Raiders Secure Las Vegas financing From Bank of America

Raiders Secure Las Vegas financing From Bank of America

 

The Raiders have received a financial offer from the Bank of America to finance the Las Vegas 65,000 seats capacity stadium. The project is estimated to cost $1.9 billion, but the team had $500 million and a taxpayer input of $750 million offered to them by the state of Nevada.

The Raiders who currently operate from Oakland are optimistic that the plan to have the stadium running will go as planned and they will be able to start using it as from 2020. The commitment by Bank of America is a relief to the Raiders who had received several proposals and was in a mixed up on who to work with and under which conditions.

The pulling out of Adelson from the project was in Oakland’s favor even though he was actively involved in the running of the logistics in the initial steps. He helped the team secure the $750 million from Nevada, but it was later learned that he had a hidden agenda of having his hand deep in the ownership basket. Goldman Sachs was to fill the gap left by Adelson but withdrew his support just a day after Adelson’s. Roger Goodell spoke about the withdrawals when giving a speech at Super Bowl week, he said there is no need for a team ownership from a casino and the policies do not give it room.

Adelson said that his pulling out was triggered by the fact that he was sidelined in the leasing proposal of the Las Vegas stadium. The statement was received as not genuine and one acting as self-defense.

Raiders can now start planning how to relocate from Oakland now that the plan to have a stadium at Las Vegas is underway. However, they will need the approval of 24 of 32 owners to go ahead and relocate. Libby Schaaf, Oakland’s mayor, was not happy with the new development. He said in a statement that they had presented a plan, which they believed meet the needs of each party that was concerned with having a modern stadium in Oakland. Libby Schaaf the 55,000 seats stadium that was approximated to cost $1.3 billion was to be placed where Oakland-Alameda County Coliseum is.

The NFL market is yet to make a determination about Las Vegas. The submission made by Raiders needs to be carefully considered by NFL. Financing the stadium is one of the key issues that NFL is taking seriously; they say it is the main aspect to be looked at keenly. The stadium that the Bank of America is financing is expected to sit on a portion of a 62-acre plot that is Russell Road and is neighboring a casino and resort making it one of the best strategically positioned facility. The Raiders will possibly use this new facility with UNLV.

The Raiders will have to stay in their current location for at least the next two seasons. Mark Davis the man who owns Raiders said that the project is expected to end in 2020. The other factor that will make Raider stay in Oakland for a while is the lease option that is still valid at Oakland Coliseum. The new development in Las Vegas will give fans opportunity to of watching Super Bowl in Bay Area. All the concerned parties do not fully welcome the plan, but the Raiders have to be sure that all the factors that are required for their smooth relocation are put in place.

Brian Sandoval’s office gave a statement saying that Raiders were to put in $1.15 billion and again accept the operating responsibilities. The statement was given out before the Bank of America came in to replace Goldman Sachs. The coming in of the Bank of America has brought joy to the Raiders who are now just going to invest $500 million. Adelson was also to invest $650 million; this is the amount he pledged; it would still be much less to do some work on the project. The amount was not subtantial to make an impact on the project.

Art Rooney II, owner Pittsburgh Steelers, said that the fear that many people had that Adelson would claim to apportion of Raiders would not have worked out according to the league policies and rules. He said that the rules and policies of the league do not allow a casino owner to own a franchise. Raiders can now work on their logistics as they wait for the proposals that they have submitted to the NFL to be approved and the approval of 24 of 32 owners to relocate.

Posted by maddosdebra841 in Raiders Secure Las Vegas financing From Bank of America