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Originally Posted by christof
New Jersey is in worse fiscal shape than Philly / Pennsylvania. That NJ state pension debt would put them into bankruptcy if a state was permitted to file.
No way NJ ponies up $$ for a new arena.
I get why Harris is doing this. A new arena increases the value of the franchise. He won't be getting one in this region, which leads to one of two possible outcomes.
1. He is about to sell the franchise.
2. He will look at moving the team out of the region.
Added bonus - we may see shortly the popping of the sports financial bubble. No one, however, is factoring this in currently.
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There is a less than zero percent chance the team is moved. You said it yourself, these guys love money, where could they move that would give them even a fraction of income potential as being the only pro basketball team in the 4th largest media market in the country that famously is really into sports?
As far as a move to South Jersey goes, where the team would be able to continue to brand themselves as the Philadelphia 76ers, I suppose it's certainly possible they threaten that for leverage but it also ain't happening. No matter how many subsidies and tax breaks they get, this will still be a major investment by the owners and they're not trying to invest in a large arena in camden.
Again a big part of this plan is the non-basketball aspect of the arena and the ability to differentiate from wells fargo with a downtown location that their data shows them would be an advantage. An arena in camden is functionally no different than one in deep south Philly, in fact there's a strong argument to be made that it would be in a worse position to attract concerts and events. Not to mention there's already a 25,000 person capacity concert venue in camden they'd also have to compete with.
They want an arena, they want it in center city, and they want to extract as much money from the city and state as possible. If the city and state shut them out of any financial breaks my understanding of the situation is that they think they'd still benefit by building it themselves before selling the team.
And I wouldn't hold my breath on the sports bubble collapsing in this country. So many impossibly rich assholes in America and a very limited supply of pro sports teams.