Staying or going? Latest rumors, thoughts, etc.

[swisshh]

What are the chances that the local ownership group is bidding to buy the team with the option of flipping it to Burkle? If the Burkle option isn't going because of the Maloofs, could the city just act as a workaround? Or would buying and reselling the team so quickly upset the NBA?

[Peter_Gibbons]

What are the chances that the local ownership group is bidding to buy the team with the option of flipping it to Burkle? If the Burkle option isn't going because of the Maloofs, could the city just act as a workaround? Or would buying and reselling the team so quickly upset the NBA?

I don't think Burkle was ever as interested as it seemed. I mean if there is a bargain for another big league team, he would buy it. But it just doesn't seem like he is into a bidding war for the Kings. What he did last time by throwing his name out there for KJ was just a favor for Sac politicians and his friend Jerry Buss.

[Peter_Gibbons]

I was about to write a nice long, thoughtful, and wonderful note asking the simple question of whether Sacramento would accept Joe and Gavin as managing partners of the Kings if they made a local sale and there was adequate money behind them. This means the arena gets built, etc. Basically, have the Maloofs burned all bridges or is it simply George that has burned all bridges? I am beginning to sense that people would accept Joe and Gavin back.

I wonder if George was set up as the bad guy so the team could stay in Sacramento if he just disappeared. His role, which seems to come so naturally, is to be the bad guy while protecting the good image of Joe and Gavin.

I like the idea of presenting the offer directly to the league. The league is behind Sacramento as it should be and has figured out a way to maximize Sacramento's chances. Bravo KJ and Stern!

Thats what I've been saying. Simple good cop bad cop tactic thats used in business all the time. Have the bad guy be the "outsider" that normally lives in Vegas. Thats why I always said doubted that the decisions are really all made by George.

They just make it appear that way because Gavin and Joe are the ones that lives or frequents Sactown and need to show their face around the team.

[Peter_Gibbons]

Since Stern had that conference call with the relocation committee about the Seattle offer, I wonder if he has told KJ about the details of that offer. That is the only way Stern can show that he is committed to really helping Sac.

KJ will need to know exactly what he is going up against in order to have 2nd and 3rd offers in case what he brings to the table initially is not up to par.

[VF21]

I understand everyone's sentiment. But don't lose sight of the FOREST over the trees. If this makes them sell to Sacramento, then you do it.

That's why I said them owning a small percentage wasn't a deal breaker. That doesn't mean I ever have to pretend to like them.

[Section 101]

i don't think burkle was ever as interested as it seemed. I mean if there is a bargain for another big league team, he would buy it. But it just doesn't seem like he is into a bidding war for the kings. What he did last time by throwing his name out there for kj was just a favor for sac politicians and his friend jerry buss.

Zing!!!

a further sign of burkle's interest: His representatives recently looked into buying a 7 percent share of the team that is under the control of bankruptcy trustee david flemmer, according to flemmer.

Read more here: http://www.sacbee.com/2013/01/15/511...#storylink=cpy

[PurpleHaze]

I am sure if I sorted through this thread, I would figure out how much a local group has to come up with. Are they buying the Maloofs 53% or the whole team? If it's the whole team, some of the old ownership group might be part of the new ownership group. If it's just the Maloofs part, it's an offer of at least $180 mil if the team is valued at $350 mil. I understand another present owner wants out but the less of the original owners that want out, the better for the whole deal. There must be enough people in the world who would like to own a piece of a team in Sacramento hence my mention of MVP. He wants part ownership and wants a team in California. The fact that this area is almost over run with filipinos (I'm married to one so take no offense) might make this area even a nicer idea for him. He's eager.

It can't be that simple, can it? I think the FACT that there is an arena ready to be built must make this pretty attractive and although I may be one of the few, I think the team has a good future. They just need money and brains in the FO. I'll donate my $100. In fact it would be cool and, of course, of no use, if KF.com came up with an amount of money and offered to be part owners. Hey, raise a ruckus, right!!!! The fact we are not an organized entity makes no difference as it is the spirit of the thing. We could come up with a $1000 or so and make sure it gets publicized or be part of something that our dear Mike has going.

Edit: Maybe if I read some of the articles it would help me. But I'm lazy. Actually I'm still a bit gassed but this is getting my blood flowing again.

By the way, I am very forgiving of Gavin and Joe.

Kings sale regardless of who ultimately purchases the franchise is for 65% majority ownership. The Maloofs 53% plus 12% owned by minority share holder and family best buddy Bob Heinreich. It appears the other minority owners are holding onto their shares.

[Section 101]

I am sure if I sorted through this thread, I would figure out how much a local group has to come up with. Are they buying the Maloofs 53% or the whole team? If it's the whole team, some of the old ownership group might be part of the new ownership group. If it's just the Maloofs part, it's an offer of at least $180 mil if the team is valued at $350 mil. I understand another present owner wants out but the less of the original owners that want out, the better for the whole deal. There must be enough people in the world who would like to own a piece of a team in Sacramento hence my mention of MVP. He wants part ownership and wants a team in California. The fact that this area is almost over run with filipinos (I'm married to one so take no offense) might make this area even a nicer idea for him. He's eager.

It can't be that simple, can it? I think the FACT that there is an arena ready to be built must make this pretty attractive and although I may be one of the few, I think the team has a good future. They just need money and brains in the FO. I'll donate my $100. In fact it would be cool and, of course, of no use, if KF.com came up with an amount of money and offered to be part owners. Hey, raise a ruckus, right!!!! The fact we are not an organized entity makes no difference as it is the spirit of the thing. We could come up with a $1000 or so and make sure it gets publicized or be part of something that our dear Mike has going.






Edit: Maybe if I read some of the articles it would help me. But I'm lazy. Actually I'm still a bit gassed but this is getting my blood flowing again.

By the way, I am very forgiving of Gavin and Joe.

From what I have gathered the $525 is Hansen's valuation of the team including moving costs. So that $525 includes the $77 mil owed to the city plus the costs of relocation including the fee. So the estimated part the Maloofs would actually get in the sale is around $325-350 million for the full share. Since they only own 53% they would get $172,250,00 to $185,500,00.

[swisshh]

Not sure if posted:

http://www.grantland.com/blog/the-tr...-of-sonicsgate

edit: nm missed the bottom of the article

[Kingsguy881]

From what I have gathered the $525 is Hansen's valuation of the team including moving costs. So that $525 includes the $77 mil owed to the city plus the costs of relocation including the fee. So the estimated part the Maloofs would actually get in the sale is around $325-350 million for the full share. Since they only own 53% they would get $172,250,00 to $185,500,00.

And that amount they would get does not include the debt owed to the NBA, correct?

[Glenn]

So it is 65% of MY estimated value of $350 mil plus tack on a bit to overpay. I think this team will appreciate in value. That means that roughly $125 mil is already spoken for (the present minority owners minus one) and more owners need to be found. We need to find roughly $225 mil in ownership. If the Maloofs want to keep a minority position yet not run the team (unlikely) there is already money there but it can't be much.

As a slight shift, let us say KJ comes up $25 mil short. I suspect the NBA would chip in either as a loan or as a donation merely to keep the team in Sacramento and not move it. They have already loaned the Maloofs an incredible amount of money and to have that debt wiped off the books makes a $25 mil debt look like nothing.

BTW, I am not saying Seattle doesn't deserve a team but I AM saying they don't deserve OUR team. I feel very confident that this is the NBA's attitude.

I presume potential owners' names will be shared very soon. It will be interesting. I don't understand at all why people think Burkle will not be part of the equation. I understand some people think his name was a bargaining chip but that's getting a bit too devious for me. My worry about him is that he may have moved on.



Another question: assuming that the Kings teams value is around $350, is there more that a local group would need to pay? It would not be much in comparison with a move anywhere which involves paying relocation fees and the like to a not so insignificant amount of roughly an extra $150 mil.

BTW, why don't I have this much money? It's incredible to me how much money we are talking about and this is small potatoes compared to the Yankees, Dodgers, Cowboys and the like.

[pshn80]

Any acceptable bid to keep Kings in Sacto must include and assurance to the BOG that a new arena is approved. What has to happen to convince them of that? The arena plan lays on a table somewhere downtown unsigned. What would comvince them before 3-1?

[macadocious]

FWIW, there has been a lot of Grant Napear hate on here over the years, some of it justified, some not, but I don't think anyone can argue that he has not stepped up here in the last week.

[panda]

http://www.cowbellkingdom.com/2013/0...ase-the-kings/

Nice wrap-up of the situation, although some of it has already been discussed today. Link also has the audio from the mayor and a q & a.

[funkykingston]

Any acceptable bid to keep Kings in Sacto must include and assurance to the BOG that a new arena is approved. What has to happen to convince them of that? The arena plan lays on a table somewhere downtown unsigned. What would comvince them before 3-1?

The main hurdles were cleared. The NBA signed off on the plan, AEG was on board, the city had the potential funding for its share and the Maloofs had (at least briefly) agreed to the deal. Assuming a new ownership group is on board with the arena plan as originally laid out it should be full steam ahead. Are there still issues to resolve? Sure. But Seattle's new arena still has to pass environmental studies etc and is similarly "not done" either.

People want to compare the Seattle to OKC debacle to this situation but there are some important differences. Shultz & company sold the Sonics to Clay Bennett after they couldn't reach a deal for a publicly funded revamp of Key Arena. Bennett then tried to swing a deal for a new $500 million arena, almost certainly knowing that it wouldn't happen, before announcing that he was moving the team to OKC and breaking the lease with Key Arena.

I agree that deal was all kinds of shady, but the key difference is that the Sonics were sold and THEN moved. Whether the NBA knew Bennett would do exactly that or not I don't know. But in this case it's very clear. There IS an arena deal in place in Sacramento and there IS an ownership group assembled by KJ that would buy the team and proceed with the arena plan that the NBA itself helped create. Alternately, selling to Hansen/Ballmer is absolutely guaranteeing the Kings disappear so the Sonics can exist again. They aren't the same situation. One was the guy who owned the team moving them under distasteful circumstances and under the (admittedly flimsy) guise of trying to work things out in Seattle first. This is a team being sold and the NBA choosing whether to move them from a city that has done everything it can do to keep them.

In either case the team would play in an outdated arena for a couple years while the all the other steps are taken to work out the details on the new arena and actually build the thing. The Maloofs heading to Virginia Beach would be more like what happened in Seattle. And the Kings becoming the Supersonics would actually be worse (IMO) than what happened to the Sonics. Which is why I have faith in Kevin Johnson's efforts and hopes that the NBA will do the right thing. They certainly don't always, but they should here.

[whozit]

I don't think Burkle was ever as interested as it seemed. I mean if there is a bargain for another big league team, he would buy it. But it just doesn't seem like he is into a bidding war for the Kings. What he did last time by throwing his name out there for KJ was just a favor for Sac politicians and his friend Jerry Buss.

I don't doubt he would've liked to have gotten the team at a bargain basement price. Our economic engine has a built-in predatory nature from the corporate offices all the way down to the individual buyers down at the discount stores in the likes of Tuesday Mornings, Big Lots and the like. Your missteps will be someone else's gain. Nothing wrong with it.

I think you might be being dismissive of his possible motives with 'just a favor for Sac politicians and his friend Jerry Buss.' In the early days, the Maloofs' Kings and their Palms had synergy. Even if the team was losing money, you can't tell me their success on the court along with the image they marketed didn't help the bottom line at the Palms. When the gambling market changed, so did the synergy created. The economy did the rest. Today, Sacramento is the capital of the ninth largest economy in the world. Just a favor for Sac politicians or a favor for his business empire? It's not just what you know, but who you know. He has a reason to be motivated within reason.

[HereWeVivek]

So the guy from AEG says that Stern contacted him and told him to re-engage on the arena deal in Sac. Great news

[VF21]

Great response by Carmichael Dave to the Seattle folk:

Carmichael Dave ‏@CarmichaelDave

Responding on Seattle radio to Sonics fans saying "We feel bad, but if the team is already leaving...." http://pj.sulia.com:9090/my_thoughts...source=twitter …

[Warhawk]

So the guy from AEG says that Stern contacted him and told him to re-engage on the arena deal in Sac. Great news

Agreed!

[macadocious]

So the guy from AEG says that Stern contacted him and told him to re-engage on the arena deal in Sac. Great news

Biggest positive news since this story broke. There is no way that Stern does that if this is a done deal.