City Leaders Vow To Push On With Sacramento Arena
SACRAMENTO (CBS13) -- The NBA players decided Monday to reject the owners latest offer, increasing the odds that the entire 2011-12 season will be lost, but city leaders have said that the lockout has no impact on their plans to build a new downtown Sacramento arena.
According to an analysis from City Hall sources obtained by CBS13, City Hall insiders believe an arena deal will work if the NBA or the Kings and the arena operator contribute between $80 and $120 million toward construction.
The same analysis shows the emphasis now being placed on privatized parking valued between $150 to $300 million, but the reports warns that the true parking value will not be known until parking is put out to bid.
A City Hall public hearing on arena parking is set for next month.
In response to the players' decision not to accept the owners' offer Monday, Mayor Kevin Johnson released this statement:
"It is often darkest before dawn. We have seen similar patterns of negotiations in past lockouts. I remain hopeful that all parties will come together and reach a solution. From Sacramento's perspective, our focus is on continuing to move forward on developing an entertainment and sports complex."
Later this week the mayor plans on highlighting the comparable construction of Kansas City's arena, which does not have an NBA or NHL team as an anchor tenant.
The Sprint Arena was built in 2007 without raising taxes. It was developed and is operated by AEG, the same company involved in Sacramento plans.
Sacramento's price tag is projected at nearly $400 million. Kansas City's arena cost nearly $300 million. AEG contributed $50 million to that project.
