News

Va Beach/Kings/Arena Details worked out

November 27th, 2012 at 6:44 pm by under News, Personalities, Sports, Uncategorized

After months of negotiations it appears the details have been worked out to build an arena in Virginia Beach, and bring a major league sports team with it.

But the deal is far from being done.

A plan to build a $350 million arena on the Virginia Beach oceanfront, with an NBA team as its anchor tenant, moved forward during Tuesday night’s Virginia Beach City Council meeting.

Virginia Beach Mayor Will Sessoms announced that he has been advised by Peter Luukko, the President and CEO of Comcast-Spectacor that a proposal is ready for the city to build the arena in the Virginia Beach resort area.

Today, the city staff under the direction of the Mayor sent to state officials a request for $150 million dollars to help with construction costs and moving expenses for the unnamed team.

As I reported earlier this month, George Maloof Jr., one of the owners of the NBA’s Sacramento Kings met in Richmond with Gov. Bob McDonnell and other state officials to talk about moving his team to Virginia Beach if an arena was built there. No one involved in the negotiations, including the Kings have ever confirmed the Kings are the “major league sports team” being referred to.

Before and since that meeting, Mr. Luukko, has been negotiating a deal with Beach officials and presumably the Kings to bring the three groups together.

The city would own the building, Comcast-Spectacor in partnership with concert industry giant Live Nation would manage and book the arena, provide lease payments and all operating costs. In partnership with world-wide concert promoter Live Nation, the operators would count on the major league sports team as it’s principal tenant. But the majority of the dates would be filled by major concerts, large religious functions and other sporting events. These events range from ACC and NCAA basketball tournaments, Olympic trials, NCAA swimming championships, and pay per view wrestling and MMA shows. Comcast-Spectacor would kick in $35 million to make the deal work.

The Kings would be the main tenant.

But the deal hinges on the Virginia General Assembly agreeing to borrow $150 million, with that money expected to be paid back over time via state tax revenue that would be generated by the arena.

$70 million of the requested state funds would go towards arena capital costs, and $80 million will go to the team for moving expenses. That would include an estimated $30 million dollar relocation fee the Kings would have to pay the other NBA owners, and for potential loss of income the Kings would face by having to play two years at the Old Dominion Constant Center while the arena is being built.

Already one consultant report, given to state officials, concludes an arena with an NBA team in Virginia Beach could generate as much as $182 million in visitor spending each year, with the state alone taking in almost $11 million a year in tax dollars.

Virginia Governor Bob McDonnell has long supported efforts to bring a professional sports franchise to Hampton Roads. But will he have enough sway to convince state leaders that the state tax revenue the arena will bring in will pay off the loan? In addition to the money, McDonnell believes the national exposure of a “major league team” will be good for the state.

The city would be responsible for borrowing $195 dollars. The council it would seem, has to be convinced money generated by the arena on the local level will be enough to pay back that loan without the city having to use current or future tax dollars. In addition city hotels, restaurants and shops both in the resort area and nearby would look forward to increased business especially during the non-tourist season from September through April.

Mr. Luukko is expected to come before the Virginia Beach Council next week to make Comcast-Spectacor’s formal proposal. Mayor Sessoms told Jason Marks of WAVY-TV Tuesday night he and Mr. Luukko believed the chances of this all coming together was about 50-50.


The Tide That Brings Us Home

November 10th, 2012 at 7:42 pm by under News, Personalities, Uncategorized

Sleek glass tablets provide virtual worlds of wonder.  They’re platforms from which we explore everything from best-selling novels to high definition action that has the power to entertain and mesmerize.  We ”tweet” electronic snippets of thought,  launch video records of personal achievement , or post images of a  favorite sandwich for lunch with our Facebook “friends.”   Such is the modern mode of staying in touch with each other and the world.   But to artist Cheryl White of Norfolk,  the art of communication is best recorded by taking pen in hand.

Ms. White is combining writing and photography in her latest work “The Tide That Brings Us Home“–33 prints that now grace trains and stops along the Tide light rail line in Norfolk.   Each print features photographs and maps relating to actual letters and emails written between military service members and their families.  The notes range from letters from the Civil War to World War II telegrams to Facebook conversations.

Most of the letters represent a different time, when the written word stood for history–something to be touched and analyzed by the loops of cursive letters and smudges of ink from an expression of emotion.  Ms. White was drawn to these letters from her own experience.

“My father, both my grandfathers, numerous uncles, an aunt, a brother-in-law, and many friends have or are currently serving in the military.  My pre-teen diaries are filled with daily countdowns of the 180-plus days it would take my father to return home from six month cruises.”

Ms. White told me she “wanted to highlight memories, not memorials” as a major goal of this project made possible, in part, by the Norfolk Public Art Program.  So as weary commuters wait for their train, or after they take a seat for the short ride to and from home, they’ll be reminded of what awaits them after a long day–a microcosm of what our troops missed for months or years at a time.  Ms. White chose the Tide for this reason:  “It makes us think of home, and that we all want to get there, safely.”

 

 

 


Will Sacramento Kings come to Va. Beach? The latest.

November 9th, 2012 at 12:17 am by under News, Politics, Sports, Uncategorized

On Tuesday, the Virginia Beach City Council will be presented with the final consultant’s report regarding the feasibility of building a $350 million arena.

The clock is ticking, so where are we now?

Governor Bob McDonnell, Beach Mayor Will Sessoms and officials from Comcast-Spectacor met in Richmond last week along with Sacramento Kings owner George Maloof in regards to the Kings moving their team to Virginia Beach.

Most of my sources tell me today they don’t believe the arena can survive without the assurance that the Kings will sign a long term deal.

But it won’t be cheap. The Kings will have plenty of expenses, at least a $30 million dollar relocation fee to be paid to their fellow NBA owners, as well as $10 to $15 million in moving expenses. As much as the owners would like Virginia Beach to help them with their $67 million arena debt in Sacramento that will never happen.

The Kings would have to play their games at the Ted Constant Center at Old Dominion for two seasons while the arena is being built.

Thus the team would want to be compensated for lost revenue–the total cost, including relocation fees, moving expenses and lost revenue for two years would be somewhere around $100 million.

It may sound like a lot but that is not an outrageous assumption, and it can be paid over time.

Already one consultant report, given to state officials, concludes an arena with an NBA team could generate as much as $182 million in visitor spending each year, with the state alone taking in almost $11 million in tax dollars.

Throw in the publicity of having a major league sports team in Virginia and the governor, mayor, and local business folks think it’s a good idea.

If the numbers add up.

A big chunk of the money would have to come from the state, as much as $105 million dollars, which would be paid to George and Joe Maloof the owners of the team for relocation fees and lost revenue, with any money left over to be used to help the city with construction costs.

The state would also help with financing bonds needed to build the arena.

Comcast-Spectacor and Live Nation, who are putting the deal together, will also probably be asked to kick in as much as $35 million dollars in cash to help make this happen.

Another option is, if the Kings don’t get what they want, would it be viable to build a less expensive arena–that would host concerts, big college basketball tournaments, like the ACC, ultimate fighting, big religious conferences, and then someday go after another NBA team, or maybe an NHL team that could move right in. Thus no lost revenue to be paid out since the arena will already have been built. That would be a $100 million savings alone.

That would probably rule out any money from the state right now, which might be enough to kill the deal, unless the NBA would guarantee Virginia Beach an expansion franchise, which seems out of the question.

Again the City Council will receive their own consultants report on Tuesday, but will the Kings buy in?

Can the arena happen without the Kings?

A complicated situation that could come to a conclusion one way or another by the end of the year.


Schottenheimer sues UFL founder for $2.3 million

October 18th, 2012 at 11:00 pm by under News, Personalities, Sports, Uncategorized

As Michael Florio reported on NBC Sports, if the UFL isn’t already dead, it soon will be.

News today that former Virginia Destroyers coach Marty Schottenheimer has sued the league for over 2-million dollars in unpaid compensation.

Marty now joins another former UFL coach Dennis Green who is also suing the league for unpaid wages.

Marty was all smiles when he took the job last year, and why not, league founder Bill Hambrect personally guaranteed him a 2 point 3 million dollar salary.

When he didn’t get paid, Marty threw in the towel; his brother Kurt replaced him as head coach without any explanation.

The Destroyers are still scheduled to play Sacramento tomorrow night (Fri) at the Sportsplex.


Beach Arena could bring $Millions to Virginia

October 17th, 2012 at 7:21 pm by under News, Personalities, Sports, Uncategorized

While the Virginia Beach City Council awaits its own $50,000 study, an economic impact report done by CHMURA ECONOMICS&ANALYTICS concludes a new arena with an NBA team as its main tenant, could generate as much as $182 million in visitor spending in Virginia Beach.

According to the report, starting in 2015, the total statewide economic impact (including direct, indirect and induced) of a potential NBA team in Virginia Beach is estimated to be $502.6 million a year, which can support 3,712 jobs in Virginia. State government can receive estimated annual tax revenue of $10.9 million. The sources of those economic impacts are the NBA team operation, new arena operation, and visitor spending.

The report also suggests that while the arena is being built, the NBA team would have to play its games in other Virginia locations for two years, which could also inject hundreds of millions of dollars of economic impact per year into the Virginia economy. While the building is under construction, from May 2013 to September 2015, it is estimated that the construction activities will generate a total cumulative economic impact (including direct, indirect, and induced) of $559.3 million that can support 3,944 cumulative jobs in the state. Among the total economic impact, $317.4 million are derived from direct spending during the construction phase. This spending could directly support 2,229 cumulative jobs in the state from 2013 to 2015.

Once the arena is built, and the team plays there full time, the annual revenue of the team is estimated to be $135 million, including ticket sales and licensed merchandise sales. The potential NBA franchise in Virginia will have between 185 and 201 full-time employees working in the team headquarters in Virginia Beach. The team will have 15 basketball players with annual salaries of $75 million.

The 44 NBA home games are expected to attract 704,000 annual spectators. When the new arena is in full operation, non-NBA events can attract 743,484 annual spectators, for total annual spectators of 1.4 million for both the NBA games and non-NBA events. This would include, the report says, a wide range of sporting events, concerts, and family shows.

The economic impact estimated in the report does not include potential playoff games, NBA All Star weekend, or other events such as draft nights, or fan appreciation nights. The NBA has rewarded teams/communities that develop a new arena with an NBA All Star Weekend within the first 10 years of the venue’s existence. For example, the NBA held their All Star event in the new Orlando Amway Center during the venue’s second year of operation—it generated a $95 million economic impact in Orange County, Florida.

Chmura pointed out other benefits that should put a smile on the face of Virginia Gov. Bob McDonnell. It predicts tremendous media exposure for Virginia as the home of a major professional sports team. This media exposure, the report says, will allow Virginia to showcase its rich culture and history and high quality of life, thereby boosting economic development. States such as Louisiana and Oklahoma have recognized the benefits they receive from hosting an NBA franchise, which is tantamount to free advertising for the state. Business and community leaders in Oklahoma City believe that “the Thunder help Oklahoma City in their effort to keep their talented young people working and living in the City rather than leaving for greener pastures elsewhere.”

The report also compares the economic impact of the proposed arena to other businesses. For example, in 2008, Virginia attracted Rolls Royce to Prince George County. This project is estimated to have over $2.0 billion economic impact in the Virginia’s Gateway region in 10 years, for an annual average of over two hundred million dollars. To attract Roll Royce, Virginia provided an incentive package valued at $56.8 million. The economic impact of the potential NBA franchise will be larger than that project.

The report was prepared for Warren Harris, the director of the Virginia Beach Development Authority. I would assume Mr. Harris is hoping this will help convince officials in Richmond to contribute to the building of the proposed $350 million arena. Council members, who will have the final say on the arena, hope to have their impact study by next month. Prior to that, Comcast-Spectacor is expected to present council with a proposal to run the arena.

Comcast-Spectacor commissioned its own study, prepared last summer by former Old Dominion President James V. Koch, now an economic professor, which estimated the new arena would host 200 events a year, create over 1,200 jobs and generate close to $100 million.

More on the story as it develops.


Gone With the Autumn Wind: Remembering Steve Sabol

September 19th, 2012 at 9:01 pm by under News, Personalities, Sports, Uncategorized

Tight monochromatic spirals looming larger with every revolution until it nearly smashes through the screen of our old RCA accompanied by an orchestral buffet of deliciously classical sounds is the first scene that came to mind upon hearing the passing of Steve Sabol.   Sabol was President of NFL Films, which produced beautifully paced stories of gridiron mythology, the images of which were burned the into my impressionable brain at a young age.  We watched stirring cinematography which recorded,  as Sabol put it,  “the raw intensity of the NFL–the bloody hands, the eyes bulging, the snot spraying and the sweat flying.”

But these weren’t just old highlights.  NFL Films artfully produced dramas which showed struggle, triumph, and often times, defeat;  accompanied by music which made you think you were watching a biblical epic unfold in helmets and pads.  But what most influenced this reporter was what was reverently known as “The Voice of God.”  John Fascenda’s bass pipes and diliberate narration put you in the line of battle.  Every syllable would take you to a different world, feeding a sports fantasy that would push a little boy from the living room, through the kitchen door, and to the neighborhood where 50,000 fans screamed through his mind, with Facenda dramatically describing a Franco Harris-like rumble through two suburban blocks.

Steve Sabol worked with his surviving father Ed filming nearly every NFL game for 50 years.  Watch any of these pieces, including his signature poem, “The Autumn Wind” and you’ll get the essence of what I always loved about Sabol’s vision of football story-telling as an art form.  Two years ago, I made a similar attempt, writing a verse for my appearance on WAVY’s Friday Night Flights.   But it’s safe to say, nobody could spin gridiron heroics like Steve Sabol, and chances are, nobody will.


Hampton Roads Through the Lens: The Dog Days

August 31st, 2012 at 10:50 am by under News, Personalities, Uncategorized

When Stephanie Cooke, Executive Producer of The Hampton Roads Show, asked me to capture shots of dogs for a special Through the Lens piece,  I hesitated a little.  Our Golden Retriever Sophie is usually a pretty good subject, but capturing other dog lovers in their element?  Being the novice photographer that I am, let’s just say I was a little intimidated.  But I learned something in my strolls through various neighborhoods: that we all share a special bond with our four-legged companions, and that gave me a little more confidence to share these shots.   As we wind down a summer fraught with constant rain and oppressive heat, I hope you enjoy the final hours of the “dog days” of August, through the lens.

Get the flash player here: http://www.adobe.com/flashplayer


Va. Beach Arena Proposal Today, the latest

August 28th, 2012 at 11:18 am by under News, Personalities, Uncategorized

By Bruce Rader
Bruce.Rader@wavy.com

The Olympics are behind us, the football season is still a few days away, but today is Opening Day for a new sporting event of sorts in Hampton Roads. The race to build an 18,000 seat arena in Virginia Beach anchored by a major league sports team.

Don’t get too excited this afternoon when the president’s of Comcast-Spectacor and Live Nation Arenas go before the Virginia Beach City Council and as ask to start a conversation regarding building a arena in the resort city.

All they are going to ask to do is start a conversation.

There will be no announcement of an arena, there will be no guarantee that the Sacramento Kings or any other NBA or NHL team has agreed to move into the arena. If fact, it will probably be made very clear by everyone that today is just a day to get the conversation started and that there a lot of steps to go.

In our “lay everything on the table today and let’s take a vote mentality”, this will be disappointing to many who have heard the leaks, and have already started to debate the pro’s and con’s of the potential project, going so far as speculating on a name for Virginia Beach’s new NBA team.

Contrary to what some businessmen close to the project say, sources tell me neither NBA Commissioner David Stern or anyone else in his office has been to Virginia Beach. The NBA owners do not like moving teams around, and there is a very formal process that has to go through involving all the owners before the OK is given for a team like the Kings to leave Sacramento and go to Virginia Beach or any other city. And the process won’t even begin until the city agrees to build the building, and the owners of the team file a relocation application.

Comcast-Spectacor, which owns the Philadelphia Flyers, the Wells Fargo Center in Philadelphia and ironically the food service company Ovations, has close ties to professional sports team, and wants to manage the new Virginia Beach arena if it is built. The Mayor of Virginia Beach, Will Sessoms told me last week Comcast-Spectacor guaranteed a “major league sports franchise” as the main tenant if Virginia Beach builds the building. But I don’t think Comcast-Spectacor is ready to go public with that today.

By the way, if the food service company Ovations sounds familiar, the Comcast-Spectacor owned company is led by, who else, company founder Ken Young the principal owner of the Norfolk Tides and Norfolk Admirals.

As far as today’s presentation, don’t expect anyone to leave too many cards on the table. Comcast-Spectacor and Live Nations, and even Warren Harris, the director of Economic Development for the City are just going to inform council that the two sides want to start talking, and more information will be forth coming. In fact, I would assume there won’t be a final proposal until sometime in October. In the perfect world a final decision may be reached by mid November but may linger on until the end of the year.

So don’t expect any bomb shell announcement’s today, in fact don’t be surprised at all if the words “Sacramento Kings” don’t even come up.

A project like this will involve long negotiations, a lot of time and a lot of political posturing.

And as for today, Let the Games Begin.


Virginia Beach Arena, and Sacramento Kings the latest

August 25th, 2012 at 12:16 am by under News, Personalities, Sports, Uncategorized

Tuesday is building up to be a big day in Virginia Beach, as two of the largest entertainment companies in the world pitch the city to build a new Arena with the possible guarantee of bringing to the beach an NBA team as the building’s anchor tenant.

It is now official, Peter Luukoo, the president and CEO of Comcast-Spectacor along with Michael Evans, president Live Nation Arenas and Wilson Howard, president of Live Nation’s southeast division have crunched the numbers and are ready to convince the City Council that Virginia Beach can make more than enough money to pay off the debt if the city builds an 18-thousand seat arena near the city’s Convention Center.

And to sweeten the pot, Beach Mayor Will Sessoms told me Thursday Comcast reportedly made a deal with a “major league sports team” to sign a 25 year lease and become the building’s main tenant. Although no specific team has been named, the consensus is that team is the Sacramento Kings of the NBA. Unhappy in Sacramento, the Kings have explored moving to several different markets and it’s believed team co-owner Joe Maloof has already visited the beach.

Of course neither the Kings nor the NBA will comment on the report, the Kings moving to Virginia Beach would depend on if the city builds the arena. It would seem silly for them to comment on a deal that hasn’t even been presented to the council. That is not how big business works, and this is big business.

So why would the Kings want to move to Virginia Beach?

The answer is Comcast, the $100 billion dollar entertainment giant that owns a huge cable company, the Philadelphia Flyers, the Wells Fargo Arena in Philly, and NBC–one of the four largest TV networks in America.

Comcast also manages arenas, their smaller company Global Spectum runs the Constant Center at Old Dominion. They can promise the Kings a new arena, a market with no major league competition, and a television deal. The city builds the Arena, Comcast-Spectacor runs it, and the Kings sign a 25 year lease.

According to a story by Bob Fernandez in the Philadelphia Inquirer, Comcast and the Sacramento Kings would not be strangers. Comcast carries Kings games on its CSN California regional sports network. An NBA franchise in Virginia Beach could be shown on a separate Comcast-owned regional sports network, SportsNet Mid-Atlantic.

But the Sacramento Kings TV rights would not automatically transfer, an official said.

Hampton Roads, would not be the smallest NBA market. New Orleans, Memphis, and Oklahoma City are smaller, said sports consultant and former NBA executive Ed Desser.

The arena, built to NBA specifications would cost about $350 million; Virginia Beach with its high bond rating could easily get that money in a 25 year loan.

Live Nation, which also owns Ticketmaster, is the world’s biggest concert promoter and ticket seller, is losing money in financially strapped Europe, but is making big profits in Hampton Roads.

The Virginia Beach Amphitheater, which Live Nation manages, is one of the top 5 most profitable venues in the 112 Live Nation stable of venues. The company feels it can make even more money for itself and Virginia Beach if it can bring its big acts to a new arena 12 months a year. Among the acts Live Nation books include Eric Clapton, Radiohead, the Jonas Brothers, Kayne West and the Police. The company has a complete country music division led by Toby Keith, Tim McGraw, Brad Paisley and Rascal Flatts.

Although they will not comment until an arena is built, officials from the ACC and NCAA have made it known that both an ACC basketball tournament and NCAA Regional Tournaments would be good possibilities for a new arena.

But starting Tuesday comes the hard part.

Comcast and Live Nation have to convince a majority of the council that they can generate enough money with concerts and sporting events to play off the loan the city would have to borrow to build the arena.

Oklahoma City went another route–adding one penny to the sales tax for five years paid for their new arena which is the home of the Oklahoma Thunder.

Virginia Beach would borrow most of the money for the project, but I would assume they would at least ask for some financial help from the companies involved and the state. Gov. Bob McDonnell has already endorsed the concept, and his office recently gave Redskins owner Daniel Snyder more than six million dollars to keep the team from moving their headquarters to Washington, DC. Income tax from just a team of NBA players alone would provide Virginia with almost $1.5 million dollars a year. Not to mention coaches, and other staff members. Plus the Governor would love to have an NBA team in the Commonwealth.

After Tuesday’s presentation the council will have about 2 months to make a decision–right around election time.

By the way, this is a blog. Not a television story, not a newspaper column it is a Web site that contains an online personal journal with reflections and comments. Don’t shoot the messenger, read it for what it is. Get involved in the discussion or don’t.


Bruce Springsteen is coming

August 15th, 2012 at 8:40 pm by under News, Personalities, Sports, Uncategorized

Bruce Springsteen started his latest concert tour tonight with a show in Boston, and is coming to Virginia on Tuesday October 23rd.

Unfortunately, when “The Boss” visits the Commonwealth he will stop in Charlottesville and not Hampton Roads. Granted, C’ville is a great college town, even though its population is only 196,000. Hampton Roads on the other hand is home to more than 1.5 million people.

So why pass on a market with so many more music, sports and circus fans? Charlottesville has something we don’t have. An indoor arena that seats more than 14,600 people.

Gabby Douglas and her USA teammates start their American tour next month with 40 stops including Des Moines Iowa, where Gabby has lived the past two years. Not on the list?

You guessed it, Hampton Roads.

The Wells Fargo Center in Des Moines doesn’t have an NBA team or an NHL team, or even an AHL team, but it does have over 16,000 seats and is connected to their convention center by a shared parking lot? Sounds a little like Virginia Beach if you ask me. Enough seats to welcome Gabby back to her second home.

By the way, the population of greater Des Moines is just under 600,000.

The Sprint Center in Kansas City doesn’t have an NBA or NHL team as a tenant, but is also hosting Gabby and her teammates, as well as an NBA game with Lebron James and the Miami Heat taking on the Washington Wizards, Joel Osteen, the NY Rangers against the Colorado Avalanche, Bruce Springsteen and did I mention, Justin Bieber. All over the next couple of months.

By the way the population of the Kansas City metropolitan area is a little over 2-million people.

Who says you need an NBA or NHL team to make it worth your while to build an arena?

NCAA officials have told me Hampton Roads would almost certainly get a first round basketball tournament weekend, if the area had a new arena. ACC folks have said many times, putting their famous basketball tournament in a neutral market like Hampton Roads with plenty of empty hotel rooms, would make fans from non-Carolina schools happy, and would be a nice midway point for the conference schools located from Syracuse to Miami. Tickets would sell like hot cakes; the host city would make a mint in taxes, not to mention hotel rooms, restaurants and stores. But don’t even start talking until a new arena is built.

Is Hampton Roads ready for an Arena, and are there city leaders out there with the guts to make it happen?

What do you think? Comments are welcome.

By the way, this is a blog. Not a television story, not a newspaper column it is a Web site that contains an online personal journal with reflections and comments. Don’t shoot the messenger, read it for what it is. Get involved in the discussion or don’t.