Bucks owner Herb Kohl seeking new investors to keep the team in Milwaukee

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Bucks fans will spend the next 2-3 years looking over their shoulders at Seattle, and that’s because they’re in jeopardy of losing their basketball team should owner Herb Kohl fail at securing a new NBA-approved arena.

For small and mid-markets, having a state-of-the-art arena to maximize revenues is a requirement and any city that isn’t willing to make that type of commitment to the NBA will be threatened by 5-10 other cities that are dying to get into the game. It’s simple supply and demand.

Kohl, the former Democratic senator who is 78, is reportedly looking for other investors to join him in his attempt to keep the team in Milwaukee.

With a net worth that’s better described with an ‘M’ for millions rather than a ‘B’ for the billionaire owners that the NBA is attracting these days, it’s understandable why Kohl needs to deepen the pockets and broaden the influence of his group.

First and foremost he needs to deliver on an arena, and having more investors will help that along in many ways. But just as important to Milwaukee will be the overall value proposition this ownership group will have to the NBA, whether Kohl wants to continue as owner of the Bucks or not. That’s because if there ever comes a time when their arena plans are in doubt, it will be this group that gets measured against Seattle and any other city that wants to get into the game.

The NBA, whether being led by Adam Silver or David Stern, does not like to relocate franchises. In this day and age of information, the damage that relocation can do their brand is much greater than it was when Seattle’s elected officials told the NBA to go kick rocks and thus Sonicsgate was born.

At the same time, the NBA has found a sweet spot in its public subsidy pitch, which has been the target of many economists’ ire over the last 30 years when suburban arenas were all the rage. Economists have maintained that arenas don’t increase local spending because of things like the substitution effect, which simply stated means that people spend money at the game but stop spending their limited funds everywhere else. In essence, they contend, there is no overall gain.

However, economists have recently found themselves at an impasse on the issue with even the most ardent oppositionists still researching newer findings, in an area of study that isn’t exactly brimming with ongoing research.

The new revelations highlight the difference between suburban arenas and what city planners call ‘high density civic attractions,’ which are more likely to be sought after in the small-to-mid market cities that are most susceptible to relocation.  Instead of driving to a suburban arena, watching the game, and then leaving – a downtown arena can attract people for longer visits, attract all-important out-of-town dollars, and encourage use of mass transit.

In terms of increasing land value, a properly developed downtown arena district can increase surrounding land value by “hundreds of millions of dollars” according to a recent study by lead opposition subsidy voice Brad Humphreys. Arguments move into the both the micro- and mundane-levels from there, but an increase in land value around these downtown arenas stands on its face – it’s valuable for a reason.

The NBA has the cachet as an anchor tenant to bring in the private investment needed to make these downtown revitalization projects pencil out, particularly as public redevelopment dollars have dried up around the country.

With the NBA being the winner of over $3 billion in public funds since 1990, they have a massive financial stake in making sure they both polish that pitch and protect their reputation on that front.

For starters they have to maintain that they can be a loyal partner to any city engaging in good faith efforts to maintain a state-of-the-art arena.  Long-term, by building a portfolio of downtown success stories like L.A. Live, downtown Indianapolis and the soon-to-be built arena in downtown Sacramento — the league can keep the public funding narrative from collapsing under a wave of antipathy toward millionaires and billionaires bouncing a leather ball for amusement.

So look for the NBA to work with Kohl and Milwaukee to find the political will (i.e. public dollars) to get an arena deal done. As expected, the league released a statement from David Stern moments ago expressing support for that process. “Senator Kohl bought the Bucks in 1985 in order to ensure the team would remain in Milwaukee. During his extraordinary stewardship his goal remained the same — to bring the fans of Wisconsin high-quality basketball from a team they would be proud to call their ‘home’ team. With this announcement, Senator Kohl continues his mission: to assure continuity of ownership by broadening its ownership base, and assuring that the fans of Wisconsin will enjoy NBA basketball and other events in a new state-of-the-art facility,” said Stern.

And while everything is going to sound fine for Bucks fans until it doesn’t, they’re not going to know that they are indeed keeping their team until much more has been revealed in this slow-moving story.

Klay Thompson goes up for 360 dunk in exhibition… and he’s not a dunker (VIDEO)

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Klay Thompson has an amazing skill set — one of the best pure shooters in the league, he can put the ball on the floor and create, and he’s a very good perimeter defender.

He’s not a dunker. Oh, he can dunk, but he’s not the guy you’re inviting to the Dunk Contest.

Case in point, this video out of China where Thompson was part of an exhibition and tried to show off his dunking skills.

Thompson’s shoe sponsor is China-based Anta, which explains why he’s there playing some exhibition ball. In case you missed it, Thompson had a Finals shoe released.

Those are about as good as the 360 dunk.

Sixers will talk contract extension for Joel Embiid this summer, want to lock him up

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Could Joel Embiid be Philadelphia’s Stephen Curry?

No, I don’t mean taking 30-foot bombs that demoralize opponents (although, no doubt Embiid is game for trying it). I mean in having a contract extension off his rookie deal for less than the max, a value contract that allows the Sixers the cap room to secure a title contender around him.

After three seasons in the NBA, Joel Embiid is eligible for a contract extension this summer (one that would be negotiated now but not kick in until the 2018-19 season). Teams lock up their stars at this point, and Embiid is that — he was dominant in the 31 games he played. But it’s 31 games in three seasons, how much do the Sixers want to pay here?

Sixers owner Joshua Harris said extending Embiid is a priority for the team this summer, speaking at a press conference, via the Courier Times.

“Look, I’d just say we want Joel to be on the team for a long time,” Harris said. “We want us all to grow old together. That’s the way I would put it.”

A max contract for Embiid would be five years at about $130 million, an average annual salary of $26 million. Because of his injury history, would he be willing to sign five years at $100 million, maybe with an opt-out after four? That extra cap space may not sound like a lot, it’s not a Curry-level savings, but it would help the Sixers’ team building.

If the two sides can’t reach a deal by Oct. 31 (the deadline), Embiid will play out this season then be a restricted free agent next season. If he stays healthy, he will get a max deal from another team that the Sixers would just match (the Sixers and Embiid could also reach a deal).

The Sixers are not about to let Embiid go, they have their young core they believe they can contend with in a few years. Plus he is a fan favorite. The only question left is cost.

Josh Jackson’s first pitch is… just a bit outside

Associated Press
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Josh Jackson is not going Bo Jackson on us and playing baseball in the offseason.

The highly-rated forward out of Kansas who was the No. 4 pick of the Phoenix Suns was invited to throw out the first pitch before Friday night’s Diamondbacks game.

To quote Bob Uecker, he was just a bit outside. He tried the corner and missed.

Lonzo Ball was able to make his first pitch, ergo, he will turn out to be a much better NBA player. Obviously, these skills correlate.

Report: Re-signing Nerlens Noel Mavericks’ top off-season priority

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This is a Mark Cuban owned team, you don’t think the Mavericks are going to make a serious run at a free agent come July 1? Pelicans’ point guard Jrue Holiday has long been known to be a target, but there will be others.

But keeping their new core together, including restricted free agent Nerlens Noel, is the top priority, reports Marc Stein of ESPN.

Rumors like this are out there in part from Dallas to hope to chill the market for Noel. While he could be a defensive force who provides some scoring around the rim, with Noel’s injury history they may be able to get him at less than max money — because if he’s at the max the Mavericks are flirting with the luxury tax (and Cuban isn’t going to want to pay the tax for a borderline playoff team at best).

What Dallas fears is what Brooklyn did last season to Allen Crabbe in Portland and Tyler Johnson in Miami — some team to come in with a max or near-max offer sheet that drives up the price. Dallas will match, they will keep the young core together, it just gets more expensive.

Next season in Dallas will be a deserved big farewell to Dirk Nowitzki. He will be the focus, but behind him Dallas will try to be building for the future. They made the trade deadline move to make sure Noel is a part of that, the only question now is how much it costs them.