NUGGETS-CITY OF DENVER ANNOUNCE AGREEMENT

     The Nuggets announced an agreement with the city of Denver
yesterday to build a "privately financed $132 million state-of-
the-art downtown arena."  Construction is scheduled to begin in
May so that the arena will be finished in time for the start of
the '97-'98 NBA season.  It will be located about five minutes
from the Nuggets current home, McNichols Arena.  As part of the
plan, COMSAT Corp., owner of the Nuggets, will build a $20M TV and
film production studio next to the arena in partnership with
Denver-based TCI.  The deal is pending approval from Denver City
Council and COMSAT's board of directors (Thomas Heath, WASHINGTON
POST, 1/13).