How the Sixers changed course on Philly arena plan
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The 76ers have ditched plans to build a $1.3 billion arena in Center City. Photo: Fernando Medina/NBAE via Getty Images
Less than two weeks into the new year, the Sixers delivered "a curveball that none of us saw coming," Mayor Cherelle Parker said at a press conference Monday.
Why it matters: The team's new deal with Comcast Spectacor to build a South Philadelphia arena and entertainment complex shakes up plans to redevelop Market East, the struggling business district where the Sixers had previously planned to put their new arena.
- It also launches a new round of negotiations with the city — a process that took more than two years on the first go.
🏟️ State of play: Sixers owner Harris Blitzer Sports & Entertainment (HBSE) and Comcast Spectacor will jointly invest in building an arena in the South Philly sports complex by 2031, the companies' leaders and elected officials said at the news conference.
- The venue to replace Wells Fargo Center, which Comcast Spectacor owns along with the Philadelphia Flyers, could open sooner, they said.
- They're also partnering on a bid to bring a WNBA team to the city.
Between the lines: Joining forces averts a potentially bitter fight between the Sixers and Comcast Spectacor over landing a WNBA team at separate arenas.
- It also puts Philly in a better position to land a women's basketball team here, comedian Wanda Sykes — who's involved in the ongoing effort to bring Philly a WNBA team — tells Axios.
- "It just pushes us closer to getting it done," she said.
🏗️ Meanwhile, the city is working on a proposal to redevelop Market East.
- The team and Comcast Spectacor have agreed to invest in what's expected to be a mixed-use development for Market East.
- It's unclear what that timeline might look like.
Catch up quick: The 76ers ditched their plans to build a $1.3 billion arena in Center City in favor of staying in South Philadelphia, multiple outlets reported over the weekend.
- The team invested millions of dollars and spent more than two years lobbying city officials and residents to win approval for the plan.
- At the same time, Comcast Spectacor had been planning a $2.5 billion redevelopment of the South Philly sports complex.
🤝 Behind the scenes: Sixers co-owner Josh Harris said during the news conference that the team and Comcast Spectacor, which is owned by Comcast Corp., began meeting over a potential deal in early December.
- That's when City Council was facing massive pressure to approve the Sixers' original Market East arena plan.
- "It wasn't planned but it happened," Harris said about the deal during the news conference.
The deal appeared to move up Comcast Spectacor's timeline for replacing the Wells Fargo Center.
- The company's original timing was "a little later," Brian Roberts, chairman and CEO of Comcast, said at the news conference.
- The company just invested $400 million in upgrades for the Wells Fargo Center.
👀 The intrigue: Parker, a major booster for the now-defunct Market East arena project, said she was not privy to the new agreement before it happened.
What's next: The city must negotiate new tax payment plans, a community benefit agreement and more with the Sixers and Comcast Spectacor over the new arena plan.