2Bn offer for an LA expansion team the NFL would have refused?
Hansen may or may not hate hockey. What he certainly knows (and Baker clearly does not) is that an NBA team will slot in at #3 or #4 in the local sports market place. An NHL team will register at 7 or 8 on the priority list for TV, Tickets, Commercial sponsorships etc. It’s the definition of a losing proposition, even if he can buy a team and relocate it for $250m or so… to an arena that someone else pays for.
I still give him credit for offering one of the “fairest” deals for a basketball arena we’ve seen in years. It may not have made sense for basketball, it certainly doesn’t for hockey.
The Marlon Brando image or one of Dr. Evil in the place of the current commish, saying:
‘A new Seattle franchise will be yours, Mr. Hansen, if you give us ONE BILLION DOLLARS!!!!!’
As for this happening in the NBA…yeah that can happen But the record may be set first by the next NFL expansion franchise. Based on not just the valuations from Forbes, et al…but if memory serves, the Texans came in for nine figures, hence….since then ….inflation. [which in itself could pare down the potential candidates to buy, let alone cities for same…but that is another subject, another time].
In any case, it may be a while before the Sonics are reborn, all things considered.
You mean what they should’ve done 5 years ago: accept whomever comes first. The Arizona Coyotes wouldn’t have had to renew their lease if Seattle had a new arena, but…
Seattle: “We’d like 1 NBA team, please”
NBA: “Sure, after you build a new arena.”
Seattle: “Well, we won’t build one until the NBA (NOT hockey) commits a franchise first, years in advance……. Look, we have Key Arena!!!”
NBA: “Seattle, you’re drunk. Give me your keys.”
(Rinse & repeat every year.)
https://youtu.be/3vWTsRS5PtY