Two groups are "prepared to spend more than" $500M apiece renovating KeyArena for "possible NBA and NHL teams while preserving its iconic roof and general exterior structure," according to a front-page piece by Geoff Baker of the SEATTLE TIMES. Oak View Group (OVG) unveiled a $564M renovation plan yesterday, while Seattle Partners -- a group formed by AEG and Hudson Pacific Properties -- "unfurled its own" $520M proposal. Both groups said the arena renovation "could be done" by October '20 if "no unforeseen delays hit." Both also added that their plans "involve eventually attracting NBA and NHL teams," though they would "begin construction without them." OVG CEO Tim Leiweke said, "We're going to do this and stand on our own two feet. And we believe by doing that we give Seattle its best chance at getting one or two teams." AEG Facilities President Bob Newman said that his Seattle Partners group "feels much the same way." Baker notes city officials will "study the proposals" and decide which is "more viable and submit a decision" to Seattle Mayor Ed Murray by late June. The City Council then will "choose whether to go with the KeyArena site -- if either project is deemed viable -- or a new arena pitched for the Sodo District by entrepreneur Chris Hansen" (SEATTLE TIMES, 4/13). In Seattle, Matt Calkins writes as far as "securing a team goes -- both groups seem to be ahead" of Hansen. Calkin: "OVG in particular." At this point, it "appears Seattle is exponentially more likely to land an NHL franchise before it gets one from the NBA" (SEATTLE TIMES, 4/13).
PARTNERS WITH A BETTER MAN: The SEATTLE TIMES' Baker notes a "major music and equity partnership with Live Nation is what's allowing" OVG to "proceed without first landing teams." OVG "lacks the sheer financial staying power of the partnership" between AEG and Hudson Pacific. But OVG said that its proposal can "nonetheless proceed without NBA or NHL teams for now because of the concert revenue its Live Nation deal would provide." Beyond a "regular stable of shows provided by the world's largest concert promotion company," OVG and Live Nation have "begun exploring an 'extended residency' deal" with Pearl Jam. The band's manager, Kelly Curtis, has been "added to an OVG advisory board." Leiweke said, "If we don't have their partnership here and we're not able to do 40-plus nights of music and we don't have Pearl Jam ... we couldn't stand on our own two feet and take this risk. We're going to build it, and we believe they (teams) will come. And if they don't come, we're not going to get killed" (SEATTLE TIMES, 4/13). The WALL STREET JOURNAL's Hannah Karp notes the "music-focused model" is based on an arrangement at The Forum in Inglewood, Calif. Since it reopened in '14, The Forum has "become one of the country's highest-grossing venues." OVG co-Owner & Azoff MSG Entertainment CEO Irving Azoff said, "Music is a bigger league than any of the other (sports) leagues." Azoff added that he "expected his group's proposal could turn KeyArena into one of the country's top 10 money-making music venues while doubling or tripling the size of Seattle's touring market and still potentially luring sports teams" (WALL STREET JOURNAL, 4/13).
