The Sacramento Kings are in the middle of a bidding war for the franchise and a record $625 million offer has now been made in Seattle.
A committee of owners voted two weeks ago that the Kings should stay in California and that announcement led group leader Chris Hansen to aggressively up his offer from $358 million to $406 million. Based on the total valuation of the offer the deal would increase from $550 million to $625 million.
The deal is already valued at nearly double the $377 million the Memphis Grizzlies received in October 2012.
In a statement regarding the offer Hansen revealed in a public statement:
“While we appreciate that this is a very difficult decision for the league and owners, we hope it is understood that we really believe the time is now to bring the NBA back to Seattle. It is paramount that we do everything we can to put Seattle’s best foot forward in this process.”
The team has also received a $341 million offer from a group of partners led by Vivek Ranadive. The second offer includes the promise of securing another $250 million in public money that would be used to build a new arena for the Sacramento Kings. The Ranadive offer is worth a combined $525 million.
Ranadive has tried to get on the good side of team owners by offering to forfeit tens of millions in revenue sharing over the next few years.
With the Seattle group offering to bring the franchise to a larger market they believe their offer will secure a brighter future and bring more revenue to the league.
In a statement on Friday Seattle mayor Kevin Johnson said:
“We feel very confident about the position we are in right now. The NBA leadership and owners have always said that their decision would not be dictated by a bidding war. This was always about whether Sacramento, a community that has supported the NBA for 28 years, can put together a plan and organization to ensure the franchise can rebuild and thrive.
The ownership group, the city, and the community have shown the NBA, without any shred of doubt, that the Sacramento Kings belong in Sacramento. I believe the NBA owners realize that there is far more to think about than just an increased bid. They know what this story means to the league. We look forward to talking with all of them again in Dallas.”
Do you think Seattle would make for a good new home for the Sacramento Kings?