Stern says Seattle group has filed for relocation
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With one more procedural move, the Sacramento Kings took another step toward Seattle.
NBA Commissioner David Stern said Wednesday night that the Seattle group led by Chris Hansen and Steve Ballmer, which recently reached an agreement to purchase the Kings, has formally filed for relocation with the league.
Stern spoke in Minneapolis before the Timberwolves hosted San Antonio. He called the Seattle group "very strong," and said the appropriate committees have been convened to look over the proposed sale of the Kings and the prospective move.
Stern said the relocation proposal calls for the team to play in KeyArena for "two years, possibly three," while a new arena in Seattle is being built.
"We have had submitted a signed agreement to have the team sold to a very strong group from Seattle," Stern said. "We have received an application to have the team moved from Sacramento to Seattle."
The deadline for teams to file for relocation is March 1. It's been expected that the Hansen/Ballmer group would file to move the team, but Stern's comments were the first time that decision had been verified. The filing for relocation is just another step, but big in the efforts to bring professional basketball back to Seattle for the 2013-14 season.
Hansen's group reached an agreement with the Maloof family last month to buy 65 percent of the franchise, which is valued at $525 million, and move the team to Seattle and restore the SuperSonics name. The deal will cost the Hansen group a little more than $340 million.
The Kings' sale price of $525 million would surpass the NBA-record $450 million the Golden State Warriors sold for in 2010.
Sacramento Mayor Kevin Johnson has been trying to find investors with the financial means to match the sale price, keep the Kings in Sacramento and help on the construction of a new arena in California's capital city.
In a series of Wednesday night Tweets, Johnson reiterated his position that the Kings should stay put.
"As we've said from the start, Sacramento is playing to win. For 28 years, we've proven time and again to be a top NBA market. Our fans have set league records for consecutive sellouts. Our corporate community has stepped up in ways never seen before. We are a top 20 media market where the NBA enjoys 100 percent market share and no competition from pro football, baseball or soccer," he said.
Johnson said Tuesday he planned to attend the NBA All-Star game in Houston and lobby anyone he could on the merits of keeping the Kings in Sacramento, but he has yet to reveal any of the large equity investors he's attempting to pull together. Johnson said he hoped to be able to announce them next week.
"My guess is it's likely that the mayor of Sacramento will appear before the board with an alternate plan," Stern said. "And that's why we have a board of governors, to make difficult decisions like this one."
Stern said he didn't feel the situation between Seattle and Sacramento would turn into a battle to see who can make the most lucrative bid.
"I don't think it's a bidding war," Stern continued. "There's a series of issues that are defined by our constitution that have to be considered. One of the things that our board is mandated to consider is the support for the team in the prior city. So there are real issues for the board to consider, about the buildings, about the likelihood they will be built, about the support from the cities."
Two committees would typically vet both the proposed sale and the move of the franchise to Seattle, but Stern said he has combined the committees into one. The committee will report to the Board of Governors, which is expected to vote on both the sale and the proposed move at its meeting in mid-April.
Stern said the relocation of the franchise requires a majority approval of the Board of Governors and the sale of the franchise would require a three-fourths majority.
"So I did the sensible thing, I combined the committees and said, 'You guys figure it out.' We'll see how that works," Stern said.
On Wednesday, Seattle Mayor Mike McGinn said he would prefer Seattle be given an expansion team, but that the decision was not his to make.
"If it was up to mayors, the NBA would be expanding," he said. "But it's up to the NBA Board of Governors about how they choose to proceed and they have to deal with the proposals in front of them."
NBA Commissioner David Stern said Wednesday night that the Seattle group led by Chris Hansen and Steve Ballmer, which recently reached an agreement to purchase the Kings, has formally filed for relocation with the league.
Stern spoke in Minneapolis before the Timberwolves hosted San Antonio. He called the Seattle group "very strong," and said the appropriate committees have been convened to look over the proposed sale of the Kings and the prospective move.
Stern said the relocation proposal calls for the team to play in KeyArena for "two years, possibly three," while a new arena in Seattle is being built.
"We have had submitted a signed agreement to have the team sold to a very strong group from Seattle," Stern said. "We have received an application to have the team moved from Sacramento to Seattle."
The deadline for teams to file for relocation is March 1. It's been expected that the Hansen/Ballmer group would file to move the team, but Stern's comments were the first time that decision had been verified. The filing for relocation is just another step, but big in the efforts to bring professional basketball back to Seattle for the 2013-14 season.
Hansen's group reached an agreement with the Maloof family last month to buy 65 percent of the franchise, which is valued at $525 million, and move the team to Seattle and restore the SuperSonics name. The deal will cost the Hansen group a little more than $340 million.
The Kings' sale price of $525 million would surpass the NBA-record $450 million the Golden State Warriors sold for in 2010.
Sacramento Mayor Kevin Johnson has been trying to find investors with the financial means to match the sale price, keep the Kings in Sacramento and help on the construction of a new arena in California's capital city.
In a series of Wednesday night Tweets, Johnson reiterated his position that the Kings should stay put.
"As we've said from the start, Sacramento is playing to win. For 28 years, we've proven time and again to be a top NBA market. Our fans have set league records for consecutive sellouts. Our corporate community has stepped up in ways never seen before. We are a top 20 media market where the NBA enjoys 100 percent market share and no competition from pro football, baseball or soccer," he said.
Johnson said Tuesday he planned to attend the NBA All-Star game in Houston and lobby anyone he could on the merits of keeping the Kings in Sacramento, but he has yet to reveal any of the large equity investors he's attempting to pull together. Johnson said he hoped to be able to announce them next week.
"My guess is it's likely that the mayor of Sacramento will appear before the board with an alternate plan," Stern said. "And that's why we have a board of governors, to make difficult decisions like this one."
Stern said he didn't feel the situation between Seattle and Sacramento would turn into a battle to see who can make the most lucrative bid.
"I don't think it's a bidding war," Stern continued. "There's a series of issues that are defined by our constitution that have to be considered. One of the things that our board is mandated to consider is the support for the team in the prior city. So there are real issues for the board to consider, about the buildings, about the likelihood they will be built, about the support from the cities."
Two committees would typically vet both the proposed sale and the move of the franchise to Seattle, but Stern said he has combined the committees into one. The committee will report to the Board of Governors, which is expected to vote on both the sale and the proposed move at its meeting in mid-April.
Stern said the relocation of the franchise requires a majority approval of the Board of Governors and the sale of the franchise would require a three-fourths majority.
"So I did the sensible thing, I combined the committees and said, 'You guys figure it out.' We'll see how that works," Stern said.
On Wednesday, Seattle Mayor Mike McGinn said he would prefer Seattle be given an expansion team, but that the decision was not his to make.
"If it was up to mayors, the NBA would be expanding," he said. "But it's up to the NBA Board of Governors about how they choose to proceed and they have to deal with the proposals in front of them."
Who cares about the NBA??? A NHL team would be way cooler!Â
@SEC Rules If you dont care about the NBA, why are you reading and commenting on the story?
 @northwestsurfer I was just saying a hockey team would be awesome. If the sonics do come back it would just give me one more Washington team to root against!
This is a private owned business so my question is why is the government so involved in this issue. This should be a matter between the owner/buyer/ and the NBL. Doesn't require government intervention.
What's the point of moving them up early to play in the old Key Arena? I know that they are spending money on updates again, but it would seem best to just move a team in when the new building is nearly close to being finished.Â
@iBear Why would they build a new arena for a team that is playing in another city? You dont build an arena for a team playing and reprensenting and generating revenue for another city. You have the team play in the city they represent, generate revenue for that city and built the arena only then.
 @iBear You Sir are an idiot. Do you think the fans in Sac would pay for a team they know is moving once the arena is ready? Use your head dummy.
They better not serve Starbucks coffee products at the new stadium. EVER!!!
Hope it doesn't turn out to be a donkey chasing a carrot show...
As a Seattle native who had the unfortunate experience of living in Sacramento for 6 very long years, I have to laugh at the Kings moving up north. Â The team, as well as the city of Sacramento, is totally ghetto! Â Does Seattle really want to associate itself with such trash????Â
 @SeaMonster Just a thought to consider:  How many of the Sonics players are left on the Thunder?  It's not like they will keep the roster, coaches, etc.  They are buying a franchise right....
"As we've said from the start, Sacramento is playing to win. For 28 years, we've proven time and again to be a top NBA market. Our fans have set league records for consecutive sellouts. Our corporate community has stepped up in ways never seen before. We are a top 20 media market where the NBA enjoys 100 percent market share and no competition from pro football, baseball or soccer," Johnson said.
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Except that you forget, Mr. Johnson, that lately your team hasn't done jack all to bring the people in. Admit it, the NBA is done in your town, move on and shut up.
 @BluefireJaguar They've supported crappy teams in the past. They aren't showing up now due to the uncertainty of their team over the last few years. It has absolutely nothing to do with them showing up or not just as it didn't make any difference here in 2008.
Anyone who trusts the NBA or David Stern is a fool, in 10-15 years time this exact same thing will happen, they will blackmail the city of Seattle for more upgrades to the building or even a new building or something else, and then will leave the city when they don't get their way.
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The fact that Seattle is having to steal a team from another city should give you all pause, how will you feel when the team is eventually stolen by another city? Do you enjoy this sick game of white elephant where cities lose and the NBA wins major $$$?
 @NW-Economist Well good thing Stern retires at the end of next season.
 @Hachee_Bungwhy And you think his replacement won't be exactly the same?Â
 @NW-Economist Steal?  The buyers are flat out saying they want to purchase it and relocate.  how is that stealing?
 @midel  @NW-Economist Because the "NBA has to approve it."
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The NBA was the organization behind the impetus that made the Sonics break their contract with Seattle and leave. The NBA is behind all of this because every time a team moves it is huge money for them and helps serve as a warning to other cities to give them anything they ask for, it's a tool for eternal blackmail.
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If you don't believe that then why couldn't Seattle just create a team? ANSWER THAT!
 @JK15  @NW-Economist And yet you fail to see that that is exactly the problem... keep drinking Stern's koolaid, he and the NBA are laughing all the way to the bank.
 @NW-Economist Don't start throwing wild hay-makers just because you were called out as not having a clue about the sport or league that you are on here bashing. You are saying that I have been "suckered by a system" that I clearly understand better than you.Â
 @JK15  @NW-Economist Whatever, it sounds like you are buying into this so much you are suckered by a system that was setup and designed to create as much money as possible and make artificial scarcity.Â
 @NW-Economist The fact that you use the word "recruit" as opposed to "draft", i'm forced to assume that you really don't pay much attention to basketball, or any sport for that matter. If that's the case, than there is really noting I can say that will help you grasp the concept of diluting the talent pool by expansion. You are obviously arguing about a subject that you really don't know much about.
 @JK15  @NW-Economist I imagine these same kinds of arguments could have been made before the most recently-created team was created. Do you really know the exact math behind this and why the EXACT number of teams we have now is EXACTLY perfect? As I understand it many teams recruit foreigners.
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I seriously doubt that we are at some exactly perfect equilibrium of numbers. Either there's enough for another team or the NBA is already containing many "unworthy" players due to a shortage. I tend to believe the former.Â
   @NW-Economist Yes, I am saying that you can't create ONE more team. You are apparently underestimating the caliber of players in pro sports. Only 1% of college basketball players are good enough to play in the NBA. Which means, you would be adding a whole team of players who were not good enough to make it in the league thereby diluting the talent and overall entertainment of the game.Â
 @midel  @NW-Economist  @JK15 Considering the lost investments of time, money and infrastructure as well as arguments about breaches of contract and fiduciary responsibility, a solid argument CAN be made about theft and the loss of rights of minority ownership.Â
 @NW-Economist  @JK15 Agree completely, but that is a question of expansion vs. relocation, not stealing.  When the Sonics were bought we were fed a line of trying to keep the team here, which was completely false.  At least in our efforts to buy the team we aren't lying about our intentions to relocate.  So it's not really "stealing a team".
 @JK15  @NW-Economist  @midel In a nation with over 300 million people we can't create ONE more team? Are you kidding me?
 @NW-Economist  @midel Poor ownership and a dilapidated dump of an arena is the reason Seattle lost the Sonics, and it's the same reason Sacramento is going to lose the Kings. There are a number of reasons the NBA doesn't just "create a team". First, the more teams you have, the more diluted the talent becomes. MLB is a perfect example of over expansion. Second, creating a team does not fix the issues that the Kings are facing.Â
I'll be honest I am not a big NBA/NHL fan. However, I do feel this is a good business move and will benefit the community for years to come. More high paid athletes living here and buying their bling bling and paying taxes.
It's the only sport I actually enjoy going to unless you count iceskating lol and it's clean fun to bring the family out for a b-ball game. I'm looking forward to it if it happens.
ooooh.. um... I think seattle wont get the kings now. if its a decision based on the cities commitment than i just dont know. from what i heard, sac seems to want the team.
Yeah,the conceptual drawing looks real nice...do you see all the business's around it?Where's the parking?How much will it cost to buy out those business's to move to build parking??
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Oh yeah..ten years from now when the spoiled punks in the luxury suites decide that the arena needs "massive updating and renovation" ..who do you think is going to be asked(told,or we'll leave) to pay for it?? >>that's right!!--it's the city resident/taxpayer ~
 @Pike's illusion Hi Pike, I just asked the architect where everyone will park. He said, "in Pike's front yard.. He can shuttle everyone to the games in his Subaru."
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I also asked some of the spoiled punks about not liking ithe suites in 10 years and they said "if we tire of them, we'll just move down to our courtside seats."
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Problems solved.
@Pike's illusion   Um, how much is the tax payer going to fork out for the new arena? How much did the tax payer fork out for Safeco Field? How about the Clink (formerly Seahawks Stadium)? I'll help you out.... the dollar amount is between the numbers $-1 and $1.Â
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The only ones that PAID for the previous two sports venues were people using hotels, rental cars, and resturaunts. That's it. So, with that track record in Seattle, PLEASE do better to convince me that the outcome you are predicting is going to happen.
 @path_tech  If you don't buy a ticket package, or a single ticket, you're not paying
 @path_tech gee..path_tech..do you remember Key Arena?? formerly the Coliseum?..it was renovated in 1994-95 at at the taxpayers expense,only to be demanded renovated 10 years later from the same arrogant multi-millionaires that I'm talking about..that's ultimately why they sold,and moved,because the the taxpayers said NO to a new 10 year upgrade..it wasn't in Seattle's budget,or the taxpayers budget for an overpaid ,mediocre team..
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my guess is ,you're a transplant from another city,who has no idea about Seattle.or it's history-just flapping about your new "team"..anybody who refers to the "Clink" is not from Seattle...it's called "Century Link"..they paid for that name on the stadium,and that's what it should be called- my apologies to you "Grey's Anatomy" transplants..lol!
@Pike's illusion  Why yes I DO remember Key Arena! I remember that BONDS were used to guarantee the money but the Arena was paid of SOLEY to income that the Arena brought in!!!! Yes, the Sonics were taken from us but let's be honest, Key Arena is right now a PROFITABLE entity. Does it make a bunch of money with no NBA? No, but it is in the black noneless.Â
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Show me proof that the tax payers forked over $75 million from their pockets before you call me out about being a transplant. I was born in Seattle, you Jack Wagon!
 @Pike's illusion  @path_tech Technically it wasn't the same multi-millionaires demanding renovation after 10 years.  The original remodel was done while Barry Ackerley owned the team.  The subsequent demand for renovation came from Howard Shultz and his ownership group.  The roster was completely different as well.
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Also, I was born in Seattle and have lived in the Puget Sound area my whole life. Â My friends and family call it the Clink more often than not. Â We continued to call Key Arena "The Coliseum" for about 3 years after the remodel. Â Stop speaking for me or anyone else as you lack authority and exhibit a great deal of ignorance and arrogance.
What Corporation will buy the naming rights to the new arena?
Astroglide Arena?
 @Rockberry Would be hilarious if it was Patrick Dempsey and his newly purchased Tully's that sponsored it.Â
 @The206  @Rockberry Tully's Arena right across from Starbucks would make me smile.
@Hachee_Bungwhy @The206 @Rockberry LOL! THAT might even make me support this deal!
I don't think we need a basketball team. And certainly not the worst one in the nation.
 @Agent43 Good God. Thankfully you are not in charge of anything. Go take a hike loser, the Sonics are coming back ASAP.
 @Agent43 Well they're not the worse team in the nation so GO SONICS!
 @Agent43 No one cares about your narrow sighted opinion. BRING BACK THE SONICS!
Get the Coyotes too!
There will be more law suits before this is settled
I hope they make a ton of money here. That would be the perfect f*** you to the previous owners.
 @Shelly Which is very possible with the new CBA.