SBD/January 18, 2011/Facilities

Anschutz On Board With L.A. Stadium Plan, But Wants Conditions Met

Anschutz sets four conditions before he'll fully commit to stadium project
AEG President & CEO Tim Leiweke last week said that Chair Phil Anschutz is "now on board" with the company's proposed events center in downtown L.A., though he "wants some conditions met before he plunks down the cash," according to Howard Fine of the L.A. BUSINESS JOURNAL. Leiweke said that Anschutz "has been involved in many of the key decisions about the plan, including selection of the three stadium design finalists." Leiweke: "He's very enthusiastic about the project." However, Leiweke said that Anschutz "won't sign any checks until four conditions" are met: 

  • Agreements with "various corporations for naming rights and other sponsorships that would bring in tens of millions of dollars in annual revenue."
  • A commitment from L.A. city officials for "speedy approvals and $350 million in bonds to replace the West Hall of the city-owned Los Angeles Convention Center that would be torn down to make way for the stadium."
  • A "commitment from an NFL team to move to Los Angeles."
  • A commitment from the NFL to "approve an L.A. team."
Leiweke said that AEG is "trying to meet three of these four conditions by a self-imposed March deadline," and that the agreement from the league "would likely have to wait for the owners to conclude negotiations with players" over a new CBA.

FINANCING PLAN: Leiweke "did not confirm or deny" reports that Farmers Insurance is close to a deal for naming rights to the facility. He "would only say that a deal for naming rights and several deals for 'founding partner' sponsorships would be announced in the coming weeks." Leiweke said that the stadium project "will be entirely financed by AEG in order to avoid controversy." Leiweke: "The important thing here is that this is our money, so it shouldn't matter to anyone else whether it's $1 billion, $1.2 billion or $1.5 billion. We're going to pay for the stadium -- whatever it costs. Period." Leiweke also noted that Majestic Realty's $800M proposal for a stadium in City of Industry, Calif., "still lacks a team despite" Chair & CEO Ed Roski's efforts, and that NFL owners "don't seem to want a team" in that city (L.A. BUSINESS JOURNAL, 1/17 issue).
Return to top

Related Topics:

AEG, Football, Facilities

Video Powered By - Castfire CMS Powered By - Sitecore

Report a Bug