Aeros Owner Chuck Watson, who owns the lease at The Summit,
said yesterday he will accept Rockets Owner Leslie Alexander's
offer of more than $30M to release his team from its lease at The
Summit, according to John Williams of the HOUSTON CHRONICLE. But
the Rockets have taken the offer "off the table," saying it is
"too late" to make such a deal since they would be unable to get
a new downtown arena built for the '99-2000 season. The latest
dispute between Watson and Alexander "flared up" Monday when the
Rockets revealed they offered Watson more than $30M last July to
get out of the lease, which runs through 2003, so a new arena can
be built. Rockets VP John Thomas: "We told them when we
presented the offer to them that this was the final offer."
Williams notes that Watson and Alexander "abruptly halted several
months" of negotiations in July. But Aeros GM Steve Patterson
said yesterday that Watson "is willing to deal" on other issues
involving a new arena, which would be used for basketball and
hockey. More specifically, Watson will let the Rockets keep 90%
of the revenues from a new arena, with the Aeros getting 10%,
unless Watson gets an NHL expansion franchise for which both
parties have submitted an application. If Watson lands an NHL
team, he would split revenues evenly with the Rockets. Watson
has also "agreed" to let the city, Rockets and Aeros share the
responsibility in operating the facility. If Alexander accepts
the offer, Watson is willing to meet with third-party mediators
to settle the "fine print." Watson said he has not presented the
offer to Alexander because Alexander has "repeatedly refused" to
speak with Watson's since talks broke off in July (HOUSTON
CHRONICLE, 11/13).
