NHL to Seattle Volume XVI - It's Official. Seattle to join the league for 21-22 season.

[aqib]

No. In fact the name has been on there for years with Key Bank NOT paying the city a single DIME for that. Free advertising on the roof of the building for them for a long, long time.....

They already have the naming rights on the Sabres Arena (they got it when they bought First Niagara who had got the naming rights when they bought the Western NY branches of HSBC who bought Marine Midland the original rights owner) so I doubt they would wamt it in 2 arenas.

 

[Killion]

Congratz Seattle! Never any doubt in my mind it was a done-deal quite some time ago.

 

[LadyStanley]

Paywall

 

[StreetHawk]

Congratz Seattle! Never any doubt in my mind it was a done-deal quite some time ago.

Man but that Reno cost keeps increasing. Now seeing it mentioned at $800 million. Earlier this year it was estimated at like $650 million then went into the $700 million range then $750 million.

And the OVG doesn’t own the land. Still belongs to the city.

 

[gstommylee]

Man but that Reno cost keeps increasing. Now seeing it mentioned at $800 million. Earlier this year it was estimated at like $650 million then went into the $700 million range then $750 million.

And the OVG doesn’t own the land. Still belongs to the city.

some of it is mitigation costs and the cost of materials.

 

[MNNumbers]

Man but that Reno cost keeps increasing. Now seeing it mentioned at $800 million. Earlier this year it was estimated at like $650 million then went into the $700 million range then $750 million.

And the OVG doesn’t own the land. Still belongs to the city.

some of it is mitigation costs and the cost of materials.

Wherever and whatever it is, it's cost. Best part is that it's privately financed. It's an amazing deal, really....
Probably near 1.5B by the time it's all done. All private.

Where's the ROI? I don't see it. The hockey team will probably increase it's worth to a certain degree, but let's say franchise values increase and the Sockeyes are worth 1B. You still have 500M tied up in the arena. 30-year operating rights? You would have to make 16M a year in order to break even, with no inflation and no financing costs.

I know that one cannot dispute that it's happening. I'm just amazed that it is.

 

[Llama19]

 

[Llama19]

 

[Interior Cascadian]

Congratulations, Seattle fans. Yesterday was mostly a formality, but now it's finally real.

 

[gstommylee]

Wherever and whatever it is, it's cost. Best part is that it's privately financed. It's an amazing deal, really....
Probably near 1.5B by the time it's all done. All private.

Where's the ROI? I don't see it. The hockey team will probably increase it's worth to a certain degree, but let's say franchise values increase and the Sockeyes are worth 1B. You still have 500M tied up in the arena. 30-year operating rights? You would have to make 16M a year in order to break even, with no inflation and no financing costs.

I know that one cannot dispute that it's happening. I'm just amazed that it is.

39 years + 2 5 year extensions. Oh i see them eventually getting a ROI on the arena cost. Assuming we get the NBA back eventually. You have 3 groups controlling 1/3rd of all revenue all with each group having investment into the building itself aka the cost being split 3 ways. Then of course you got sponsors, Naming rights and TV contract as well. Note there is a clause built into all that with the naming rights, sponsors and I believe too with the TV contract that the $$$ will increase once a NBA team shows up.

With the NHL (which we never had prior) concerts (by groups that refused to come to Seattle due to the Key arena currently only having one loading bay )as well the NBA (returning eventually at some point), there should be enough events to get a ROI on that 800m cost over time.

Key Arena was always going to be extremely higher cost to fix up and make it work in an confined space (historic roof line really limits what they can do there) than a traditional arena built from scratch ground up. Trust me when i say if that roof wasn't eligible to be considered historic, the cost would be much cheaper than 800m to tear the whole thing down to nothing and rebuild ground up.

 

[MNNumbers]

39 years + 2 5 year extensions. Oh i see them eventually getting a ROI on the arena cost. Assuming we get the NBA back eventually. You have 3 groups controlling 1/3rd of all revenue all with each group having investment into the building itself aka the cost being split 3 ways. Then of course you got sponsors, Naming rights and TV contract as well. Note there is a clause built into all that with the naming rights, sponsors and I believe too with the TV contract that the $$$ will increase once a NBA team shows up.

With the NHL (which we never had prior) concerts (by groups that refused to come to Seattle due to the Key arena currently only having one loading bay )as well the NBA (returning eventually at some point), there should be enough events to get a ROI on that 800m cost over time.

Key Arena was always going to be extremely higher cost to fix up and make it work in an confined space (historic roof line really limits what they can do there) than a traditional arena built from scratch ground up. Trust me when i say if that roof wasn't eligible to be considered historic, the cost would be much cheaper than 800m to tear the whole thing down to nothing and rebuild ground up.

If the roof weren't historic, wouldn't the entire history be different? I mean, in that scenario, SCC maybe doesn't consider the building such a city icon, and a different use of the space in a largely residential neighborhood is found 8 years ago. And, then, Hansen's arena in SoDo happens instead because SCC doesn't feel the need to protect Key.

But, yes, it is very true that the cost of the remodel is so high because of keeping the roof intact.

As for ROI.....We'll have to wait and see, because the sponsorships you discuss here go, in other markets, to the teams because game night revenues are not enough to keep the solvent. I know it is in many ways the same group running the arena and owning the team(s), so it's like one big pot in a way. As for the arena and concerts, etc....We know that some other civic arenas actually run at a loss. So, 20M a year profit (not including interest and inflation) seems like a big ask.

But again, it's going to happen. And, the team(s), once there, are going to stay. There is no question on that. The speculation is all on the arena side. And, that's private money, so they can invest it however they want.

 

[gstommylee]

If the roof weren't historic, wouldn't the entire history be different? I mean, in that scenario, SCC maybe doesn't consider the building such a city icon, and a different use of the space in a largely residential neighborhood is found 8 years ago. And, then, Hansen's arena in SoDo happens instead because SCC doesn't feel the need to protect Key.

But, yes, it is very true that the cost of the remodel is so high because of keeping the roof intact.

As for ROI.....We'll have to wait and see, because the sponsorships you discuss here go, in other markets, to the teams because game night revenues are not enough to keep the solvent. I know it is in many ways the same group running the arena and owning the team(s), so it's like one big pot in a way. As for the arena and concerts, etc....We know that some other civic arenas actually run at a loss. So, 20M a year profit (not including interest and inflation) seems like a big ask.

But again, it's going to happen. And, the team(s), once there, are going to stay. There is no question on that. The speculation is all on the arena side. And, that's private money, so they can invest it however they want.

Has nothing to do with history of that building, it was to do that it was a city asset and the city does want to be dealing with a white elephant. Ultimately it came down to someone showing up with the money, investment group for the NHL and willing to work with the community and getting the city a team (2 teams eventually) to get the project done.

Hansen basically tried to basically get sodo arena rubber stamped while doing nothing to make sure it was a solid enough plan (including dealing with Key arena) and actually showing he can bring a team to Seattle. No $$$ billionaire whale (to replace balmer after he left), no NHL group (he refused to work with NHL interested groups), didn't even show up to work with SCC to address issues after the switch over to districts and never bothered to work with the community to address their concerns. He could have easily gotten it built if he wasn't stubborn about insisting that it won't be built unless a NBA team shows up which wasn't going to happen within the 5 years the street vacation limit. I'm not even sure if it was even legal for the city to give him the street vacation with a project that had so much uncertainty

The city had within their own right to say no especially to a project with a whole lot of uncertainty. People can blame the city all they want that it was there fault that they want to shove key arena down our throats, that they don't give a darn about the NBA etc. And yes there are still people like that today that are still pissed off at the city for saying no to Hansen. And yes there are still people who think NBA is dead forever in Seattle cause the city said no to Hansen.

Both the NBA and the NHL could have killed OVG's arena plan by saying no we are not interested to the city. That never happened. Both leagues do not give a rip about where the arena is located as long as its within the core population (which it is). All they care about is that the building happens and meets their requirements. The NBA will eventually return and it'll be in one and only one arena, Seattle Center arena.

The fact remains Hansen screwed up big time especially when his plan was the only one there and that is not the city's fault.

Just compared the differences between Hansen arena group and OVG in terms of the whole arena process. OVG got the political process done with not a single SEPA challenge within 18 months. Hansen's plan would have ended up in the courts with several SEPA challenges calling it illegal and should been tossed out etc.

With how infamous Seattle is about its political process and political red tape, it is amazing that OVG got it done as soon as it did. This is unheard off in Seattle for a project that large to go so smoothly and not a single objection. This is just shows how one group knows how to get arena projects through politics and get things done vs the other has no idea how to play the game of politics.

 

[snovalleyhockeyfan]

Has nothing to do with history of that building, it was to do that it was a city asset and the city does want to be dealing with a white elephant. Ultimately it came down to someone showing up with the money, investment group for the NHL and willing to work with the community and getting the city a team (2 teams eventually) to get the project done.

Hansen basically tried to basically get sodo arena rubber stamped while doing nothing to make sure it was a solid enough plan (including dealing with Key arena) and actually showing he can bring a team to Seattle. No $$$ billionaire whale (to replace balmer after he left), no NHL group (he refused to work with NHL interested groups), didn't even show up to work with SCC to address issues after the switch over to districts and never bothered to work with the community to address their concerns. He could have easily gotten it built if he wasn't stubborn about insisting that it won't be built unless a NBA team shows up which wasn't going to happen within the 5 years the street vacation limit. I'm not even sure if it was even legal for the city to give him the street vacation with a project that had so much uncertainty

The city had within their own right to say no especially to a project with a whole lot of uncertainty. People can blame the city all they want that it was there fault that they want to shove key arena down our throats, that they don't give a darn about the NBA etc. And yes there are still people like that today that are still pissed off at the city for saying no to Hansen. And yes there are still people who think NBA is dead forever in Seattle cause the city said no to Hansen.

Both the NBA and the NHL could have killed OVG's arena plan by saying no we are not interested to the city. That never happened. Both leagues do not give a rip about where the arena is located as long as its within the core population (which it is). All they care about is that the building happens and meets their requirements. The NBA will eventually return and it'll be in one and only one arena, Seattle Center arena.

The fact remains Hansen screwed up big time especially when his plan was the only one there and that is not the city's fault.

Just compared the differences between Hansen arena group and OVG in terms of the whole arena process. OVG got the political process done with not a single SEPA challenge within 18 months. Hansen's plan would have ended up in the courts with several SEPA challenges calling it illegal and should been tossed out etc.

With how infamous Seattle is about its political process and political red tape, it is amazing that OVG got it done as soon as it did. This is unheard off in Seattle for a project that large to go so smoothly and not a single objection. This is just shows how one group knows how to get arena projects through politics and get things done vs the other has no idea how to play the game of politics.

It's not that they didn't know how to play the game, it's that they DIDN'T WANT to play the game. They expected council to see the groundswell of fan support and expect that that would be enough. Not so as we all know.

 

[snovalleyhockeyfan]

We have a Daniels Canadian radio tour......

Starting in TO right NOW as I write this....



Then to Ottawa shortly after 1:00 Eastern this afternoon....



From there, out west to the "City of Champions", Edmonton.....



Daniels will be there on TSN 1260 right after he finishes up with the nation's capital.

 

[LadyStanley]

I don't think the NHLPA will be contrarian in this

 

[gstommylee]

I don't think the NHLPA will be contrarian in this

I doubt they would either. I mean 9/7/8/8 is kinda well silly.

 

[superdeluxe]

I'm going to be honest guys, I feel more at home here lol

 

[Yukon Joe]

I don't think the NHLPA will be contrarian in this

I think the NHLPA has learned from Bettman though - you don't give anything away from free.

 

[snovalleyhockeyfan]

Anybody who missed the Edmonton interview:



BTW in an unrelated item and incase anyone's curious, Seattle today has also landed a new pro sports team. XFL. 2020. Yep, Mr. McMahon's league, and he'll be excited I'm sure to get the WWE into the new building when it's done in 2021......

 

[snovalleyhockeyfan]

Oh. And then there's this from KJR's Jason Puckett. Chew on this one folks.

 

[superdeluxe]

Zzzz vocal minority. 32k Season tickets says you are wrong.

 

[LadyStanley]

31 Thoughts

Friedman 31 thoughts start with Seattle

Bruckheimer is expected to have a major role in setting “the look” of the franchise, although he modestly downplayed that. Seattle Mayor Jenny Durkan told Sportsnet’s Irfaan Gaffar that she liked “Krakens” as the team name. It’s so ridiculous; I love it.

Jerry definitely has the experience and talent at his disposal to make that happen. Will be interesting to see how things work out.

And

Item that might only interest me: The increased expansion fee means more “moving money” for players selected by Seattle in 2021. Those selected by Vegas received approximately $16,000 to relocate their families. Future “Krakens” get $20,000.

 

[BattleBorn]

I'm going to be honest guys, I feel more at home here lol

Give it some time. There's going to be a week or two where people from everywhere are over there, then the newness wears out and everyone realizes we've got not only months, but years to wait, and the actual Seattle people will remain. I went through it with VGK when we migrated from the BoH to the VGK board.

In the meantime, if there's anything I can do to make it a little better over there please don't hesitate to PM me. I know you're OG Seattle.

 

[Centrum Hockey]

Oh. And then there's this from KJR's Jason Puckett. Chew on this one folks.

NBA Owners Not Expected To Consider Expansion Until At Least 2025
I am not positive but i think they said the same thing before the last TV deal was signed with a different date

 

[StreetHawk]

NBA Owners Not Expected To Consider Expansion Until At Least 2025
I am not positive but i think they said the same thing before the last TV deal was signed with a different date

That’s not surprising. Sonics have a history. Not unlike most large markets that can house all 4 sports plus they have mls and were the tops in attendance prior to Atlanta. Basketball tops hockey in almost all us markets.