The NFL owners have approved moving the Rams back to LA; they have given the Chargers the first option to join the Rams in a joint stadium situation akin to the Giants/Jets; they have left the Raiders in Oakland seemingly “twisting slowly in the wind”. [H/T to John Erlichman.] There are probably a dozen vantage points from which to view the decision(s) here leading to multiple dozens of interpretations and conclusions. My view is simple; my info sources are Forbes and Business Insider:
Stan Kroenke owns the Rams. Forbes says his net worth is $7.5B as of 2016. The league approved his plan over and above any other.
Dean Spanos owns the Chargers. Forbes says his net worth is $1.1B as of 2015. The league did not approve the plan he put forth but gave him the first option to join Stan Kroenke if the two of them can strike a deal.
Mark Davis is the chief owner of the Raiders. Business Insider says net worth is $500M as of 2015. He was the tag-along partner with Spanos in the Spanos’ plan and now he is the owner most on the outside looking in.
The NFL owners are not – as a group – wonderful and philanthropic people. I seriously believe that they live by a statement made famous in the Abscam scandal about 35 years ago:
“Money talks and bullsh*t walks.”
If I am even close to correct, Mark Davis and Dean Spanos never really stood a chance of coming out on top here. The NFL’s “LA Relocation Committee” reportedly voted 5-1 to recommend the Spanos/Davis Carson CA “solution” to the owners en banc. But as soon as the owners met in plenary session, the magnitude of the potential returns to the league as a whole became the central issue and when that happened, the Kroenke Plan won in a walk. Dean Spanos has a year to decide if he and his Chargers will sign on with Kroenke and his Rams as tenants in the new playpen. If he does not act by then, Davis and the Raiders can opt in.
The “Kroenke Stadium” will be finished in 2019. Until then the Rams – and any other NFL team that signs on as a tenant in “Kroenke Stadium” – will play in the LA Coliseum. From my perspective, the folks in San Diego have one more short window of opportunity to decide if they want to spend a ton of taxpayer money to build the stadium that the Chargers want in the place that the Chargers want. If not, my guess is that the Chargers will be moving north.
What happens to the Raiders? Well, assuming that Dean Spanos does not let his first option to move to LA expire, I think the Raiders are up for bids. Look, the O.Co Coliseum is more than an anachronism; it is an embarrassment; the sewage lines back up periodically into team dressing areas; there is a baseball diamond in the middle of the field for the first half of the season. Oakland does not have a billion dollars lying around to build a new stadium and probably would be hard-pressed to borrow that kind of money at reasonable interest rates even if they thought that was a good idea. So, what does Mark Davis do now?
Remember, his lease at O.Co Coliseum expired at the end of this season. He has to have a place to play games in 2016; that fact does not increase his leverage with the good folks in Oakland.
He can wait it out to see if the Chargers do something stupid and let their option lapse. That is called kicking the can down the road.
He can make nice with the folks in St. Louis who came up with a plan to do a new stadium there – even though it will be “junior varsity” as compared to “Kroenke Stadium” in LA. However, there will be no baseball diamond on the field and presumably, the toilet facilities will not back up into the locker rooms.
He can warm up talks with San Antonio where he and the mayor had some “friendly chats” over the past year or so.
Or … Mark Davis can be the owner who moves his team to London. The rub there is that the fee for moving a team is $550M. If Davis does not get the other owners to allow him to prorate those payments over a pretty long period of time, he cannot afford the payment to his fellow owners let alone any other expenses.
Lest you think my idea that the Raiders might wind up in London is far-fetched, consider that the NFL already has three “stadium deals” going on in the UK. The league started out with 1 game a year over there and it got traction; then it expanded to 2 games per year and will go further than that in the near future. Yes, that is different from having one team there permanently – and indeed there are scheduling hurdles to overcome – but there seems to be a clear audience/fanbase for NFL football in London. Next year, the NFL hopes to play games in London on 3 consecutive weekends with one of the teams involved staying there and playing two games on two consecutive weekends. And remember, greater London has a population of 8.6 million souls at last count
I said there were “three stadium deals” ongoing in London right now. Let me review the bidding here:
Last year, the NFL agreed to play 2 games per year in Wembley Stadium through 2020. For details on this agreement, check here.
Last year, the NFL signed a 10-year deal to play a game in the new stadium under construction for Tottenham Hotspur. That stadium will have a retractable roof and a retractable grass field (used for EPL games) with an artificial turf under that for NFL games. That sounds like a serious venue. For details, check here.
Last year, the NFL signed an agreement with the Rugby Football Union to play 3 games (1 per year) at Twickenham Stadium in London. This venue seats 82,000 folks; it already exists; teams can play there tomorrow – if there were games tomorrow. For details, check here.
I do not know when this is going to happen, but the National Football League is going to become the International Football League one of these days. It seems to me that Mark Davis is in a position to be a pioneer here – if such pioneering tickles the pecuniary fancies of his fellow owners.
Finally, Dean Spanos and the Chargers have been doing the “New Stadium Boogie” with the San Diego pols for at least a decade now. Spanos has said that he and the team have done everything they could do to get a new stadium built there. I am certain that he and the team have worked hard on this but I take exception to his assertion that he did everything he could because:
He never offered to build a stadium there on his own nickel.
But don’t get me wrong, I love sports……..