I’m pleased to announce an agreement w/ Burkle-Mastrov-Ranadive group on a public-private partnership to build a new ESC at DT Plaza Mall…
— Kevin Johnson (@KJ_MayorJohnson) March 23, 2013
But wait! There’s more!
For a comparable investment to the 2012 deal, we've secured more private investment & greater econ development potential at the new site…
— Kevin Johnson (@KJ_MayorJohnson) March 23, 2013
And more…
The new ownership, historic in its reflection of our city's diversity, will invest up to $1B in Sac – a strong sign of confidence in our mkt
— Kevin Johnson (@KJ_MayorJohnson) March 23, 2013
and more…
The new ownership, historic in its reflection of our city's diversity, will invest up to $1B in Sac – a strong sign of confidence in our mkt
— Kevin Johnson (@KJ_MayorJohnson) March 23, 2013
and more…
With all that said…I'm pumped!! Ron B & I officially closed the deal a few mins ago – maybe this pic says it best! pic.twitter.com/AThMg9sAG9
— Kevin Johnson (@KJ_MayorJohnson) March 23, 2013
In case you couldn’t figure it out, this is a pretty huge deal for Sacramento. Kevin Johnson and the City have stepped up again to come up with a major public subsidy to keep the Kings in Sacramento. Unlike last time though, this new arena deal in Sacramento will include a sizable investment from the private parties involved (that would be the triple whale of Burkle, Mastrov, and Ranadive). Or in other words, this deal is going to be way better for the City of Sacramento then the one they had agreed to with the Maloofs.
Basically it sounds like Sacramento will again be contributing $258 million and the Whales will be throwing in $190 million plus pre-development cost. The fact that this is also at the Downtown Plaza site (right in the middle of downtown) is one of the biggest reasons the City is willing to throw a large amount of money into this building. The city Council is expected to approve this deal.
This is really the last piece to fall into place before the NBA Board of Governors meets on April, 18th.
