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Thursday in a special session at City Hall, task force member Chris Lehane told City Council members that the task force thinks that the project that represents the best success right now is the Kamilos project.
In Kamilos’ plan, the Downtown railyards will be the site of a 19,000-seat sports and entertainment arena. In a second part of the plan, a new fairgrounds would be built at Arco Arena and on nearby land.
John Moag, a consultant for the NBA working with Kamilos, in January explained a third part of the proposal. For that part, Kamilos' development team intends to purchase the California Exposition & State Fair from the state. A mixed-use residential development would be built at the Cal Expo site. Funds from the new development would help finance the arena Kamilos plans to build at the railyards Downtown, Moag said.
The report presented to the City Council can be found here.
Staff reporter Suzanne Hurt contributed to this report.
Though the Committee consulted with the original architect of ARCO, who stated that the building could be expanded and renovated to suit, they expressed questions regarding the cost and feasibility of such an effort, which was never really given a chance to perform equitably with the other proposals.
Further, Kamilos had a two year lead on alternative proposals, and was the most polished and prepared... But whether even IT is feasible is in question, for it teeters on the backs of two firms steeped in commercial mortgage debt, with a portolio that is likely to be downvalued over the next two years as trillions in such debt matures and will no doubt fail around the globe.
So, the question is whether the Kamilos financing proposal is even viable, even if they were more prepared than any alternative... THIS issue will require CONSIDERABLE scrutiny BEFORE any decisions are made, because IF IT FAILS (and there is some question among more deliberate people in the financial industry (than Goldman Sachs, whose record has been a bit sullied by its prior and continued use of credit default swaps as a profit center) that any large build based on commitments from such firms that have the potential of being financially compromised) the result could be catastrophic -- either resulting in yet another big empty hole in the ground OR a necessary tax increment to support this arena thing....
At a time when people are losing their homes, forced to live in tents, and eat from food banks, an arena is a ridiculous expense, and those seeking this build to support irresponsible team owners and overpaid team players have their priorities in the wrong place, especially if just one of the elements of the house of cards upon which this deal is constructed collapses...
And a 'little bird' told me that there have been 'references' -- some more 'colorful' than others -- to my comments here and elsewhere in the offices of some 'high and mighty' among those I am critical of... it's just a bit interesting...
A long time ago someone very wise told me that citizenship require vigilence for there are inevitably hands in all pockets of the public purse... and a watchful eye is helpful in avoiding the likes of some who intend harm on this fair town...
Thanks again for your kind words -- carry on!
I know for a fact comments are read, received and often used by some we are critical of. Keep watching, speaking, commenting more are watching you, speaking of what you write than they will admit.. bbbbmer I know sometimes your comments can be "colorful" LOL some may get distracted. I wouldn't doubt that the colorful comments is what caught their attention in the first place-- LOL And well, if it isn’t broke don’t fix it.- Do what you do!! Many of us know you have a great deal to offer -- CARRY ON!!!!
I mean, I don't mind skepticism about the arena, but you might want to turn down the Glenn Beck just a touch.
Not that this arena thing has much to do with health care, except in terms of priority setting, in which case I would agree that the last thing we need in this town at present is a new arena while people are forced out of their homes, their jobs, and basic civil needs... An arena serving the interests of a few overpaid players and irresponsible team owners seems more than a tad off kilter...
REBUILD ARCO INSTEAD!
and bbbmmeer insurance co's will always get around preexisting conditions as not even a fine will stop that. there are loopholes in this 2,200 page bill bbbmmeer also i do not wish to deny 50 million out of health care i want health care for all, but i would like to start over as this 2,200 page bill will bankrupt this country for real.
now maybe i have this all wrong and maybe that there are hundreds of thousands of rich that can afford a new arena and the one we have is too small and they will always be able to afford to go to a game or event in that case i withdraw my contention we don't need a new arena, but if it is too small and there are those that do have the dough to go then add on to the one we already have in natomas.
First is "we have to watch the public till". Agreed. Not agreed though is that city staff or the electeds are incapable of watching it, or are seduced by the wolfman of the private sector ,or are puppets of developers. Those are trite cartoons of an equation that includes the almost universal desire on the Citys' part to improve this place we live.
Critics will dismiss this with reference to a bad apple here or there, but overwhelmingly, the people who work in public service have the public's best interest at heart. The fact you may disagree with an adopted action does not make them incompetent or substantiate accusations of malfeasence. It means you disagree.
The second issue is the ball-and-chain "we should not be doing (fill in the blank) because people are hungry/homeless/poor...". People have always been hungry/homeless/poor...and given the bell curve of humans, probably always will be. And even if people are not poor here in Sacramento at a moment, they are in the rural south, or the Sudan, or...yet humanity advances in spite of misfortune.
So, do we hold off doing aspirational things? I think most people would say that even though some are poor, as a society, we should do inspirational things. Some may even say that difficult times are when we should do them the most. FDR thought so.
So, to the question of a downtown event center. Is that an inspirational thing? If you see it only as a home for the NBA...probably not. If instead you see it as a public event center for big urban events then maybe, yes. Is Sacramento worthy of an icon? Absolutely. Is it ready for one? That remains to be seen.
Your argument that civil servants adequately do the public's bidding lacks depth, especially since of late, in certain circumstances, the public's bidding at the hands of certain political officials has been to the benefit of private interests at the expense of the public...such as Nestle, or Natomas, or this arena...
Civil servants do what they're told by those we elected to tell them -- unfortunately those we elected sometimes conceal their agendas to get elected, and we couldn't have a more vivid example of that than our mayor.
Yes, "the poor will always be amongst us" -- how 'Christian'.
But why not use public resources to benefit the public, especially the public that is least able to fend for itself??? A novel idea, I know... But this 'deal' is inevitably going to cost millions in public funds, despite its advocates' claims to the contrary -- hell, there's even a tax increment that will kick in should the questionable performance feasibility of the funding firms fail, which, given the markets, especially for commercial mortgages, seems at least possible in the near future...
I question the use of such public funds to principally benefit the irresponsible owners and overpaid players of a sports team that is the main tenant of this build, around whom this 'deal' seems conceived, especially while during this time of amazing economic hardship, fellow citizens are suffering economic catastrophe we haven't seen in nearly a century... ESPECIALLY when such public resources could be put to the use of remedying such hardships...
Investments in housing the homeless, feeding the hungry, and educating the.... educationless... have FAR greater economic multipliers than a gosh darn arena, especially when the 'deal' sculpted to bring this behemoth into being is so one-sided, while our electeds look the other way for reasons borne perhaps by their receipt of campaign cash, or the ego driven need to erect a monument to themselves, or whatever other unknown that causes bad judgment among these deciders.
This whole arena thing began with the premise that ARCO needs replacing, yet even acknowledged in the commission's report is language stating that this could have been a possibility if there had been time and effort made on behalf of this alternative. This most certainly would have been the least cost and greenest potential, especially considering that rehabilitation of existing structures is nearly always greener than a new build.
But NO attention was lent to consideration of DOING NOTHING. And THAT's an error in the composition of ANY strategic plan for ANY enterprise. And I believe the committee deliberately left this off the table (much in the way that Obama has skirted a single payer plan for national healthcare policy) to sweep it under the rug since it would have been the lowest cost option, especially at a time of highly compressed public resources which would inevitably be needed for such a build...
I am NOT against public funds for public facilities that are intended for PUBLIC BENEFIT. But this arena 'deal' is NOT among them.
This 'deal' is just so wrong for everyone but the handful of KJ's supporters and other political benefactors and private interests who brought it to the table.
What's not ok in my opinion is for an emergent city like Sacramento to endure marginal quality by accepting the easy fix. Arco is a cheap, dysfunctional, unprofitable, tattered shed on a suburban floodplain. What's worse, what's much worse, is that it putting a hundred million dollars into it now would enshrine the unsustainable and discredited notion that the suburban model is ok.
The world economy will stick a fork in oil and the urban model will return. Its happening now. And right now, this generation of Sacramentans is about to take a giant step toward that mature city by building an icon of culture, art, entertainment and sport...downtown. It's happening Mr. B. I can hear you snorting and you can wave your clever words at the tide, but it is happening.
So the question is what are you going to do? Are you going to sing from the sidelines, heard as you may be by those that read comments, or are you going to use your considerable artistic sensibilities to raise the bar on the PRODUCT and the CONTENT? Five years from now this center will stand as testament to the talents of this City today. Truly, I hope yours are visible.
The average Kings fan goes to 3 or 4 games per year. If there are 20 million visits, and 75% of those visits are for basketball, and the rest for other affairs, then this amounts to a market somewhere in the neighborhood of 2 to 3 million unique persons -- this in a region nearing 2 million people.
So, the audience for a build like this is somewhat limited to begin with.... and a rather select group, especially given ticket and amenity prices for basketball and other events held at the facility... Given the times, and the income strata of most in this region, it's likely that the facility's market base is perhaps the top 10% to 15% based on income, leaving out a whole lot of people.... people who could potentially be stuck paying the bill to subsidize the facility's events. So, this facility's audience is a rather select group, I would bet.
You claim ARCO is a number of bad things, but even the committee acknowledges that with effort a renovation is possible though more detail would be needed to afford competition with other alternatives. There is not a scintilla of evidence, not even from the commissioned engineering maintenance reports from the NBA and the Ccchamberrrr to substantiate claims of dilapidation -- in fact, the building is quite substantial ... and expandable, per the architect.
All that being said, I'm all for the buildout of a sports and other multipurpose and arts uses -- WHEN WE CAN AFFORD IT. But IF PUBLIC FUNDS ARE AT STAKE, and even despite the claims to the contrary, THIS is NOT the project at which they should be thrown...
Rather, this is merely an opportunistic bleed of the public trough by several financially challenged entities, painting the mere picture of solvency and private financing, but leaving a 'just in case' clause in their proposal providing for public largesse.
Further, this build is hardly iconic or architecturally significant -- it's just a huge blob plopped in the Railyards because Thomas can't raise the capital to put something else there.
In fact, just speaking aesthetics, the most interesting proposal came from the Natomas folks... $4 billion to be spent on the Kamilos 'deal' had better generate something one helluva lot more handsome than their current programme depicts if this turkey is going to fly more than a foot or two....
But of more concern presently is the notion of economic waste and creative re-use of existing infrastructure. Urban models have modified from the 50's -- apparently you hadn't heard, Mr. Rich...
Urban cores are often supplemented by smartly planned unique use zones which provide destinations for identifiable sets of activities that can be both homogeneous as well as diverse. These ideas were at play when ARCO's alternatives were first considered as the building and its use aged and continue in urban planning circles in an attempt to, yes, focus on the urban core, but also use metropolitan amenities already in existence to the fullest possible extent without the need to replicate in each tendril of the core's regional sphere of influence.
More importantly, it is greener to re-use an existing ediface than to build anew and lay waste to existing infrastructure.
As stated earlier, I believe the signfiicant public resources that will be inevitably required for this project would be better used for smaller more user friendly purposes, like housing the homeless, feeding the hungry, and education those who seek to learn...
Finally, and please note this very clearly, I would rather stick needles in my eyes, and I really LOVE having sight, than to participate in a 'deal' that was engineered this collusively, this corruptly, and by the particular players doing the 'deal's' engineering. I do not believe this 'deal' has been composed honorably, for it is just too damned easy to drive a MACK TRUCK through some of its elements...
If and when there are funds available to dedicate to this purpose, and when there is public will to do so, I would be among those cheering from the rafters... But we are nowhere near that time and place at present, and this 'deal' does a disservice to this community for which, if passed, we will pay dearly for a long time to come....
The community had voted twice (and again since then) to not have the proposed arena built in central Sacramento -- even as close as the then-empty land at Bradshaw Road South of Highway 50. "The easy fix" was for the boosters and developers to buy cheap Natomas agland, build "a cheap, dysfunctional, unprofitable, tattered shed on a suburban floodplain" and reap the profits from selling and developing the agland around the arena.
The developers broke their promises about pedestrian oriented development and light rail service. They promised what now would be called "sustainability" and delivered "the suburban model" which you now say is not okay and the notion should not be "enshrined."
You mentioned trite cartoons in a comment above. Have you met our local cast of recurring characters, who built their empires and their power on this Natomas legacy, that now you dismiss as unacceptable? This is what THEY created, this is what THEY enshrined for the community. The story is intimately tied up with the recent scandals, investigations and rushed departures in City Hall and the Economic Development Department.
"What's worse, what's much worse, is that it putting a hundred million dollars into it now would enshrine the unsustainable and discredited notion that the suburban model is ok."
A hundred million dollars is approximately what the Maloof brothers/Kings owners owe the City and people of Sacramento. That would be a nice chunk of change to put into a new facility at the existing Natomas location, where all the parking and freeway access infrastructure exists (minus the Lite Rail connections because the developers reneged and the City let them). The "nearby property" owned by the City is right across the parking lot -- what was the intended baseball stadium. The Maloof's can upgrade to their and the NBA's hearts' content. Arco can be in use until the new facility is ready. Maybe this time they'll even provide the sort of iconic multi use structure you suggest.
That is the "sustainable" answer. That is the most feasible answer. What is "discredited" is the reputation of those who care more about short term profits and less about "a giant step toward that mature city by building an icon of culture."
Many of the same cartoon characters made their promises, the same broken promises, a couple of decades ago. And now you are using the results they created, as a "dysfunctional" negative example, to argue for giving them the chance to do it all over again, profiting from new land/asset giveaways at public expense, with no public input and no certainty of public benefit in the results.
THAT is "enshrining the unsustainable model."
How insensitive such surmises can be...
If the tracks are not straightened out..high speed rail will never extend to Sacramento.
"In a second part of the plan, a new fairgrounds would be built at Arco Arena and on nearby land."
The Kamilos plan is a repeat of what occurred in building Arco Arena -- a cash cow for developers, which -- with or without a down economy -- may generate just as many broken contracts, permitless development and holes in the ground.
It's no accident that the recent investigations in the FPP, Natomas permit-swapping, the Community Development Department and the departures of Ray Kerridge and Bill Thomas, all stem from the corrupt and cronyistic legacy of Natomas (and Sacramento since then) development. The genesis point of that development was Arco Arena.
The "nearby land" mentioned in the article is the defunct baseball stadium Greg Lukenbill started. The City of Sacramento had to buy the land after he defaulted. It is directly across the Arco Arena parking lot from the current arena. A foundation was poured, which floods every winter (it's the floodplain).
I recall a City Council meeting where Robbie Waters was outraged that the City was spending $2,000 per month for pumps to keep the cement pad dry; since the pumps weren't functioning, it was an expensive swimming pool for migrating wildlife.
If Arco Arena was built to fail after a certain number of years or NBA standards for the luxury comforts of their exorbitantly paid players and VIPs have reached stratospheric levels, then let the sports/development cabal build a new facility on the land already owned by the Malloofs and the City, funded in part by the repayment of the outstanding $80,000,000 loan.
This is what other cities do. Build a new facility on land across the parking lot where available, keep using the facility and parking as is, until the new adjacent facility is ready.
Only this time, build a place fit for concerts and events, not just basketball and platinum skyboxes.
I do not wish to sell off our beloved Cal Expo to a bunch of greedy developers so that we can buy the Maloofs a brand new Arena!
You need to spend some money rebuilding our public transit system. This is the life blood for our economy in the city of Sacramento!
Arena or no arena, I would like to vote Cal Expo off the island. It sucks.
Location, Location, Location.
That "eyesore" can be removed and the State Fair can be renovated where it is. Moving the State Fair to Natomas because it's a convenience for the big players -- and Cal Expo is the next cash cow in their gunsites -- is a ripoff of the taxpayers of Kollyfonia and the citizens of Sacramento.