The Oakland Raiders owner Mark Davis had two major investors withdraw from the team’s proposal for a $1.9 billion stadium in Las Vegas, per multiple reports.
On Tuesday, multiple sources reported that investment bank Goldman Sachs would not pursue the financing of the Raiders’ $1.9 billion stadium proposal in Las Vegas.
It is unclear how this will impact the Raiders’ plans for relocation to Las Vegas, according to the Mercury News. The team did not comment on the Goldman news.
The investment bank made this move only a day after casino billionaire Sheldon Adelson said his family would have no involvement in the stadium discussion. Per Raiders’ insider Vic Tafur, the two moves could be related.
Adelson put a call in to Goldman Sachs? Sure seems like it. Reports that their involvement in #Raiders Vegas deal was tied to him being in
— Vic Tafur (@VicTafur) January 31, 2017
The Adelson Family was a critical part of the initial financing plan as they were supposed to invest $650 million into the stadium development. This helped get local legislation to approve a hike in hotel taxes to finance an additional $750 million for the stadium via these local funds.
It was previously reported that the Raiders could get the deal for Vegas done without Adelson. However, Adelson would have been a key local resource for his history in the market.
Tweeted it last night, and biggest thing I have taken from day on phone: #Raiders don’t want to go into Vegas with Adelson as an enemy
— Vic Tafur (@VicTafur) February 1, 2017
Nonetheless, the Raiders excluded the Adelson family from a lease proposal that included a $1 annual fee for rent as well as scheduling rights. Apparently, this ticked off local officials.
Adelson had been willing to welcome #Raiders as of last week even if he wasn't in deal. Now, he & others in Nevada believe team is unethical
— Jason Cole (@JasonColeBR) January 31, 2017
Hence, Adelson released a statement on Monday that claimed the family had no involvement in the plan. It also read that Adelson was disappointed with the Raiders proposal.
The Raiders reacted via their own statement on Monday. It credited Adelson for helping the initial relocation plan get this far, and it said that Davis remained committed to moving the franchise to Las Vegas.
Either way, the Raiders needed the approval vote from 24 of the 32 NFL owners. A vote on the Raiders relocation to Las Vegas was expected in the March owners meetings.
Now, that could get pushed back. Per NFL insider Ian Rapaport, there is no hard deadline for the Raiders relocation vote.
Important note on #Raiders & Sheldon Adelson: There is no real deadline. Bad negotiating days like today are bad. But not fatal. Stay tuned.
— Ian Rapoport (@RapSheet) January 31, 2017
Therefore, they can still find financing elsewhere in Vegas.
As for Oakland, an investment group led by Ronnie Lott issued a statement that said the group is ready to work with the Raiders and NFL to keep the team in the East Bay,
They listed the Coliseum land site, Fortress Invest Group, $100 million due to the NFL incentive to keep the Raiders in Oakland, Raider Nation, a top 10 television market and Bay Area Fortune 500 companies as resources that the Raiders should value in Oakland.
The NFL and Raiders have both downplayed the recent stadium efforts in Oakland. However, these could progress as it appears that efforts in Las Vegas have stalled.
More updates should come as the offseason progresses.
Latest posts by Pete D. Camarillo (see all)
- 2017 NFL Mock Draft Presented By The SOW Staff [Version 2.0] - April 27, 2017
- Los Angeles Rams sign John Sullivan and Carlos Thompson - April 7, 2017
- Los Angeles Chargers could add a quarterback in the NFL Draft? - April 7, 2017