Metro Seattle: NHL, NBA and Arena - Part VI
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04-14-2013, 03:59 AM
Join Date: Mar 2011
Originally Posted by
It doesn't become official until the NBA approves it, and that decision won't come until the fate of Sacramento is decided next week.
Given that Sacramento has problems matching the old bid, and Hansen has upped his bid by another $25 million, I don't see Sacramento keeping the Kings. At best they get a promise of an expansion/relocation somewhere down the road, contingent on a new arena.
What worries me is Hansen's apparent unwillingness to own an NHL team. This is eerily reminiscent of ASG in Atlanta. Hansen would have to weigh the
$80 million in contingent funds (for getting an NHL team) versus
THE ONGOING REVENUE STREAMS
he'd have to forgo to an NHL team. Unlike the case in Dallas, the cost of the arena is not split 50/50 with the owner of the hockey team. He would lose the ticket/suite/parking/concession/etc revenue for 45 dates a year. A hockey team simply is not feasable without it.
If instead he booked 20 or 30 rock concerts/WWE/MMA/tractor pulls, he would get to keep that revenue. Another factor to consider is that the NHL team would be competing with NBA team for sports fan dollars and sport sponsorship dollars. On the other hand, "them Idol shows that kids like" appeal to a totally different demographic. They would be additional revenue streams, instead of cannibalizing the NBA revenue streams. Hansen could legitimately make the rents high enough that an NHL team would not be viable. Look at Paul Allen in Portland, Les alexander in Houston, and ASG in Atlanta. For a hard-headed businessman that already owns an NBA team, adding an NHL team is questionable at best.
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