Per the Times-Picayune, a new lease between the Hornets on the New Orleans Arena will be announced this afternoon.
The important bits:
- Through 2024
- No Escape Clause (e.g. Attendance Benchmarks)
- $41m Capital Bond Issue to Eliminate State Subsidies (to be voted on), plus $8m Already Committed
- $70m in State Savings
- No New Taxes
- Purchaser Must Accept This Lease
- Two Offseasons to Complete Arena Upgrades
- More Money Possible for More Upgrades or Practice Facility
- Promise of an All-Star Game
Good work by the State, Commissioner Stern, and The Times-Picayune.
We’ll have a celebratory post up later if this comes to pass, and we’ll continue to follow the boring details way past the point where everyone loses interest.
I’m headed down to the media availability today at 1:30 (CDT, -5), so enter your questions below.
Also, do you think the media availability is a form of confirmation of the TP story? I do.
Update from Press Conference:
Ownerships weeks away
Moving ahead, good progress, lease will move it faster
((Note Bene: This post is being updated throughout the day as information arrives. Stay tuned.))
13 responses to “State to Announce New Lease Agreement”
New lease agreement > Any trade we could have made yesterday. Nice!!!!!!
So, this means we will have a new owner before April?
Yeah!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!Geaux Hornets !!!!!!!! thanks Mr.Stern
Not trying to be facetious, I’m ecstatic about this but how does a capitol bond relieve the state of subsidies. Isn’t that just a taxpayer funded subsidy by another name?
Yes.
Yes it is.
But it’s essentially an opt in (you choose to buy bonds), and relieves the state of some oversight.
I happen to know a little about bond issues and now that you have officially requested info, you will get a post on this in the coming weeks.
Cool?
I gotta say, I love your skepticism. It makes me feel idiotic in my own skepticism.
I love the hornets dearly and want them to remain a part of new orleans for myself and my children.
However, I’ve always been uncomfortable with the taxpayers floating the bill for large profitable corporations (I know hornets are on margin of being profitable and need that help more than most other teams) particularly when it comes to building / rebuilding / renovating arenas.
Don’t want to be sour grapes, this news is awesome
I’m going to have a detailed analysis of this.
My prelimary research agrees with you 100%. It’s taxpayer funded “rebranded.” We need to look at their justifaction for it, what benefits will be derived from the cost.
I’ll get that for you if possible.
No sour grapes, man. You are passionate and principled.
And ornery.
Just like me.
Great news, thanks for reporting on this.
so when is that all star weekend going to happen
I hope the lease has severe liquidated damages should the Hornets break it if the new owner(s) decide they want to be elsewhere.
amen
Basically the state will do upgrades to it’s OWN building in order for the hornets to create more revenue.
hoping mr . chouest buy the team….2 lottery picks….EG…u have a cornerstone player there…..cap space and hoping nxt season everybody will be IN……geaux hornets!!