Raiders need money and more to pull off Las Vegas move

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The Raiders have applied for permission to move to Las Vegas. Their ability to secure 24 owner votes surely hinges on their ability to replace the financing that Sands casino owner Sheldon Adelson had planned to contribute. And that Goldman Sachs had planned to contribute.

As it stands, the Raiders don’t have a partner who will kick in the $650 million necessary to add to the $750 million from the Nevada taxpayers and the $500 million from the NFL and the Raiders to build the $1.9 billion stadium in Las Vegas. They reportedly claim they do, however. Specifically, the Raiders reportedly told the NFL that they have two banks ready  to kick in the cash needed to build the stadium.

Assuming that these two banks are more real than a nerd’s Canadian girlfriend (mine was from Nova Scotia; it was random enough to seem almost plausible), the Raiders still have other obstacles to overcome. They’ll need someone with expertise when it comes to building and operating a stadium. And they’ll need to hope that Adelson isn’t able to throw a wrench into the gears.

While it initially appeared that Adelson may try to screw things up out of spite, Adelson now seems to be interested in finding another NFL team to move to Las Vegas. To keep that option open, he’ll need to slam the door shut on the Raiders.

That’s the battle to watch as this process unfolds. Can Adelson keep the Raiders out — and can Adelson find another franchise that wants to move in? With public money drying up in most jurisdictions, owners who need new stadiums will have to choose between paying their own way or relocating. With three quarters of a billion dollars in free money available in Las Vegas and another $650 million at the real from Adelson, Nevada becomes a potential nirvana.

77 responses to “Raiders need money and more to pull off Las Vegas move

  1. “They’ll need someone with expertise when it comes to building and operating a stadium”.

    Why is this perpetuated as an issue? Get Turner Construction or any number of other qualified contractors to build the stadium and AEG to operate it. Non-issue solved.

  2. Dam, and I had hopes of going to a game or two to see all the Raiders Hooker Cheerleaders.

    I think this is a dead duck. No one is loaning Davis that kind of money. and he, unlike other deep pocket owners, doesn’t have the bucks to do it himself. He needed Adelson, but Adelson wasnt ponying up to the bar without incentive returns like naming rights, parking, stadium management. Otherwise there was nothing in it for him.
    Davis said no and Adeleson dropped out.

  3. The tax from the legislator that funds the $750 million was directed, if not ordered, by Adelson. That money ain’t going to be there for the Raiders with Adelson out.

    It’s Oakland or Santa Clara.

    Raiders should move into Levi’. That is until they can properly find acceptable financing to level and rebuild the Coliseum. If the Raiders remain the better team, they won’t be the second tenant.

    The A’s are being proactive in finding a new location for a ballpark. So that excuse is gone for Mark Davis.

  4. I may be in the minority, but I really like that the Chargers are playing in a small stadium next year. I like that intimate feel. I’ll never understand why a stadium has to have a bunch of bells and whistles. All I require is a beer stand, a place to maybe buy a hot dog, a place to pee and a seat. I’ll never understand giant Jumbotrons, swimming pools and other nonsense like that. You’re there to watch a damn football game!

  5. Chargers leave LA where nobody wants them and move to Vegas. Raiders go to LA where they have a strong fan base.

    Everyone is happy… Except fans in Oakland and San Diego that is. Also Kronke would be unhappy as the Rams would immediately become the 2nd team in LA.

  6. ariani1985 says:
    Feb 19, 2017 1:28 PM
    Notice that the bills aren’t moving?

    ________________________________________

    No, they are sucking in place.

  7. Mark Davis does not want to stay in Oakland. Let him go. The raiders will crash and burn in LV after a honeymoon period. Now that they have to borrow real money from banks and pay interests, Davis will lose the team when revenues fall short.

  8. Any team accepting Adelson’s 650 mil loan/gift will be required to give him a percentage of ownership.

  9. how is it that Davis gets $750 million from a city and still doesn’t have enough money to build a stadium? he owns a professional football team not a McDonald’s franchise, so where is the money that comes in annually on a flatbed without him having to do anything other than lift a finger to count it? I know one thing, he ain’t spending that money on haircuts.

  10. Florio, why are you NOT reporting that 750M LV subsidy is closer to $1.45 billion after all the bond repayments — $750 million at 5 percent over 30 years — are done??

  11. Three things about the Legendary Raider Nation: 1) they will not go to home games (they led the league under the old Blackout rule which made them tarp the stadium); 2) most of theM don’t care if the team moves; 3) they will not finance anything for the Raiders as other cities have for their teams. Yep, the Nayshun really knows how to rep! But they are good for a new tshirt every 15 years or so.

  12. Sell the team to Eddie DeBartolo. He’ll get done whatever it takes, and he’ll start winning Lombardi’s soon after.

  13. I thought the NFL was giving Davis money for a stadium in Oakland not Las Vegas. Also what is the interest the Raiders will be paying the bank on 650 million. Good luck with that.

  14. boknowsvt says:
    Feb 19, 2017 1:51 PM
    ” All I require is a beer stand, a place to maybe buy a hot dog, a place to pee and a seat. ”
    ===============
    That may be all you require, but the Owners need luxury suites to maximize their revenue. I know you don’t care, but Spanos is giving up a lot money for 2 years by not having luxury boxes. That’s money that the owners don’t split with other teams.

  15. “Florio, why are you NOT reporting that 750M LV subsidy is closer to $1.45 billion after all the bond repayments?

    Possibly because almost everyone already knows that repayments on these type of bonds are always more than the issued amount? It’s not news, it’s common knowledge.

  16. San Antonio.

    Large metropolitan area combined with Austin (4.5M)
    Large Media Market when combined with Austin (16th)
    No State Income Taxes
    Red McCombs ready to invest without requiring ownership
    A City that wants a team so bad that it built a stadium in 1993 in hopes of luring a team.

    The Alamodome is ready to temporarily host them, our state builds $70M high school stadiums, both current NFL teams in Texas are top 10 in value on Forbes, Now is the time to make it happen.

  17. Matt from San Diego says:
    Feb 19, 2017 3:13 PM
    They should build their stadium where Candlestick used to be.
    ——–
    That land was sold to developers whom are building a city center type retail and housing development.

  18. San Antonio.

    Although friends with the Davis family, Jones would block any attempt to have a third franchise in Texas. That would get messy because we all know Jerrah is the governor of Texas.

  19. I could see a small market team with a horrible outdated stadium moving there. Buffalo, Pittsburgh or Jacksonville would probably be the 3 franchise with the least value.

  20. The Raiders should move to Las Vegas now. There is no point lingering in Oakland as a lame duck team. Sam Boyd stadium can be expanded to 40,000 seats, which is more than the Stubhub Center.

    Super Bowls in Las Vegas will be off the charts.

    Davis will be able to find another partner. Davis gets Raider revenue, the partner gets non Raider revenue, like UNLV football, concerts, Final Fours, and other events.

  21. Browns are ripped out of Cleveland, suddenly money appears for a new stadium.

    Oilers are ripped out of Houston, suddenly money appears for a new stadium.

    Rams are ripped out of St Louis, just as a plan was coming together for a new stadium.

    Chargers are ripped out of San Diego, now a man has a plan for a new stadium.

    See the trend? Perhaps if owners and elected officials would stop the urinating contests and just make a reasonable deal, teams would stay.

  22. ariani1985 says:
    Feb 19, 2017 1:28 PM
    Notice that the bills aren’t moving?
    ===============================
    Notice that the bills aren’t winning?

    (as long as pegulas own them)

  23. San Diego Raiders.

    San Diego will fund a new venue that was rejected by the Chargers- and give it to the Raiders.

  24. Adelson never wanted ownership. He is far too smart to know that wouldn’t be allowed by the League. He wanted a big piece of the non-shareable revenues. Seriously, did you think he was going to fork over 650 Large for free tix?? Ok kids, back to your lemonade stands, but thanks for playing Big Business with us. It was hilarious!

  25. @mdintino1420

    Oh yeah there is a long line of investors willing to loan out $650M in exchange for a split on concerts revenue, UNLV sports, monster truck revenues, etc. How old are you? By the way, most of those revs are already spoken for with the contracting parties. Doink!

  26. Move the Raiders to Mexico. Carlos Slim can buy the stadium, the Raiders, a new stadium for the Chargers, and have enough left over to buy everything Kroenke owns 5 or 6 times.

    Google him.

  27. immafubared says:
    Feb 19, 2017 1:38 PM

    Dam, and I had hopes of going to a game or two to see all the Raiders Hooker Cheerleaders.
    ——————————–

    Can’t you do that now?

  28. iT’S SO FUNNY Adelson newspaper has PFT and other media outlets believing somehow he will win…Adelson got schooled by Davis and not his feelings are hurt. He thought he was going to own The Raiders and found out that he is not as slick as he thought he was. Adelson thought Mark Davis was a dummy but in the end it’s Raiders without Adelson.
    First of all No other team would work in Vegas besides a GLOBAL name. Steelers, Raiders, Cowboys and Packers are the big 4. Vegas needs Raiders more than Raiders need them. Raiders will have options. San Diego wants The Raiders badly. Not to mention the 750 Million is there for The Raiders and they will have people lining up to help them.

  29. Living in Vegas, anyone that doesn’t think an NFL team would be successful here is clueless. First, most people don’t realize the metro area is 2 million. It’s a lot bigger than people think. Second, as the biggest tourist city in the country, the amount of visiting fans that would come to Vegas to see their team play would be unlike anything seen anywhere else in the NFL. Are you trying to tell me there wouldn’t be 10K Chiefs fans or more coming to Vegas for a Chiefs/Raiders game? Fan support is a non issue.

    Another key point is does Davis really need all of Adelson’s money? Between the funding the state is supplying (750 mill) and the money from the NFL/Raiders (500 mill) that’s 1.25 billion. Are you telling me you can’t build a stadium for that amount of money? Maybe it’s not as fancy of Kroenke’s endeavor, but that’s still more than enough coin to build a first rate NFL stadium

  30. Wow, Adelson thought he was going to own the Raiders but he got tricked by that sly, business say Mark Davis???? LMAO! Where did you get this fiction and what color is the sky on your planet? Oh wait, and Marky also tricked Goldman Sachs too? This is hilarious. Please don’t stop!

  31. University of Phoenix Stadium in Glendale AZ was built for $455m in 2006, or $541m adjusted for inflation in 2017 dollars. It has a retractable roof, the nation’s only retractable FIELD, allowing it to feature natural grass despite being a predominantly indoor facility, and is widely recognized as one of the top stadium venues in the country. Why on earth is the *starting* price for new stadiums now consistently quoted as $1b+?? I don’t get it.

  32. @6250claimer:
    Geez man, that was eleven years ago!
    I bet the exact same stadium built now would start at a billion.

  33. No municipality should be forced by the NFL or anyone else to “invest” Tax Dollars into millionaires and billionaire vanity projects! If Mark Davis can’t afford to build a stadium, SELL, THE, TEAM!

  34. Raider fan for 40 years. Born and raised in Oakland sine I was 1 day old! But the NFL becoming such a diluted version of its’ former self coupled with the fact that I now realize the NFL nor the Raiders’ organization care about me, makes me say LET THEM GO TO VEGAS. Got bigger worries like paying this RENT in the Bay Area. Home ownership is a mere fantasy at this point.

  35. The Raiders have already said that financing won’t be an issue, despite Adelson and Sachs bailing out of the deal. Steve Wynn can work with Mark Davis, as well as many casinos in Las Vegas. The NFL isn’t saying no to $750 million in public funding, plus Super Bowls in Las Vegas that will print $$$.

    The owners will approve the move to Las Vegas in March. The economic opportunity in southern Nevada is too good to pass up. GET OUT OF OAKLAND ASAP!!!!!

  36. There seems to be a big misconception here. Jerry Jones can vote no, but he has no additional authority to keep a team out out of San Antonio. Red Mcombs is financially loaded, and won’t back down to Jerry Jones. San Antonio and Dallas are not next door neighbors. The two cities are 274 miles apart. Jerry Jones wouldn’t starve if San Antonio got a team. Texas is a huge state that can support three teams.

  37. Last year, Mark Davis visited Red McCombs to talk about the Raiders moving to San Antonio. I’m sure that is in the back of his mind if this Las Vegas plan doesn’t work out

    Mark Davis has ruled out STL. He said STL doesn’t fit with the Raiders culture and tradition.

  38. This is all about the league, not just Mark Davis. They all knew they could not get the political backing in Las Vegas without Andelson. The league has been grooming Davis all along. They have never intended to use any of Andelsons money. They already have backing but need to play it soft so sue happy Andelson does not find any collusion or fowl play. All part of the plan…

  39. There seems to be a big misconception here. Jerry Jones can vote no, but he has no additional authority to keep a team out out of San Antonio.
    __________________________________________

    You dont have a clue about the political weight Jones carries with the owners and the NFL.

  40. The League was grooming Mark Davis all this time? Wow! I wont even start with the haircut jokes.

    You know the public monies in Vegas can be pulled at any time, right? And that there is significant consideration to doing this to service an interstate structure. You know this, right?

  41. LA is a sports venue that has already caused two teams to move – the Rams & Raiders. Las Vegas is a small town (630,000) with a big strip. Depending on away teams to plan gambling excursions around NFL games is a poor foundation for success. With SD playing two seasons in a 30,000 seat stadium & the Raiders venue up in the air, its possible the NFL bigwigs are setting both moves up for failure. It will be easier to move NFL clubs to London & Berlin from two year flop locations than from SD & OAK. 😦

  42. bighairbingopro says:
    Regarding the Cards stadium, one of the reasons it was built 30 miles west of Phoenix was the land was inexpensive.
    ****************************
    Sure, but in virtually every new stadium situation, the land winds up being kicked in for next to nothing, like $1, as part of the deal to build. I don’t think land cost has substantially impacted any stadium project anytime recently.

  43. Time to update your movie viewing folks – this isn’t Goodfellas. Human-leathery-shelled-turtle Sheldon Adelson isn’t a movie villain or fictional King with super powers or an army or anything – he’s a billionaire in a city of billionaires.
    Seems many actually believe Mark Davis and his Haircut walked into a meeting with SA and clumsily hinged this entire deal on the hopes of tricking him into giving them $650m in exchange for lunch at PF Changs and a Raider Image gift card. This isn’t the 7th grade. This isn’t you trying to pull off a trade with some noob in your office fantasy league.
    Please: keep it going. These incredible and illuminating observations are really opening things up for me. It’s almost like Madden Franchise mode really has prepared you for these difficult times and I for one am thankful!
    If we could only pool all this knowledge and wisdom together, we might get someone in the White House who could figuratively make a America theoretically great “again” – one can dream!

  44. The most important thing learned from this episode thus far is that an NFL team in Vegas has legit support (local gov’t forking over serious $$$$, elite owners giving their blessing) if handled properly.
    Couldn’t say that 5-10 years ago because of the links to gambling.

  45. They Raiders would only have to borrow 400 million to do it alone in Oakland. In Oakland, they won’t be paying a relocation fee and they could make more money on ancillary development cause the Oakland (all ready approved) site has 120 acres and not the 60 acres in Las Vegas. Just saying. #stayinoakland

  46. And before you “fans” say different, go to a Raiders game in the opposing teams jerseys. Do it. I dare you. I tried it, a couple of years ago with some downs children. We got mocked, spit on, and one time punched. I’m sure that the syaff at this site will talk about different experiences, fact is Mike, you don’t go through the same gate bro so you don’t know and are unqualified to comment.

  47. Raiders have become the nfl’s homeless street beggars, shuffling about, wearing weather resistant tarps, looking for lost gutter nickels, dimes, and butts anywhere they can find them. Nayshun Peeps, this is your call to arms. Help them!

  48. And before you “fans” say different, go to a Raiders game in the opposing teams jerseys. Do it. I dare you.
    _____________________________________

    Did it, someone from Goon Nation sat behind me and tried to light my Elway jersey on fire with his lighter. I took care of it. I wasn’t bothered again.

  49. bighairbingopro says:
    Regarding the Cards stadium, one of the reasons it was built 30 miles west of Phoenix was the land was inexpensive.
    ****************************
    Sure, but in virtually every new stadium situation, the land winds up being kicked in for next to nothing, like $1, as part of the deal to build. I don’t think land cost has substantially impacted any stadium project anytime recently.
    _____________________________________ That’s not true, particularly in down town areas. The real estate is not given away for indian beads. Are you crazy?

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