New sports arena proposal unveiled for NBA, NHL teams
SEATTLE - A proposal to build a major new Seattle sports arena with the capacity to host an NBA and NHL team was unveiled Thursday.
Mayor Mike McGinn and King County Executive Dow Constantine jointly announced the plan to applause and cheers at an afternoon news conference at Seattle City Hall.
No new taxes would be used to fund the new arena under his plan, and comes at a time when both the NBA and NHL have franchises potentially looking for new homes.
Chris Hansen, hedge fund manager and Seattle native, is behind the proposal, which he has been discussing with city and county officials for several months.
Under the plan, the arena would be located south of Safeco Field in the SoDo stadium district of Seattle. It would have the capacity to host an NBA franchise to replace the Seattle SuperSonics, an NHL pro hockey team, concerts and other large-scale events.
"It would mean that Seattle SuperSonics could play once again in our city," McGinn said.
Added Constantine: "This is a great and optimistic day for our city and our county."
In his proposal, Hansen pledges to raise $290 million in private investment for the facility. In addition, he and his investor group would pay the costs of acquiring an NBA team, for a total commitment of some $500 million.
Hansen also would seek a partner who would recruit an NHL team to the new facility, under the plan.
Any additional costs would be financed by a combination of tax revenues generated by the facility and rental income paid by the teams, according to Hansen's proposal.
"The $200 million investment from the county and city would be repaid (from) revenue that would not otherwise exist," McGinn said.
Constantine and McGinn said any agreement to build a new arena must meet certain criteria, including a requirement that it be self-funding and not rely on new taxes.
Private investors must bear the risk for revenue shortfalls and any cost overruns must be the responsibility of private investors, under the criteria announced by McGinn and Constantine.
"On first look, we have an exciting proposal that, if successful, would mean hundreds of millions of dollars of private investment in our city - an investment that means even more during our city's fragile economic recovery," McGinn said.
But Constantine cautioned that there is much more work to be done before the proposal can become a reality.
"It's not game settled - this is the tipoff of the first game of the preseason," he said. "It's just great to have a chance to get back on the court."
It's not clear which NBA or NHL team would come to Seattle under the proposal.
But many analysts say the most likely NBA franchise would be the Sacramento Kings. That team is in a battle with the city down there to build a new arena - and March 1 is the deadline for a plan.
Mayor Mike McGinn and King County Executive Dow Constantine jointly announced the plan to applause and cheers at an afternoon news conference at Seattle City Hall.
No new taxes would be used to fund the new arena under his plan, and comes at a time when both the NBA and NHL have franchises potentially looking for new homes.
Chris Hansen, hedge fund manager and Seattle native, is behind the proposal, which he has been discussing with city and county officials for several months.
Under the plan, the arena would be located south of Safeco Field in the SoDo stadium district of Seattle. It would have the capacity to host an NBA franchise to replace the Seattle SuperSonics, an NHL pro hockey team, concerts and other large-scale events.
"It would mean that Seattle SuperSonics could play once again in our city," McGinn said.
Added Constantine: "This is a great and optimistic day for our city and our county."
In his proposal, Hansen pledges to raise $290 million in private investment for the facility. In addition, he and his investor group would pay the costs of acquiring an NBA team, for a total commitment of some $500 million.
Hansen also would seek a partner who would recruit an NHL team to the new facility, under the plan.
Any additional costs would be financed by a combination of tax revenues generated by the facility and rental income paid by the teams, according to Hansen's proposal.
"The $200 million investment from the county and city would be repaid (from) revenue that would not otherwise exist," McGinn said.
Constantine and McGinn said any agreement to build a new arena must meet certain criteria, including a requirement that it be self-funding and not rely on new taxes.
Private investors must bear the risk for revenue shortfalls and any cost overruns must be the responsibility of private investors, under the criteria announced by McGinn and Constantine.
"On first look, we have an exciting proposal that, if successful, would mean hundreds of millions of dollars of private investment in our city - an investment that means even more during our city's fragile economic recovery," McGinn said.
But Constantine cautioned that there is much more work to be done before the proposal can become a reality.
"It's not game settled - this is the tipoff of the first game of the preseason," he said. "It's just great to have a chance to get back on the court."
It's not clear which NBA or NHL team would come to Seattle under the proposal.
But many analysts say the most likely NBA franchise would be the Sacramento Kings. That team is in a battle with the city down there to build a new arena - and March 1 is the deadline for a plan.
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