Seattle approves arena remodel to attract NBA, NHL franchises
Seattle is moving forward with efforts to renovate the aging city-owned KeyArena into a premier venue that could be ready for an NBA or NHL team within three years.
The Seattle City Council on Monday approved a memorandum of understanding with Los Angeles-based Oak View Group to privately finance a roughly $600-million remodel that would nearly double the square footage of KeyArena.
The facility previously housed the NBA’s SuperSonics until they relocated to Oklahoma City and became the Thunder and the WHL’s Seattle Thunderbirds also played out of KeyArena until 2009 when they moved to the ShoWare Center in nearby Kent, Wash.
Oak View Group has been focused on acquiring an NHL franchise and turning KeyArena into a world-class hockey and concert facility, with the potential of hosting an NBA team in the future.
Oak View Group has said it could have the building ready by October 2020 if environmental approvals are obtained and demolition can start in October 2018.
“I believe this is the best thing for the city of Seattle, whoever you cheer for,” said Council member Debora Juarez, who co-chaired the council’s committee on civic arenas. She said she was proud of the agreement that was hammered out “at little or no costs to the taxpayers” and embodied the city’s values.
Following the 7-0 council vote, Mayor Jenny Durkan said in a statement that she looks forward to reviewing and signing the MOU later this week.
“I’ve said consistently that I’m committed to bring back our Sonics, recruit an NHL team, and invest in our City,” Durkan said.
The NHL has not hidden its interest in Seattle, the No. 14 media market in the U.S. and the only market in the top 25 that does not have an NBA or NHL team.
OVG has lined up billionaire David Bonderman and filmmaker Jerry Bruckheimer as the lead owners for a potential NHL franchise.
KeyArena opened its doors in 1962 and was last renovated in 1995.
It is currently home to the WNBA’s Seattle Storm and had about 570,000 visitors last year, also hosting concerts and other events.
The memorandum of understanding is the first step in a process that will include an environmental review.
Under the MOU, Oak View Group would be responsible for regular facility upgrades for the life of the 39-year lease agreement. Should requirements be met, there are two eight-year lease extensions that will be activated, and carry the lease agreement to 55 years.