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Future of NBA arena subsidies, market comparisons to decide Kings’ fate

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As Sacramento Mayor Kevin Johnson has been advertising for the past month, we did indeed get confirmation of the identity of his ‘whales’ at his State of the City address on Thursday.

Reiterating parts of his four-part plan that included bringing together a local ownership group, finding big equity investors (whales), putting together a downtown arena deal, and demonstrating the value of the Sacramento marketplace – Johnson would announce that 24 Hour Fitness founder Mark Mastrov and billionaire Ron Burkle would put in a bid to keep the Kings in Sacramento.

“With all due respect to Seattle, I do hope they get a team someday, but let me be perfectly crystal clear, it is not going to be this team,” said Johnson.

Johnson also announced that former Kings great Mitch Richmond would join the local ownership group and that the city’s proposal would include an option to return WNBA basketball to Sacramento.

Sources close to the situation told PBT that the framework of the offer delivered to the NBA on Friday was very close to Seattle’s $341 million offer for a controlling 65 percent interest in the club. NBA spokesman Tim Frank confirmed delivery of the offer on Friday, the day of the deadline.

Over the next month Sacramento will continue to iron out the details on a public subsidy and arena deal locally with the Sacramento City Council, which will ultimately vote on a term sheet to be delivered to the Board of Governors in time for their April 18-19 meeting.

Sources tell PBT that the Sacramento offer will be conveyed by the group to the NBA’s joint committees in charge of reviewing the situation on or around April 1. It is expected that Seattle’s group will also meet with that committee around that time, though no meeting has been publicly acknowledged.

According to sources, the two issues that will drive the conversation is the league’s strategy for securing arena subsidies in the future, and the impact each market will have on team revenues and the league’s financial model as a whole. Also under consideration are timelines to deliver an arena, ownership groups, and the precedent the league could set by blocking an owner from selling to a group of their choosing.

The league blocked a sale of the Minnesota Timberwolves to a group headed by boxing promoter Bob Arum in 1994, but a well-placed source told PBT that the league views this transaction as “unprecedented,” citing that never before has the league relocated from a city that has supported its team both at the gate and with public subsidy dollars.

The Maloof ownership group reportedly has “little to no leverage” in NBA’s decision-making process. They also reportedly owe the NBA in excess of $100 million on a line of credit they’ve used throughout their ownership. If called in, the family’s financial woes could give the league an opening to use the ‘Best Interests of the League’ clause, similar to the way Major League Baseball removed Dodgers owner Frank McCourt.

Sources do not expect the Maloof family to push back on the league’s decision to back either Sacramento or Seattle, citing the prohibitive costs of an antitrust lawsuit, and the potential for the family to lose a chance to cash out in Sacramento or Seattle.

The issue of market comparisons between Sacramento and Seattle is cloudy, but sources expect Sacramento to be competitive in that area because it has one major sports team in their No. 20 TV market, while Seattle could have six major sports teams in its No. 12 TV market. We will cover this in a bit more detail later in the next few weeks.

While details about Sacramento’s ownership group are a bit hazy at this time, it has been expected that Mastrov would be the front man. The more private Burkle reportedly would focus on the development of the Downtown Plaza location. Sources indicate the duo will share in the ownership of a potential deal, though it’s unclear what those percentages will be. Both owners have been vetted by the NBA, and Mastrov finished second in the Golden State Warriors bid that recently went to the Joe Lacob group.

While Seattle’s Chris Hansen-Steve Ballmer group has enormous wealth, another well-placed source speaking to PBT under condition of anonymity said the league is happy with both ownership groups and not to expect a deal to hinge on any comparison between them.

If a showdown comes to the owners’ deciding vote, some sources hinted at a scenario in which the league tells the Hansen group that they’re going to choose Sacramento – allowing the Hansen group to bow out gracefully and avoid a divisive ownership vote.

Should the league favor Sacramento, sources say the work the city has done to fight for its team and the narrative it will give the league to sell to future cities in arena negotiations will have played a critical role in the NBA’s decision-making process.

Seattle’s deal contains a greater percentage of private funds due to local initiative-91 requiring public funds to return a guaranteed profit, which is a trend the league wants to avoid.  On the other hand, Sacramento’s deal fits the public-private model the league is selling to cities, with a larger public subsidy going toward a new state-of-the-art building in a downtown revitalization effort.

We will cover that issue in greater detail in the coming weeks.

In order to keep their team, Sacramento will need eight votes out of 29 other owners to block the transfer of ownership to Seattle’s Hansen/Ballmer group.

Sam Dekker scores career-best 30 leading Rockets past Grizzlies

Houston Rockets guard Patrick Beverley (2) congratulates forward Sam Dekker (7) after Dekker scored 30 points in an NBA basketball game against the Memphis Grizzlies Saturday, Jan. 21, 2017, in Memphis, Tenn. The Rockets won by a score of 119-95. (AP Photo/Brandon Dill)
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MEMPHIS, Tenn. (AP) Sam Dekker scored a career-high 30 points, James Harden added 29 points and 10 assists and the Houston Rockets leaned on their usual 3-point offense to beat the Memphis Grizzlies 119-95 on Saturday night.

Eric Gordon added 21 points as the Rockets built the lead to as many as 20 in the fourth quarter before easily coasting home.

Dekker, making his first career start in place of the ill Ryan Anderson, made 12 of 19 shots, including 6 of 11 from outside the arc. Houston shot 51 percent overall and 38 percent from distance.

Marc Gasol scored 32 points and Mike Conley added 15 for the Grizzlies, who lost for the third time in the last four.

Memphis struggled shooting the entire night, finishing at 37 percent and unsuccessfully tried to follow the Rockets’ long-range attack but converted only 9 of 34 from outside the arc.

Even with Dekker starting instead of his normal reserve role, the Houston bench outscored the Memphis subs 44-29 as the Rockets dominated most aspects of the game.

Houston took the lead in the first half and never really let up the rest of the night in bouncing back from a home loss to Golden State on Friday.

After missing their first seven 3-point shots to open the game, the Rockets converted a trio late in the first quarter to run the lead to double digits.

Meanwhile, the Rockets’ aggressive defense gummed up Memphis’ offensive flow. Houston defenders double-teamed Memphis and closed out on jumpers, resulting in the Grizzlies shooting under 30 percent in much of the second quarter.

That helped Houston stretch the lead to as many as 16 in the half before holding a 58-49 advantage at the break. Dekker already had 16 points to lead the Rockets, connecting on seven of his nine shots, missing only one of his three shots from outside the arc.

Gasol had 17 points to lead Memphis.

By the third quarter, the Rockets stretched the advantage to 91-72, and even when Memphis put together a bit of a rally in the fourth, it never cut the deficit to single digits.

TIP-INS

Rockets: Anderson missed his third game with the flu. He sat out two games and tried to play in Friday’s loss to Golden State before leaving after nine minutes on the floor. .The Rockets used their 10th different starting lineup this season. .Despite the slow start from outside the arc, the Rockets ended the night 16 from 42 from 3. Houston has failed to connect on at least 10 3-pointers in only four games this season.

Grizzlies: Reserve G Troy Daniels sat out with a right knee injury suffered in the Friday night’s win over Sacramento. . F Chandler Parsons, who sat out Friday’s win over Sacramento for rest, returned to action, scoring 12 points.

BACK-TO-BACKS

The game featured two of the most successful teams playing on the second night of a back-to-back. Houston is now 11-1, while the Grizzlies, who beat the Kings on Friday, dropped to 8-3 on the second night of back-to-backs.

UP NEXT

Rockets: Play the second game of a five-game road trip on Monday against the Bucks in Milwaukee

Grizzlies: Close out a three-game homestand against the Toronto Raptors on Wednesday.

Heat beat Bucks 109-97 to earn season-best 3rd straight win

Orlando Magic v Miami Heat
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MIAMI (AP) When Miami Heat guard Goran Dragic barely beat the shot clock with a 28-footer to seal Saturday’s win, he retreated upcourt waving his arms, eager to coax more noise from the modest crowd.

Riding a three-game winning streak for the first time since last March, the Heat and their fans finally have something to cheer about.

Dion Waiters tied a career high with 33 points and Dragic added 25 to help the last-place Heat to a 109-97 victory over the Milwaukee Bucks, who are headed the opposite direction.

Bucks coach Jason Kidd shook up his lineup, but they lost their fifth game in a row and second in as many nights. Following a defeat Friday at Orlando, the Bucks held a long players-only meeting that became heated at times.

“We have a lot of games to be played,” Kidd said after the latest loss. “There’s no reason to panic.”

Waiters went 12 for 19, including 5 for 8 from 3-point range. Backcourt mate Dragic went 8 for 13 and had six assists.

“Those guys were making so many shots I almost shot a 3,” center Hassan Whiteside said. “They take our team to another whole level when they play like that.”

Whiteside added 16 points and 15 rebounds while missing one shot. The Heat made 53 percent, just shy of their season high.

“Guys are playing better,” Whiteside said. “I don’t know what really got into guys, but I like it. We’re hitting shots we were missing earlier in the season.”

Miami improved to 14-30 thanks to its modest winning streak.

“It feels better than 0-3,” coach Eric Spoelstra said.

Kidd said the Heat’s record affected the Bucks’ performance.

“One of the things that we struggle with is looking at the team’s record and not coming out with that same intent if we’re playing Cleveland, if we’re playing Golden State,” he said. “That’s something we have to get better at.”

Following Friday’s players-only meeting by the Bucks, forward Jabari Parker said he wasn’t well received when he expressed his point of view. Parker was held out of the starting lineup Saturday for the first time this season for violating a team rule. Kidd declined to discuss the violation.

Parker had 16 points and seven rebounds in 32 minutes off the bench.

“It’s just a challenge, and I just try to be as positive as possible,” he said.

“I thought he did a great job,” Kidd said.

All-Star starter Giannis Antetokounmpo had 24 points and 10 rebounds for Milwaukee.

The Bucks led early, but Rodney McGruder and Dragic sank 3-pointers on consecutive possessions to put the Heat ahead 68-56 midway through the third quarter.

Waiters barely beat the 24-second clock with a 3-pointer that made it 103-91 with 2 1/2 minutes left. Dragic’s buzzer-beater with 1 1/2 minutes to go put Miami ahead 106-94 lead.

TIP-INS

Bucks: While Parker sat out the first quarter, Bucks rookie Thon Maker made his first career start, and guard Matthew Dellavedova started for the first time in 13 games. Maker had six points in 18 minutes, and Dellavedova had 15 points and seven assists.

Heat: Okaro White, who made his NBA debut Thursday after signing a 10-day deal, played 19 minutes but still hasn’t scored.

“His box score doesn’t really show the impact he had defensively,” Spoelstra said. “He finds ways to fit in.”

GOING INSIDE

Waiters hurt the Bucks repeatedly with drives from the perimeter.

“I just try to play every game like it’s my last,” he said. “Tonight the coaches told me to be aggressive, be me, and do what I do best – get to the rim. I was able to do that.”

TRAINER’S ROOM

Guard Tyler Johnson sat out with a sprained left shoulder he injured in the Heat’s game Thursday. His status is day to day.

UP NEXT

Bucks: Milwaukee plays at home Monday against Houston, which won 111-92 when the teams met Wednesday.

Heat: Miami plays at home Monday against Golden State, which has won five in a row in the series.

Report: Spurs to sign Joel Anthony after Pau Gasol injures hand

CLEVELAND, OHIO - APRIL 13: Joel Anthony #50 of the Detroit Pistons dunks over James Jones #1 of the Cleveland Cavaliers during the first half at Quicken Loans Arena on April 13, 2016 in Cleveland, Ohio. The Pistons defeated Cleveland 112-110 in overtime.  NOTE TO USER: User expressly acknowledges and agrees that, by downloading and or using this photograph, User is consenting to the terms and conditions of the Getty Images License Agreement. (Photo by David Maxwell/Getty Images)
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The San Antonio Spurs will be without Pau Gasol after he injured his hand during warmups against the Denver Nuggets this week. In light of a roster in need of a big man, the Spurs will reportedly move to sign veteran Joel Anthony to a 10-day contract, according to Yahoo! Sports.

Anthony, 34, played in 16 games last season for Detroit. He was in training camp with San Antonio this season, so he will have some familiarity with both their offensive and defensive schemes.

Via Twitter:

There’s no word yet on whether Anthony will actually see much playing time or if he’s simply slotting in as a backup.

Spurs fans no doubt want to see Davis Bertans move up the depth chart with Gasol out, so it’s possible that Anthony will simply slot into his space.

It’s also a possibility that Anthony supplants Bertans, who is playing just 9.9 minutes per-game this season.

Devin Booker scores 26 as Suns edge Knicks 107-105

TORONTO, ON - FEBRUARY 13:  Devin Booker of the Phoenix Suns shoots in the Foot Locker Three-Point Contest during NBA All-Star Weekend 2016 at Air Canada Centre on February 13, 2016 in Toronto, Canada. NOTE TO USER: User expressly acknowledges and agrees that, by downloading and/or using this Photograph, user is consenting to the terms and conditions of the Getty Images License Agreement.  (Photo by Elsa/Getty Images)
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NEW YORK (AP) The Phoenix Suns had more reason to feel good about their future, while the New York Knicks just missed a chance to escape their frustrating present.

Devin Booker scored 26 points and made a go-ahead 3-pointer with 31 seconds left, and the Suns beat the Knicks 107-105 on Saturday night.

“It was just an excellent pass by (Eric) Bledsoe,” Booker said. “I’m thinking he’s going to come off the screen but I’m always shot ready. He made a perfect pass, hit me in the hands and I just shot it with confidence. Ended up being a big shot, the last points of the game.”

Carmelo Anthony‘s attempt at a winning 3-pointer rimmed out as Phoenix snapped a two-game losing streak and handed New York its second loss in a row.

“That was a tough one to digest right there,” Anthony said. “We got the play that we wanted, got the shot that we wanted, got the look that we wanted, did everything but went in.”

Bledsoe added 23 points, while P.J. Tucker and Marquese Chriss each had 15.

Anthony led the Knicks with 31 points but was scoreless in the fourth quarter. Derrick Rose had 26 and Kristaps Porzingis scored 14.

Rose made a layup to give the Knicks a 105-102 lead, but Booker responded by drawing a foul on Courtney Lee and sinking both free throws to cut the deficit to one. Rose missed a jumper from the top of the key, P.J. Tucker missed a point-blank layup and Ron Baker missed a driving layup to set up Booker’s 3-pointer from the wing.

The teams traded misses before Anthony took the inbounds pass after a timeout and launched a 3 that spun around the rim before falling out to give the Knicks their 13th loss in 16 games.

Anthony scored 12 points in the third quarter, which ended in a 90-all tie. The Knicks eventually opened a 103-98 lead, their largest of the game, but couldn’t hold on as Jeff Hornacek fell to 0-2 against the team he previously coached.

Anthony led all scorers at the half with 19 points, but Booker paced Phoenix with 15 and the Suns took a 61-55 lead into the locker room.

TIP-INS

Suns: Coach Earl Watson praised Tucker’s defensive ability. “The thing about defense is there’s no perfect technique. It’s all on intensity, passion, toughness and a lot of heart. He plays with that every time he touches the court. He’s one of our best players. To me, he’s the most underrated defender in our league, especially on isolations.” … Derrick Jones Jr. was inactive.

Knicks: Hornacek reflected on the first half of the season. “It’s been an interesting year, I’d say. It was a tough beginning with Derrick Rose missing a bunch early, part of putting in the offense and getting a new group of guys together as familiarity and he wasn’t able to be there for a big part of that so we were trying to win those first few games on the fly, Joakim with his hamstring early. There have been some distractions that we’ve had to keep the guys kind of together, the losing, minor injuries here and there. Overall, I think the guys have done a pretty good job of staying together. We still look at it when we have all our guys we still have a good chance.”

LINE THEM UP

New York went back to its original starting lineup of Joakim Noah, Porzingis, Anthony, Lee and Rose for the first time since Jan. 12 against the 76ers.

CELEBRITY ROW

Actor Hugh Jackman and Trevor Noah, host of “The Daily Show” sat courtside during the game.

UP NEXT

Suns: Visit Toronto on Sunday.

Knicks: Visit Indiana on Monday.