Here’s the press release from the Maloofs:
MALOOF SPORTS AND ENTERTAINMENT STATEMENT
“Out of respect to Kings fans and the regional business community, we have decided to remain in Sacramento for the 2011-12 season. The fans’ spirit and energy, specifically our season ticket holders, has been remarkable and we are truly thankful for their loyalty. We also are greatly appreciative of the support from our corporate sponsors as well as other local businesses that have come forward in recent weeks.
Additionally, we would like to take this opportunity to send a heartfelt thank you to the loyal and hardworking team members within our organization. From the game night staff to the front office, coaches, and players, we are grateful for their professionalism and devotion.
During this process, Mayor Johnson has strongly indicated to both the community and the NBA that he is capable of getting the support to build a state-of-the-art entertainment and sports facility that the Sacramento Region and the tremendous Kings fans so rightly deserve. We look forward to seeing Mayor Johnson bring his vision to reality. However, if an arena plan cannot be finalized in a timely fashion, the NBA¹s relocation committee has assured Maloof Sports and Entertainment that it will support an application to move the franchise to another market starting in 2012-13.”
A report from the ICON group is due later this month. That information and perhaps another arena proposal from an “anonymous” Nevada businessman will frame the discussions for a new venue going forward. The scary part for Kings fans and Sacramento citizens is that it doesn’t appear as if the Maloofs are on the hook to do anything as part of the effort to stay. Presumably there should be some sort of contribution from the ownership group, but what will that be? If they’re cash poor, what can they provide other than the old arena, which it appears they’d give up anyway if they were to move? Right now this has to feel good for fans, but the task they and Mayor Kevin Johnson is daunting to say the least. Even if Ron Burkle were allowed to buy the team from the Maloofs, it’s not realistic to expect him to spend $400 million out of pocket on an arena. At least they’re getting a year, which is more than you could say for many other teams’ fans.
newballpark.org 
Yeah, today is a day for celebration. But the Kings and their fans still have a mountain to climb before March. And if not they’re going to lose the team for sure this time.
OT: Did Isaac and Suke get the boot already?
Back On Topic: This should be a wild ride. I would love for the Kings to stay in Sacramento. I hope they make it happen.
Near the end of last Friday’s show Isaac and Suke announced that Scott Jackson would be taking the 10-1 slot. It might be a tryout or temporary. Jackson is Sporting News Radio’s weekend overnight guy. I posted this on the FB page when I heard, so when it received no response I had to assume no one’s listening.
Isaac and Suke had been doing the 10-1 on the 95.7 then doing their regular show out of Portland from 3-7. They were a temporary fix until 95.7 found a permanent host for the midday slot.
Awesome. I’m glad the Maloofs included the statement about what will happen if the arena doesn’t get done. Knowing the end game is going to be a powerful motivator for galvanizing the necessary support. It’s also refreshing to see a professional league able to address this issue in a couple of weeks, rather than a couple of years (looking at you, Blue Ribbon Committee.)
The Maloofs will see next year in March that they made a huge mistake.
What makes them think that Sacramento can get this done when they have failed so many times in the past? What has changed I ask??
Nothing in reality and does anyone really think Samueli will be there in 1 year with the same offer? he was offer an increase of 13M per year on the TV contract, 70M for arena renovations, and a loan for 75M to the Maloofs…..That is a an unreal offer.
I must congratulate KJ as he succeeded and I am stunned he did not do this sooner. I think KJ’s logic is that by the Kings staying a year Anaheim will be out of the running and the Kings will have no other options in 1 year.
That buys Sacramento more than just 1 year to get this done….Which I think was his goal along, he knows deep down an Arena is not going to happen.
He just wants his approval to go up and it just did I am sure by 20 pts. If he can get the Kings to stay past next season (which it looks like) he will have assured himself re-election.
The Maloofs let their “heart” get in the way of their “Head and gut” on this one. It is said never listen to your “heart” over your “head and gut” because it will betray you.
This is said in both christian bible and Bhagavad Gita in Hinduism as well…..Maloofs are going to learn the hard way and be forced to sell eventually.
Kudos the Kings fans! They saved their team period, not just 1 year but several more down the line.
Sid… Uhhh… You don’t think David Stern had anything to do with this? Really? You think the Maloof’s aren’t having their arms twisted?
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We shall see if KJ can get a stadium deal done in an expedited time frame. There are a lot of tires to run through between here and the Kings staying put.
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Like in Oaktown, if it can be paid for, there is no reason it shouldn’t happen.
A decent thing for Kings fans in Sacramento but wait. They are given another year? Another season that maybe delayed ,or worse, cancelled by the up coming NBA owners lockout of NBA players and the hard road to an agreement and a new CBA between NBA owners and the NBA players union. If the Maloofs are taken out of the picture what new owner ,Ron Burkle or anyone else, will want to provide the money to build a new arena in Sacramento? Oh yes this arena will be “community funded” (Sacramento taxpayers footing the bill) sparing the new owner of the Sacramento Kings any grief in doing any heavylifting when it comes to paying for the new arena.
If that being the case then most Sacramento residents would rather have the Kings move back to Rochester than pay for a new arena via taxpayers money. The Anaheim group can afford to wait it out one year and a public vote for a new arena in Sacramento would be dead on arrival. The Kings back to square one and more than likely headed to Anaheim by spring 2012.
With regard to the question of the Sacramento Kings ownership being “cash poor,” NBA writer Sam Amick provided the following quote from a conversation which Amick had with Kings co-owner Gavin Maloof today.
“We’re not afraid to spend money…We have money. People don’t believe we have money. We’re very financially sound.”
I don’t see it as a win for Sacramento…just stalling for David Stern and the Maloofs to line up more political will and better options. Right now, their only two options were Anaheim (which needs some upgrades to be NBA ready) and the status quo. By waiting a year, they’ve given notice to the rest of the world about the situation. That opens up some other potential options in the next 12 months:
A.) The other 28 teams/Stern buy the Kings from the Maloofs, who are desperate for cash, at a favorable price as they did for the Hornets. This gives the Stern the leverage to potentially contract two teams (30 union jobs) in his all-important negotiations with the players.
B.) The league has an opportunity to solicit and vet other, out-of-the-area owners and markets. 12 additional months to see if the franchise is viable in Vancouver, Kansas City, Seattle if a bigwig is ready to build an arena there…
C.) (Perhaps most important): A new CBA will probably be ratified in the next 12 months. The results of that CBA will be crucial for determining whether or not the Maloofs can continue to afford to run an NBA franchise. If the terms of the CBA remain relatively the same, I don’t think the Maloofs can. If revenue sharing drastically increases, a hard cap is introduced, etc. – measures that favor a small-market owner – then maybe the Maloofs stick it out, because owning an NBA franchise becomes much more valuable if the owners “win” the CBA negotiations.
So really, this is just stalling. Similar to Selig, Stern is waiting to make a decision until he absolutely has to, building a coalition, allowing other pieces to unfold, etc.
In short, I do not foresee the Kings remaining in Sac. I can’t foresee an arena getting built there.
@Jeffrey- Stern just does not want to admit the inevitable must occur in the NBA….Contraction or relocation of teams. Stern already had given up on Sacramento a long time ago.
Stern is praying for a Sacramento miracle much like Bud Selig is in Oakland rather than set a precedent. In this case it was having 3 teams in one market while its T-rights with the A’s.
The NBA has provided full financial disclosure to the NBAPA and it shows they are in the red by 300M dollars.
The Maloofs screwed up here and I will explain in more detail:
1. Will Samueli be there in 1 year with the same offer?? NO…..Some other team is going to jump all over this that is in financial distress. He may just end up buying a team and moving it to Anaheim himself…..In short the Maloofs will have competition, right now they had none. Anaheim’s deal right now will not be there in 1 year.
2. Sacramento has shown only “words and pennies” from people who have had 13 years to do something….What makes anyone think any thing will change as Jacob Jackson mentioned above? KJ has not provided a financing plan either……Unreal.
3. There are 3 cities (Anaheim, San Jose, and Seattle) who have potential ownership groups waiting in the wings. By not striking while the iron was hot and the money was on the table they set themselves up to be stuck in Sacramento for more than 1 year in a decaying facility.
To elaborate on my 3rd point, Samueli was willing to do what most rich people will not do…That is fund something they have no control over. This is why San Jose and Seattle were not mentioned as destinations as their rich guys (Ellison and Ballmer) wanted to own the team so they could do what they wanted.
In the end the Maloofs “heart” will betray them and they will be forced to sell the team in 2-3 years. KJ will get his 2nd term as Mayor for saving the team past the election….That was his motivation alone and anyone who says otherwise is lying to themselves.
Bad business decision by the Maloofs…Then again we all know how “good” of businessmen they have been in the past blowing all of “Daddy’s money”….
Sid, I disagree with you that the Maloofs screwed up. There’s a ton of insider info we aren’t privy to. For example, I would not be shocked at all if this convo transpired:
Stern: “Gavin and Joe (Maloof), I know you want this Anaheim deal, but you guys have to stay put for a year. In return, I’ll guarantee you a sale price of $450M(?) a year from now. If no other bidder offers you that, the league will buy you out for that price, guaranteed. Also, this conversation we’re having right now never happened.”
Maloofs: “Ok.”
Sacramento is a much better market in the long term. Not too many franchises have a 2+ million person captive market. The league realized that, and that’s why they made them stay.
I’m a Sacramento County taxpayer, and I’d be happy to approve or even pay various forms of taxes to get an arena done. It may have failed miserably the first time, but it was also a ridiculously team-favorable proposal that was marketed horrifically.
If Sac puts together a reasonable arena plan, the Maloofs’ only options will be to stay or sell to someone who will stay (there is no shortage of suitors.) Given how motivated the community is to keep them, I’m pretty confident that a reasonable proposal will emerge. People seem to forget the tremendous historical support they’ve gotten, which is a real shame. This is hardly some broken market that just can’t work; it’s just taken a beating from the economy and crappy basketball the last couple of years.
A third of LA is still a far larger and more affluent market than Sacto. Let’s not kid ourselves here. Still, I’m happy to see them get another chance and I hope it works out longer than a year.
“Sacramento is a much better market in the long term. Not too many franchises have a 2+ million person captive market.”
A questionable assertion, to say the least. Orange County has a population of 3 million, and is positioned to draw fans from Riverside County (pop 2 million) and San Diego County (pop 3 million) as well. And it’s not at all clear Sacramento is much more “captive” than Orange County when it comes to basketball. While Staples Center is closer in distance to Honda Center than Arco Arena is to Oracle Arena, rush hour drive times (i.e. the time fans need to be drive to get to most games) are roughly the same (see Google Maps). Finally, Orange County offers a far larger corporate base than Sacramento, and already has the suites and club seats needed to tap into it.