Stern: Kings will Help Fund New Arena
City officials have said they expect AEG, a Los Angeles-based arena operator, to put about $50 million into the deal as upfront money. The city is reported to have asked that the Kings put in about $85 million of their own money. (David) Stern did not offer any hint whether the Kings have agreed to that amount, but indicated the team has agreed to put in some money.
“The team has agreed to a substantial contribution, both directly from itself, but also by catalyzing AEG to be interested. In effect, whatever money AEG puts in is because of give-backs by the team … so we see that as a team contribution,” Stern said. “Whether it ultimately closes all the gaps, we’ll know as we negotiate continuously and I fully expect that we will be negotiating in Orlando (this weekend when team and city representatives meet for the All-Star game)”
Earlier in the day, Sacramento Mayor Kevin Johnson said he expects to meet face to face with Stern this weekend in Orlando. He also said he expects city staff to present a deal “term sheet” to the City Council next Tuesday for its review.