Will Seattle billionaire Chris Hansen drastically overpay for the Sacramento Kings?

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News of billionaire Chris Hansen striking a deal with the Seattle City Council hit the wire late Monday night, as the sides have agreed to a framework on an arena deal that moves them a few smaller hurdles away from becoming an NBA-ready city (courtesy of Chris Daniels of King 5 in Seattle).

In a bit of twisted irony, the city that had its team stolen away will now set its sights on any available team, and there is no team that is more available than the Sacramento Kings, who nowadays have a different rumored destination every week.

This most recent news solidifies Seattle’s place on the top of that list, though they still need the Maloofs to sell, and they still have to outdo Sacramento. Neither task should be considered a slam dunk, or even likely at this point.

The idea that Sacramento could lose its team, of course, is a black eye for the league as the city has supported its team in every conceivable way, including where it counts financially and at the ticket gate. The only reason we’re having this discussion is because the Maloof family, internal squabbles aside, doesn’t want to be there.

Their roots are in New Mexico, Los Angeles, and Las Vegas, and being broke in relative NBA owner terms they’re looking for a short-term infusion of cash, which they hope to find by moving the team to another city that will both build them an arena and also let them keep the profits from it.

Cities such as Virginia Beach, Louisville, Vancouver, Kansas City, and the like are potential candidates if anything because they’re willing to pay to be on the NBA map. But the math starts to get fuzzy because the markets are smaller than Sacramento, and the Maloofs end up no better off than they were in Sacramento over the long haul.

That, and the NBA doesn’t really want those markets, at least not at the expense of Sacramento, where the league enjoys the No. 20 sized TV market without interference from other sports leagues. When you factor in the public relations hit of moving the team – it’s hard to see the league supporting a move and to date we have not.

Even when considering a larger market like Anaheim, the league isn’t falling all over itself to allow a move. The NBA blocked the Maloofs’ relocation attempt last year after Sacramento mayor Kevin Johnson raised over $10 million in untapped sponsorships at the drop of a hat and promised a viable arena deal. Things seemed to be moving along reasonably well and a deal for a new arena was agreed to in principle during All Star weekend in Orlando.

But that was before George Maloof created a how-to-guide for burning bridges in Sacramento. He torched the deal live on public television in a tirade for the ages, and any goodwill that was leftover at the league offices was probably lost. Commissioner David Stern has used measured words in describing the arena situation since then, and none of them have painted the Maloofs in a flattering light.

In fact, the commissioner would probably like to see the family sell the team, but as usual the issue comes down to money, antitrust law, and the other 29 owners that one day will be negotiating with both the league office and their home city about something.

Aside from not wanting anybody to tell them what to do, owners want the right to move their teams to the cities they feel they can make the most money in. Leagues don’t like to allow this as it creates a number of problems, and the courts have found that the intersection of those opposing ideals lies in the concept of a relocation fee. Relocation fees are the amount that a league can charge to indemnify parties that are damaged by an owner’s decision to move.

The law is much more detailed than this, and the case law that has been favorable to relocating owners isn’t an exact match to the situation in Sac, but one thing is clear – neither party wants to land in court over this.

And that’s why the Kings arena situation has been allowed to play out, to the detriment of the league’s image, and as an affront to the other 29 owners that one day will have to negotiate with their municipalities.

While it’s unclear right now what impact the Maloofs’ apparent bad faith dealings in Sacramento will have on other team owners seeking public subsidies, a small shift in public sentiment could cost the league and its players tens of millions of dollars and a large scale shift could put the billion dollars the league has received in subsidy back on its balance sheet.

But even with the Maloofs’ name now toxic inside the league and out, to the point it’s being pulled off the signage at the Palms, the league cannot afford a bad ruling in an antitrust case. Aside from treble damages the Maloofs would seek, which are significant, a bad ruling would be held over all sports leagues’ heads by owners wanting to play franchise free agency.

The best hope for the league has always been to see the issue play out on its own, with the Maloofs realizing that they have no options besides going back to the city with its hat in its hand, or selling the team outright.

And with Seattle standing in the on-deck circle and doing what they need to do to land itself an NBA franchise, the question on everybody’s mind is whether or not Hansen will be able to drastically overpay for the Kings.

The Maloofs owe about $70 million to the city of Sacramento and well over $100 million to the NBA, and a sales price in excess of $400 million is needed to give the 43 percent stakeholders an easy way out of Dodge. Considering the franchise is valued at $300 million by Forbes, which is a generous valuation, Hansen would need to hope that the bump of moving to a larger market in Seattle and owning land near the arena would justify the Maloofs’ likely asking price.

But more importantly, when you factor in a relocation fee, which sources tell me will be assessed to give Sacramento buyers a fair shot at buying the team, Hansen could be looking at $500 million or more to buy the Kings. After paying $300 million and counting to build an arena, that’s approaching a billion dollars to get in the game.

It’s possible that the man known for his patience will wait for a less toxic situation to pop up, and it’s fair to wonder now if the league would reconsider expansion now that multiple cities have expressed interest in NBA clubs.

As for Hansen’s involvement with the Kings, he said weeks ago that he had not made an offer to purchase the Kings after a local report emerged saying otherwise. If he decides to make a play for the team, and assuming the Maloofs are ready to cry uncle, it probably puts Sacramento on notice that it’s time to formalize an offer to buy the team.

Sources on the city’s side have indicated that they have more than one buyer lined up, and ultimately Seattle’s progress could force some sort of endgame here. If the goal is to sell for the Maloofs, then they will likely have squeezed the best sales price out of Sacramento that is possible, and anything close to a Seattle offer (after the relocation fee) will likely be supported by the league.

If the Maloofs still don’t want to sell, they’ll continue to play the dating game with other cities and the league will continue to deal with a public relations nuisance. The family will not get a different arena deal in Sacramento, and any talk of renovating the unrenovatable Arco Arena with public funds has been met with collective laughter both inside and outside of the city.

Even if the Maloofs can find a sweetheart deal somewhere else, it’s unlikely that they’ll have the clout to force a move the league doesn’t want. Sure, they may have some antitrust law on their side, but they probably can’t afford the lawsuit and even if they win, they’re left in a place where they’re not wanted. They don’t have the fortitude of antitrust victor and deceased Raiders owner Al Davis. And other than George, they want to be wanted.

In Sacramento, the framework for a deal exists not just for the Maloofs but for any owner that wants to pick up the ball and run with it.

The deal that was struck between the city, arena giant AEG, and the NBA is still considered a good deal by each of those parties, and the only thing that would theoretically change are the owner contributions. In a concept the Maloofs cannot come to grips with, if a new owner wants to pay more for arena construction they can enjoy more of the profits.

Unlike anywhere else in the country, including Seattle, an agreement can be reached in Sacramento under the current terms and design could start within about a month according to sources.

As usual, though, the story goes right back to the Maloofs and whether or not they’re ready to face the music. They can’t do nothing, as Arco Arena is dilapidated and barely up to NBA code. They’ll eventually need to do more than polish the concourse floors.  Eventually, they’ll either need to take the Sacramento offer, try to make something out of nothing in an unlikely move out of town, or sell the team.

And when the music stops and the only thing left to do is sell, will Hansen or any other buyer want to drastically overpay for this particular franchise to the extent that Sacramento can’t match the offer?

Until these questions are answered or the Maloofs are nudged out the door with greater efficiency, Sacramento Kings fans have to endure the same fears that plagued Sonics fans before their team was ultimately ripped away.  And that’s just not right.

Spurs’ Josh Primo out for preseason with left knee MCL sprain

Golden State Warriors v San Antonio Spurs
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Josh Primo is going to get his chance this season. The Spurs are rebuilding — even Gregg Popovich says not to bet on them to win the title — and Primo, entering his second season (and still 19), is one of the most promising young players on their roster, someone with the chance to be part of whatever will be built in San Antonio the future. He just needs more experience.

Unfortunately, he’s going to start this season half a step behind after missing most of training camp due to a sprained left MCL, the team announced Thursday. He is expected to return in time for the season opener, according to the team.

Promo, the No. 12 pick in the 2021 NBA Draft, got into 50 games for the Spurs last season and averaged 5.8 points a game but wasn’t very efficient with his shot yet. He also spent a lot of time in the G-League (but then had to miss this past Summer League due to COVID).

With Dejounte Murray now in Atlanta, there is not only a starting spot open but also opportunities to run the offense — Primo is going to get a chance to show what he can do with that. It’s just not going to be for a little while due to his knee sprain.

Anthony Davis ‘excited’ to be Lakers’ No.1 offensive option, LeBron pushing him to do it

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Is Anthony Davis a No.1 offensive option on a championship team?

The Lakers made a massive bet in trading for Davis — both in good young players and picks — that he could help them win a title now and be the bridge to the future post-LeBron James. Davis was everything the Lakers hoped in the bubble and did win them banner No. 17. However, he has not stayed healthy or consistently played up to that standard.

New Lakers coach Darvin Ham is betting on Davis again and is going to run more of the offense through him this season. LeBron James reportedly backs Ham up. Can Davis stay healthy, find that form again and look like that bridge to the future? If he can’t, the Lakers have to reconsider their post-LeBron plans. That’s why there is pressure on Davis this season.

Davis is excited to prove he is ready for the role, he told Chris Haynes of Yahoo Sports. He added LeBron is pushing him to do it.

“I’m so excited that I’ve got goosebumps just thinking about this year,” Davis told Yahoo Sports this week. “I’m looking forward to a healthy year and doing what I know we can do.”…

Davis said James, 37, has been in his ear about taking over the reins of the team, while the rest of the roster would follow his lead.

The first step in Davis being that No.1 option: Staying healthy. He played 40 games last season and 36 the season before that. While some of that was due to fluke injuries, the history of Davis missing time is long.

When healthy, Davis is an unquestionably elite player — to use the bubble example, Davis was a defensive force in Orlando who knocked down midrange jumpers after facing up, averaging 27.7 points on a 66.5 true shooting percentage, plus grabbed 9.7 rebounds a game. That is the AD the Lakers need this season.

Which can be a lot of pressure, but Davis said he doesn’t feel that.

“But for me, I’m not putting any pressure on myself at all,” Davis said at media day. “I’m gonna go out there and play basketball, work hard, defend and do what the team needs to win basketball games. I’m not going to overthink and, you know, listen to what everybody else is saying and try to be this ‘whatever’ player they want me to be.”

“Whatever” the Lakers want Davis to be is the Top 10 player in the world he has shown for stretches in Los Angeles. If he can be consistent, that Davis helps the Lakers be more of a threat in the West. If Davis can’t be that guy, it could be another long season for Lakers nation.

 

Proud to be an American: 76ers’ Embiid officially becomes U.S. citizen

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CHARLESTON, S.C. (AP) — Joel Embiid is an American citizen.

A native of Cameroon, Embiid said he was sworn in as a citizen two weeks ago in Philadelphia. The NBA scoring champion and Philadelphia 76ers All-Star center said his family – Embiid and his Brazilian girlfriend Anne de Paula have a young son – played a pivotal role in his decision.

“I’ve been here for a long time,” Embiid told The Associated Press Thursday at training camp at The Citadel. “My son is American. I felt like, I’m living here and it’s a blessing to be an American. So I said, why not?”

Embiid, who played college basketball for one season at Kansas, also has citizenship in France. He said it is way too early to think about which country he could potentially represent in international basketball.

The 28-year-old Embiid averaged a career-best 30.6 points in 68 games last season. The 7-footer also averaged 11.7 rebounds and 4.2 assists in helping Philadelphia reach the Eastern Conference semifinals for the second straight year. Embiid averaged 23.6 points and 10.7 rebounds in the postseason despite playing with hand and facial injuries.

Embiid had been announced as playing out of Kansas during pregame introductions at 76ers’ home games but switched around midseason last year as being introduced from Cameroon. He might try for a mouthful this season.

“We’re going to say Cameroon, American and French,” he said, laughing.

Tyler Herro says he’s better than players ‘that have gotten paid’

Boston Celtics v Miami Heat - Game Seven
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RJ Barrett signed a rookie contract extension for four years, $107 million fully guaranteed that could climb to $120 million with incentives. Several others out of the 2019 draft class — Ja Morant, Zion Williamson, Darius Garland — earned max contract extensions with their team.

Tyler Herro is still waiting on his extension with the Miami Heat.

And with that baked in Herro confidence, he said he is better than some players he has seen getting paid, he told Ira Winderman of the South Florida Sun-Sentinel.

“I was active early in the summer,” he told the South Florida Sun Sentinel of the extension window that opened in July. “Then I realized it wasn’t going to get done, if it does get done, until later. So I just told my agent to call me when it’s ready. “So we haven’t really spoken much about the contract. Obviously, I tell him to call me when it’s ready. If it’s not ready, I continue to play my game and figure it out next summer…

“There’s players across the league that have gotten paid who I know I’m better than. So it’s got to be the right number,” he said, with the Heat continuing camp on makeshift courts at the [ Baha Mar resort in the Bahamas].

One reason an extension for Herro has not gotten done — and may not get done before the Oct. 18 deadline — is Herro is the Heat’s best trade asset to go after a big name. Once he signs an extension that is off the table, something Winderman and I have discussed in our weekly video/podcast on the Heat and NBA.

The other question on a Herro extension is what is the “right number?” Did the Knicks’ Barrett set the market with his extension?

Maybe Barrett is one of the players Herro “knows” he is better than, but that would not be the consensus of scouts and free agents around the league. Herro has hardware as the reigning Sixth Man of the Year, he puts up numbers averaging 20.7 points a game while shooting 39.9% from 3 last season, he can do some secondary play creation and has had big playoff games. He has real value.

However, as Winderman has pointed out, Herro has started just 33 games across three years, compared to Barrett’s 197 starts. More importantly, Herro’s defensive limitations limited how Eric Spoelstra could use him in the playoffs. Then there is the matter of load carried. Barrett was the No. 1 option for the Knicks last season (with Julius Randle falling off) and even with the signing of Jalen Brunson, Barrett is option No.1 or 1B for Tom Thibodeau. Herro is down the Heat pecking order behind Bam AdebayoJimmy Butler, and maybe Kyle Lowry depending on how he bounces back from a down year. The Heat don’t need Herro the way the Knicks need Barrett right now, which is one key reason Herro is available via trade.

Would Herro take a four-year, $105 extension? Would the Heat even offer it? If Miami is hoping for a trade at the deadline, it may wait on an offer and let the market set Herro’s price as a restricted free agent next summer. For Herro, that would give him a chance to prove he is a starter and that his defense has improved — that he is worth more than the Heat had been offering.

If the Heat and Herro agree on an extension, look for it to be in a couple of weeks, pushing up against that October deadline.