The owners of Sacramento's NBA franchise sent another warning Monday that they will not sign off on a deal to build a new arena complex if they are expected to cover some of the project costs.
The Maloof family, which owns the Sacramento Kings, say they agreed to a deal to become a tenant in the new arena, which would be owned by the city and managed by a third part.
Pre-development costs are not the responsibility of the tenant. Further as a tenant, we should not be responsible to reimburse the operator for the development if the project never materializes, said Maloof family attorney Eric Rose in a statement released Monday.
Rose's statement also insisted that the Maloofs had made their views clear prior to the NBA's March 1 deadline, and noted that the family has never signed the term sheet.
While we have a good framework for a successful transaction, we still have issues that must be resolved. It is important for our fans to know that the Sacramento Kings organization is committed to working with the city to seek solutions to the unresolved issues, Rose said.
The Kings have been viewed as a possible target to fill Chris Hansen's proposed arena in Seattle. The team appeared to be off the table after Sacramento reached a deal to build a new arena, a $391 million project reached last month.
But key details in the Sacramento project have yet to be finalized. In particular, the plan hinges on the city leasing parking meters and selling land.
In a statement last Thursday, Mayor Kevin Johnson said, The success of the new entertainment and sports complex depends on complete trust and partnership among all parties. It was with that spirit that we all agreed to a deal in Orlando, including the Maloof family, who looked an entire room in the eye and promised their commitment to Sacramento. In light of the Maloofs' promise, we fully expect all parties to live up to their commitments.
If the Kings ultimately decide to abandon Sacramento, Seattle would not be alone is courting the team. Anaheim is one city the Maloofs have reportedly considered.
Reporting by KING 5 News's Chris Daniels.