SACRAMENTO STANDOFF
New arena plans have capital deeply divided
Tom FitzGerald, Chronicle Staff Writer
Friday, April 1, 2005
Sacramento --
New arenas continue to pop up in NBA cities around the country. They
are full of what pro sports people like to call "amenities'' -- snazzy bars
and restaurants, state-of-the-art scoreboards with high-resolution video
screens, corporate suites and luxurious locker rooms worthy of the millionaire
ballplayers they house.
The Memphis Grizzlies and New Orleans Hornets moved from Vancouver and
Charlotte, N.C., to arenas that were financed completely by public largesse.
Charlotte, in turn, landed the expansion Bobcats with an arena that will open
in October. Its $265 million cost was paid in part by $100 million from local
financial institutions, $23 million in up-front lease payments by the club,
and the rest from taxes on hotels and rental cars.
Even Kansas City, which lost the Kings to Sacramento in 1985, is building
a $250 million downtown arena, largely with hotel and rental car taxes. The
city is operating on the premise: If we build it, NBA Commissioner David Stern
will come.
Meanwhile, in trying to replace antiquated ARCO Arena, Sacramento is
shooting nothing but airballs.
The Kings want somebody to show them the money, but Sacramentans have
made it clear that tax money won't be involved. Two plans to build a publicly-
funded arena downtown never made it to a ballot. A third try, by landowners in
the North Natomas area near ARCO, looks doomed, too. Their plan would have
funded an arena in return for getting their land rezoned for residential
development more rapidly.
"I think it's dead,'' Kings co-owner Joe Maloof said. "We appreciated
them trying."
Maloof and brother Gavin -- the family owns 54 percent of the Kings --
have a management style similar to that of Dallas Mavericks owner Mark Cuban.
They are not only service-first bosses but highly visible cheerleaders,
lacking only Cuban's cloying self-promotion.
On the other hand, while the Maloofs are circumspect when it comes to
committing much of their own money to the arena project, Cuban and the owners
of the NHL's Dallas Stars put up the lion's share of the money for the $400
million American Airlines Center, completed in 2001. The city of Dallas
provided just $125 million, again mostly from hotel and rental car taxes. The
high-tech arena has 144 luxury suites, all of them sold on a season basis.
ARCO Arena, built in 1988, has just 30 luxury suites. Its seating
capacity of 17,317 is fourth smallest in the NBA. The seats rest on uncovered
plywood. The concourses are too narrow to accommodate the crowds. And, Joe
Maloof pointed out, "We get roof leaks all the time."
What makes the arena saga strange is that Sacramento and the Kings are
one of the great love affairs in the increasingly rancorous world of pro
sports. Although their one real window of opportunity for an NBA title closed
three years ago -- on a buzzer-beating 3-point shot by Robert Horry of the
Los Angeles Lakers in Game 4 of the Western Conference finals -- they have
sold out ARCO for 263 straight games despite having some of the highest ticket
prices in the NBA.
Though on track for their seventh straight playoff appearance, the Kings
have gone through a rough patch since trading Chris Webber, 32, a great but
often gimpy player whose career seems on the descent, to Philadelphia a month
ago. But the boos at ARCO are generally reserved for the visitors and refs, as
when beloved guard Mike Bibby was ejected in the closing seconds of a recent
loss to the Warriors.
All that good will for Sacramento's only major-league team hasn't
translated to much political and economic support for a new arena.
Environmentalists complain that much of the land in the latest arena
scheme rests on a flood plain and would require major drainage facilities. It
also is considered habitat for 122 protected species, mainly the Swainson's
hawk and the giant garter snake.
"There's a sky-is-falling mentality that they'll leave if we don't
provide an arena for the Maloofs,'' said Vicki Lee, head of the local chapter
of the Sierra Club. "Why should they, if they can get the leadership of
Sacramento to be gullible enough to open areas that don't have public
infrastructure, that are part of a habitat conservation plan? It's like none
of that matters. We'll skim enough money off the top, and the millionaire
Maloofs won't have to pay off."
"These landowners just wanted to get on the fast track for urban
development,'' said Jim Pachl, attorney for the group Friends of the
Swainson's Hawk. "Gee, if these guys are willing to give up 20 percent of
their profits, they must know they're going to have some real problems getting
through the normal governmental processes. The whole purpose was to railroad
entitlements that would be controversial.''
All this political and economic wrangling has players feeling the strain,
as well.
"I'm hoping they're going to find a solution,'' the Kings' leading scorer,
forward Peja Stojakovic, said. "This city and these people deserve a
professional team. We enjoy being here and playing basketball. They've been
loyal to us, and we've been loyal to them. It's a great relationship.''
Within a few years, though, that loyalty could be put to the test if an
arena plan isn't forthcoming.
"I never anticipated we'd have the kind of delays we've had,'' Joe Maloof
said. "It's been tough. I don't know what it's going to take."
Would the Kings consider leaving a city that holds them in its warm
embrace, a metropolitan area that has 2.1 million residents and is adding 50,
000 every year?
"We're not considering that,'' Maloof said. "We've never talked about
something like that. Our game plan is to put something in Sacramento. We've
just got to get something done here.''
Others wonder.
When the latest arena idea foundered, the Sacramento Bee stated,
"Predictions that the Kings will leave town are swirling. Speculation has been
running rampant, with cities such as San Jose, Anaheim, Kansas City and Las
Vegas all bandied about as possible destinations."
"They may be history unless something changes,'' former city councilman
Jimmie Yee told The Chronicle. But he added, "I'm not saying they're leaving.
I don't know where they'd go that would give them the same support that the
Kings have here.''
Like Yee, city councilman Steve Cohn has been pushing for a new arena. He
insists the North Natomas land development plan is still alive. "Any time
you've got a group willing to put $200 million on the table," he said, "that's
a good starting point.''
The group originally had sought a ballot measure that would have
expedited development of 9,000 acres of farmland into residential areas.
Insiders say such a deal could cut the time of getting the development through
the bureaucratic process from 10 years to five. More than 40,000 homes could
be built on the land, and estimates on the potential payoff range from $2
billion to $5 billion.
In return, the landowners were going to divert about 20 percent of the
expected proceeds, up to a ceiling of $275 million, to build an arena and
create a $25 million endowment fund for the arts and youth sports. The Kings
would kick in the rest, then keep all the new arena's revenues, and everybody
would be happy.
The wheels came off the plan in January when some of the property owners,
led by former Congressman Doug Ose, pulled out and took their 2,000 acres with
them.
"Our estimates left us $80-90 million short of our $300 million goal,''
said Steve Thurtle, a member of the landowners' group. "We think it's a good
idea, but we've exhausted our efforts.''
Just how much an arena would -- or should -- cost is debatable. The
Kings want a $400 million facility, citing the higher costs of construction in
California. Thurtle, Cohn and others think a $300 million home would be more
reasonable, given the price tags of arenas in Memphis ($250 million),
Charlotte ($265 million) and Kansas City ($250 million).
Those cities, however, don't operate under tax restrictions like
California's Proposition 13. Also, labor costs are higher here, and Kings part-
owner Bob Hernreich said, "The cost of steel has gone up 50 percent in the
last year and a half.''
"Our problem,'' Cohn said, "is we don't have the level of corporate
sponsorship you have in the Bay Area.''
Some of the deepest pockets in Sacramento belong to the Maloofs. The
family recently announced it would spend $600 million to expand its Palms
Casino Hotel in Las Vegas with a 40-story tower housing 347 hotel rooms and a
50-story tower with 599 luxury condos. The Maloofs were immediately criticized
in Sacramento for refusing to build an arena with their own money or, at the
least, to make up for the shortfall from the North Natomas plan. The Palms is
highly profitable, while the ARCO/Kings operation barely makes money.
More to the point, most cities realize that in order to attract NBA
franchises or keep them from leaving, publicly-funded arenas are standard
procedure.
"Industry wide, roughly 20 percent of arena costs are paid for by the
team, either in cash or debt service,'' Thurtle said. "The Kings are not the
villain here.''
But even among people who love the Kings the most, it's far from
unanimous that a new arena is needed. At a recent game, Chuck Arana, a 37-year-
old fan, said he hopes ARCO is never replaced.
"You get a good view from wherever you're at in the arena,'' he said.
"Everybody's happy when they come here. (In a new arena) you're just going to
have a bunch of luxury boxes and people who don't care about the game, more
business people who just come once in a while rather than people who come to
every game.''
KINGS ARENA PLAN EXPECTED SHORTLY
October 23, 2008
Copyright 2008 MediaVentures
Sacramento, Calif. - The NBA and Cal Expo expect to produce a plan within 90 days to build a
new Kings arena at the state fairgrounds, an NBA consultant said.
Representatives of the league and Cal Expo have spent five months working on a conceptual
blueprint for the revamping of Cal Expo into a "village" with a modern fairgrounds, arena,
housing, office, entertainment and retail uses.
Now the NBA will commission a study to examine the plan and tweak it so that it's financially
feasible.
That study should take about two months, said John Moag, the NBA's point man on the arena.
He expects to be back before the Cal Expo board in December or January. At that point, the
board will decide whether to solicit developer proposals to execute the plan for the 360-acre
fairgrounds.
"Within 90 days we're going to know whether Cal Expo and the NBA have a deal, and what the
plan looks like," Moag said.
He added: "We'd pull the plug in a heartbeat if we didn't think it was going anywhere, because
it is very expensive."
Moag said the NBA has spent millions on the effort so far. Brian May, deputy general manager
of Cal Expo, said the state fairgrounds has spent $75,000 in legal and consulting fees.
On Oct. 31, the Cal Expo board is scheduled to vote on extending the negotiation period with
the NBA - set to expire Nov. 21 - until the economic analysis is finished.
A tentative plan for the Cal Expo site has been circulating for months, but the NBA and Cal
Expo are keeping it under wraps because it is still evolving.
City officials were briefed by the NBA in August. They were required to sign a confidentiality
agreement, said John Dangberg, deputy city manager.
If both parties agree the plan makes financial sense, they will solicit proposals from developers
interested in overhauling the sprawling, 40-year-old fairgrounds complex along Business 80 near
the American River.
The idea is to build enough homes, offices, retail stores and restaurants to pay for a
replacement of Arco Arena - which the NBA says is obsolete - and a modern state fair facility.
The arena alone could cost $500 million, and the cost of rebuilding the fairgrounds has been
estimated at $150 million.
May has said Cal Expo would not sell its 360 acres to a developer but would enter into a
long-term lease. When the lease ran out, everything on the site would revert to Cal Expo's control.
If the parties move forward, Cal Expo and the NBA will be battling an economic headwind that
has left developers reeling nationwide. (Sacramento Bee)
NEW SACRAMENTO MAYOR BACKS ARENA
February 12, 2009
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Sacramento, Calif. - Mayor Kevin Johnson is jumping into the drawn-out game of getting
Sacramento a new Kings arena.
In recent days, Johnson met or spoke with the Kings' owners, Gov. Arnold Schwarzenegger,
NBA Commissioner David Stern and representatives of Cal Expo, the site of a proposed new arena.
The mayor said the meetings were not sparked by concerns over whether the Kings would leave
Sacramento but were instead designed to bring him up to speed on the process of building a new
arena.
NBA officials said last month the league's effort to build an arena at Cal Expo has been
hampered by a sluggish real estate economy. The delay led league and Kings officials to
acknowledge that the Maloofs - the family who owns the Kings - have grown frustrated.
John Moag, the NBA consultant who is working with Cal Expo officials on a plan for an arena,
said the Maloofs have not spoken to him about filing a request with the league to move the Kings
out of Sacramento. Still, he acknowledged the owners are discouraged by slow progress on the
arena deal.
On Feb. 27, the Cal Expo board will see a master plan for a mixed-use project that includes a
revamped space for the California State Fair and an arena. An NBA financial feasibility study for
the project is also scheduled to be discussed.
The mayor said he is "a huge proponent of (an arena) happening at Cal Expo if it makes
sense." He said several factors, including the economy and impact an arena would have on traffic
around Cal Expo, need to be considered.
Johnson said that for now, Cal Expo should be considered above other arena options, including
building at the downtown railyard or in Natomas. (Sacramento Bee)
NBA SHOWS PLANS FOR SACRAMENTO ARENA
March 5, 2009
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Sacramento, Calif. - National Basketball Association officials have released a proposal to the
Cal Expo board that reportedly would wipe the slate clean at the 40-year-old fairground,
eliminating the horse-racing track, the grandstands, the livestock pavilions and other buildings.
In their place, town houses, apartments, offices, stores and restaurants would sprout on a new
street grid, anchored by an arena for the Sacramento Kings and a site for what Cal Expo officials
have billed as a modern State Fairground and year-round event center.
City officials have hailed the plan as dramatic on three fronts: as a prototype for urban
development in Sacramento; as the move that could finally give the Kings what they want to stay
in town; and as a financial boost for a fading State Fair.
But questions remain unanswered: How will the project be funded? How many years will it take
to build? Will any developer sign on in this down economy? And, will the Kings stick around long
enough to see it all happen?
NBA officials want to move quickly, saying they have little time to spare in helping the
financially ailing Kings secure a new arena.
"There is a tremendous amount of work required before you can go to the development
community and get solid proposals," NBA representative John Moag said. "We have about a year
to put something together that makes sense. If we miss that opportunity, we do have a problem on
our hands."
The Kings have struggled unsuccessfully for nearly a decade to replace the aging Arco Arena.
Now, team owners say they are losing money as a bad economy and poor play by the team leave
more empty seats.
Despite that, Joe Maloof this month repeated his long-standing mantra: The team has roots in
Sacramento, it is part of the community, and he hopes an arena deal can be arranged.
The board is expected to convene a meeting later in March to vote on whether to sign an
agreement with the NBA for the fairground remodel.
If the answer is yes, NBA and Cal Expo officials will launch a nationwide "request for
qualifications" process to seek potential project developers.
The NBA stepped in two years ago to lead the arena effort after Sacramento voters
overwhelmingly rejected a ballot measure for a publicly financed arena downtown.
Moag, point man for the NBA effort, said he believes his group has put together a workable
proposal.
"It's heavily dependent on private-sector investment, and a lack of direct taxpayer dollars," he
said.
He said he envisions the project moving forward this year with land entitlements, environmental reviews and more work on plans and financing.
"Then, when the market is right, we're ready to go," Moag said. (Sacramento Bee)
April 2, 2009
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Cal Expo directors have agreed unanimously to extend a letter of understanding with the NBA for development of a new arena for the Sacramento Kings until Nov. 30. The letter details the actions that can be taken on behalf of Cal Expo and the NBA during the development of an arena, exposition facility and fairgrounds. (Sacramento Bee)
STATE PLAN UNLIKELY TO AFFECT KINGS' PROSPECTS
May 21, 2009
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Sacramento, Calif. - Observers say a state plan to sell off assets, including the Cal Expo
fairgrounds, is unlikely to affect efforts to build a new arena for the Kings on that property.
Administration officials, in fact, said they approve of Cal Expo's effort to bring a private
developer aboard to build a new fairgrounds, an NBA basketball arena, and an urban community of
homes, businesses and stores.
Selling the land to a private developer, may even speed up the process of developing the land,
they say. The land has an estimated value of $150 million.
Should the governor win legislative approval for his plan, it likely would force Cal Expo and the
NBA to rewrite their development plan.
Currently, the tentative plan calls for the state to lease the western end of the 300-acre site to a
developer to build a mixed-use community, including theaters, a hotel, stores, offices and housing.
An arena could cost $500 million, and remade fairgrounds another $290 million to $350 million,
consultants estimated.
Cal Expo officials say they are still in the exploratory stages of the project, but NBA officials say
they face a tight timeline.
The Kings reportedly are losing millions of dollars at Arco Arena, which team officials say is
outdated.
A league representative said the NBA feels it must make significant progress this year on an
arena deal to keep the basketball team in town.
NBA and Cal Expo consultants have disagreed over whether the plan makes financial sense.
Sacramento city officials said putting Cal Expo land into private hands for redevelopment could
be a boost for their adjoining Point West and Arden Fair mall area.
CAL EXPO REPORTS POSITIVE FEEDBACK ON DEVELOPMENT PLAN
July 30, 2009
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Sacramento, Calif. - Cal Expo and NBA officials say they have received valuable feedback from
four developers asked to give their opinions about a plan to build a new arena at the fairgrounds
and help finance it with proceeds from other development.
Officials said they learned that their idea is viable, but not until economic conditions improve.
Expo and NBA representatives said they were told they should continue laying the groundwork
for the redevelopment plan in anticipation of an eventual economic turn-around.
Officials declined to say which developers participated. A.G. Spanos company officials
confirmed their participation. Spanos is owner of the San Diego Chargers.
The redevelopment effort began nearly two years ago when NBA officials approached Cal Expo
about building an arena on site.
Expo officials say their fairgrounds need an overhaul. NBA and Sacramento Kings officials say
the team's current home, Arco Arena, is antiquated and doesn't allow the financially struggling franchise to produce adequate income. City voters previously rejected a proposal for a publicly
financed arena in the downtown railyards.
The NBA wants to start the formal process this year of signing a private developer as a partner.
The strategy is for a developer to finance and build the new fairgrounds and arena. In
exchange, that developer would lease part of the existing Expo site to build a mixed-use
community.
The challenge will be coming up with up-front financing to get construction started. The plan
envisions three key funding sources: private funds from the developer, funds from the Kings, and
tax increment funds from expected future increased value of the Cal Expo land.
NCAA SNUB PUSHES SACRAMENTO TO PUSH FOR ARENA
September 24, 2009
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Sacramento, Calif. - After learning that the NCAA considers Arco Arena insufficient for a spot
in its menÕs basketball tournament, Mayor Kevin Johnson said efforts to replace the venue must be
speeded up or the city could risk losing its NBA franchise as well.
Arco Arena has hosted the NCAA four times since 1994.
Sacramento Sports Commission officials said they were told the city's bid to host tournament
games through 2013 had been denied because of concerns over the conditions at Arco Arena.
"They said, 'I hope you will consider bidding in the future when you get your arena issues
resolved,'" said John McCasey, executive director of the Sacramento Sports Commission, which
filed the bid.
An emotional mayor said it was "staggering and mind-boggling" that Arco - home of the NBA's
Kings since 1988 - is no longer considered suitable for big-time college basketball.
In response, Johnson said he wants to see a proposal to build a new arena at Cal Expo soon.
If one doesn't materialize - and if the city doesn't start seriously considering alternate options
for a new arena should the Cal Expo plan fall flat - the threat of the Kings leaving town will
become more real, according to the mayor.
NBA representative John Moag, who is leading the NBA's three-year effort to build a new arena
at Cal Expo, said he understands the mayor's frustration about the slowness of that effort.
"I think the mayor is expressing a sense of where we all are," Moag said. "We are in a bad
economy in a state that doesn't have any money. Lending has dried up. We can't force developers
to borrow money they can't get."
October 1, 2009
Copyright 2009 MediaVentures
The owners of the Sacramento Kings say they have no deadline for building a new arena and
the team has no intention of leaving town next year. Gavin Maloof says a new building is needed,
but considering the stateÕs economic challenges his family is willing to be patient and let the
process play out. Maloof said the family is committed to keeping the team in Sacramento.
SEAT MORTGAGES MAY FUND SACRAMENTO ARENA
October 29, 2009
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Sacramento, Calif. - NBA officials are considering 30-year "seat mortgages" as a way of
financing a new arena for the Sacramento Kings.
Officials have met twice recently with a Chicago-based company pitching the concept of
"equity seat rights" or "seat mortgages" to finance stadiums and arenas without having to go
hat-in-hand to voters with unpopular tax increase proposals.
The company, Stadium Capital Financing Group, is putting together a similar deal to renovate
the football stadium at the University of California, Berkeley.
There about 3,000 seats are for sale to fans, ranging from $40,000 to $220,000 per seat,
university officials said. Fans purchase the seats for 40 or 50 years and either pay in whole upfront
or in annual chunks.
An official with Stadium Capital estimated it would take fewer than 2,000 seat sales in
Sacramento - in an arena with 18,000-plus seats Ð to finance construction of what could be a $500
million facility.
City officials and Stadium Capital Chief Executive Lou Weisbach declined to estimate how
much those seats might cost.
One challenge, he said, would be structuring a financing program that allows enough revenue
for a professional sports franchise that has higher operating costs than a college team.
"Nonetheless, (the seat mortgage concept) might provide an option, at least in part, for
financing a facility, and we're very interested in exploring it to see what we can do to mitigate the
potential challenges for a pro sports team," he said.
So far, the concept is in use in the United States only at two universities. But Weisbach, whose
company is majority-owned by Morgan Stanley Principal Investments, said he's confident equity
seat rights can be the answer for Sacramento.
Meanwhile, plans to use money from new development to fund the new arena on the stateÕs
fairgrounds are being called into doubt because developers may not be willing to invest under the
current economic conditions.
"There is not a developer I know in the country who would do it, especially in today's
economy," said John Semcken, vice president of sports stadium builder Majestic Realty Co., who
viewed Cal Expo's plans, told the Sacramento Bee.
Majestic Ð which built Los Angeles' Staples Center arena, home of the Lakers, and plans a
football stadium in the City of Industry near Los Angeles Ð was one of four developers consulted by
Cal Expo and the National Basketball Association about the viability of their arena and fairgrounds
plan.
Even if the economy improves, Semcken said the initial plan appears risky. It calls for a
developer to front money for the project.
His comments serve as a cautionary backdrop as Cal Expo and the NBA consider formally
advertising for a private developer to help them finance an arena and a new fairgrounds. Officials
said the developer would be allowed to lease and redevelop the rest of the aging and underused
Expo site.
Expo officials acknowledge they learned in their discussions with developers that the recession
makes the project problematic and tougher than it appeared in February, when the NBA unveiled
the concept.
Expo officials said they feel the ball is still in their court and they expect to press forward.
Staff members had planned this week to have the Cal Expo board review and possibly vote on
publishing a formal document soliciting potential partners. The NBA, however, asked them to hold
off while the league reviews the document.
Kings co-owner Gavin Maloof defused some pressure this month, saying team owners have
rededicated themselves to being patient, given the tough economy.
Team owners acknowledge they have talked with cities interested in landing an NBA team, but
continue to believe that Sacramento is the best place for the Kings.
Maloof said the focus now is on providing a team that will excite fans.
SACRAMENTO MAYOR CREATES ARENA TASK FORCE
November 5, 2009
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Sacramento, Calif. - Mayor Kevin Johnson does not want to wait for efforts to build a new
arena for the city at the Expo Center to gel and instead has created his own exploratory committee
to investigate the potential for a new arena.
Johnson said he would not accept arena proposals that include new taxes and said he does not
want Sacramento to be used as leverage for another city hoping to lure away the Kings. And he
said a proposal to build an arena at Cal Expo "cannot be our only option."
Getting a new arena built for the Kings has become a recurring theme for Johnson in recent
weeks, especially since the NCAA said Arco Arena would not host men's basketball tournament
games through at least 2013.
Johnson said he wants an arena that acts as "an entertainment center that lights up six blocks
in all directions," is linked to mass transit and utilizes green technology.
Johnson said the task force has not been formed, and despite a tight timeline, he said he
expects responses to his call for requests for proposals.
Besides Cal Expo, Johnson and city officials have discussed the downtown railyard and the
current Westfield Downtown Plaza site as possible locations.
NBA officials said the basketball association continues to work on a plan for an arena at Cal
Expo, but said the economy has slowed that process. She said the NBA is willing to work with the
mayor on a broader effort for an arena.
Meanwhile, Cal Expo officials have agreed to extend their formal agreement with the NBA to
continue working on plans for a new fairgrounds and arena on Expo grounds.
The existing letter of understanding was set to expire next month. The NBA had requested the
six-month extension.
The plan calls for a mixed-use development on the fairgrounds with revenues from the
development going to fund an arena. A lack of interest from developers and the problem of
obtaining capital to finance such a project have slowed the effort.
SACRAMENTO MAYOR FORMALLY REQUESTS ARENA SUGGESTIONS
November 12, 2009
Copyright 2009 MediaVentures
Sacramento, Calif. - Sacramento Mayor Kevin Johnson has alerted developers that he wants
their ideas for a new sports and entertainment center in the city. A formal request is available on
the city's web site and responses are due in 45 days.
The request asks responders to give a timeline for an arena project, how the facility would be
paid for, who their development team will be and where the arena will be built. Once received, a
task force will take 90 days to review the proposals.
DEVELOPERS INTERESTED IN DOWNTOWN SACRAMENTO
November 19, 2009
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Sacramento, Calif. - At least two developers are interested in presenting concepts for a new
arena to host the Sacramento Kings with a previously abandoned downtown location mentioned as
a possible site. A task force has asked developers to submit ideas for building an arena. The
deadline for proposals is Dec. 24.
As part of their proposals, developers must include: a design for an arena; a financing plan -
including equity sources and whether public money would be used; a timeline for construction; a
location; and the number of jobs the arena would create.
The mayor has said he will not favor plans that involve new taxes.
Suheil Totah of Thomas Enterprises, the developer for most of the downtown railyard, said his
group is "definitely going to be submitting a proposal." He said Thomas might propose more than
one site within the railyard development for an arena.
Another developer working on an arena plan is Gerry Kamilos, whose projects include the
proposed Metro Air Park business area near Sacramento International Airport and a handful of
large housing developments in the area. Kamilos would not discuss where he would put the arena
until his team "completes our analysis and research."
NBA representative John Moag, who is working with Cal Expo on an effort to build an arena
there, said the NBA supports the mayor's initiative.
"We've indicated we are very supportive of the mayor's strong interest in making something
happen," Moag said.
However, he declined to say what it means for the ongoing efforts at Cal Expo and whether the
Cal Expo site could play a role in the mayor's arena effort. He also declined to say whether the
NBA could entice any major developers nationally to participate in a Sacramento project.
