KeyArena Renovations To Pave The Way For NHL, NBA

SEATTLE, WA - The City Council has approved a Memorandum of Understanding (MOU) between the city and a developer, marking a step toward attracting a professional sports franchise. The MOU specifically states that the $600 million development by Oak View Group will be geared toward attracting an NBA or NHL team.

"I’ve said consistently that I’m committed to bring back our Sonics, recruit an NHL team, and invest in our City," Mayor Jenny Durkan said in a statement. "Under this plan, arena construction is 100% privately financed and will provide good family wage jobs for decades to come. Nothing in this MOU precludes other private investors from privately financing other arenas in Seattle, but it does establish a pathway to making Seattle Center vibrant for future generations."

Durkan said she will review and sign the MOU later this week.

Construction will double the arena's size and is scheduled to begin in 2018 and conclude in 2020 - meaning that a pro sports team could be playing there within three years.

The deal is funded by private equity, debt financing from lenders and federal historic tax credits. The city will not take on any debt financing. Oak View was selected this summer specifically because its plans didn't include any public financing. Oak View is also expected to cover costs related for additional transportation and chip in $40 million to the city's transportation fund.

KeyArena, formerly the Seattle Center Coliseum, was home to NBA's SuperSonics until 2008, when the franchise moved to Oklahoma City. (For more local news, click here to sign up for real-time news alerts and newsletters from Seattle Patch, click here to find your local Washington Patch. Also, follow us on Facebook, and if you have an iPhone, click here to get the free Patch iPhone app.)