If all “goes according to plan,” AEG will “be the operator and lead investor in the proposed sports arena in Sacramento's downtown railyard,” according to a front-page piece by Dale Kasler of the SACRAMENTO BEE. AEG has not signed on to the Sacramento project yet, but “it's already indirectly involved,” through its partly owned subsidiary, ICON Venue Group. A “partnership between ICON and Sacramento developer David Taylor has been selected by the city to negotiate an arena development deal, and AEG has shown interest in participating.” AEG officials attended a meeting in Dallas last week with ICON, Taylor, the NBA and a delegation from City Hall. An AEG spokesperson said, "We would be willing to discuss a more formal role as the project progresses." Kasler noted negotiators have a March deadline “to finalize a funding plan” for the $387M arena, otherwise, the Kings “have vowed to leave town.” Under “one possible scenario, the city would own the building,” AEG would run it and control "much of the profit." In return, AEG would invest in the building's construction. Sacramento Assistant City Manager John Dangberg said the level of investment by AEG is not clear, adding, "We've been talking about ranges with AEG and various ways for them to participate.” With AEG’s music business, “concerts and other special events might be the key to getting the arena built,” as AEG “could use the railyard arena as a tour stop.” AEG developed L.A. Live next to Staples Center and Sacramento officials said that it is "possible AEG could try something similar, albeit smaller, at the railyard." AEG to date "hasn't raised the subject” (SACRAMENTO BEE, 10/9).
