Kings, Sacto Reach Tentative Deal

The Sacramento Kings, the city and the NBA reached a tentative financing agreement Feb. 27 to build a new Kings arena that would keep the team in Sac Town.

Sacramento Mayor Kevin Johnson, team owners the Maloof family and NBA Commissioner David Stern spent several days in Orlando, Fla., during the NBA All-Star festivities working out the framework of the deal before the NBA’s March 1 deadline.

“I think it’s great for our community,” Gavin Maloof said. “I’m glad it’s finally coming to an end after 13 years. It’s been a long road.”

Under the tentative plan, the city would pitch in $200-$250 million toward the estimated $327 million arena, primarily by leasing parking garages near the venue and with an arena ticket surcharge.

The Maloofs would contribute about $75 million in up-front cash, including selling land around the team’s 17,000-capacity Power Balance Pavilion and paying off a $67 million loan to the city, as well as future contributions.

Arena operator AEG reportedly agreed to contribute about $60 million to the project, tentatively set to open for the 2015-16 season.

The Sacramento City Council is scheduled to vote on the proposal March 6.