AP: Bucks owner says new arena vital ... MU too?

[Tugg Speedman]

Bucks owner says new arena vital

http://espn.go.com/nba/story/_/id/10147250/milwaukee-bucks-herb-kohl-seeks-add-partners-arena

Updated: December 16, 2013, 3:12 PM ET

Bucks owner Herb Kohl is considering adding to the team's ownership group in hopes of building a new arena that he said is "imperative" for the team's future in Milwaukee.

Kohl said Monday he has hired a firm to help in the search for new partners, and that if any new partners are added, they will be committed to keeping the team in Milwaukee.

That means a new arena to replace the 25-year-old BMO Harris Bradley Center, also home to Marquette basketball and the Milwaukee Admirals of the AHL.

"In addition to committed ownership, it is imperative that we get to a new 21st century sports and entertainment facility in a timely manner, not only for the Bucks but also for the more than 1.5 million visitors who attend nearly 200 events held there each year," Kohl said in a statement.

Kohl, who recently retired after years as a U.S. senator, bought the Bucks in 1985. They are a team that's frequently a candidate for a move because of the age of their arena, but Commissioner David Stern said Kohl's decision shows he is dedicated to preventing that.

"With this announcement, Sen. Kohl continues his mission: to assure continuity of Bucks ownership by broadening its ownership base, and assuring that the fans of Wisconsin will enjoy NBA basketball and other events in a new state-of-the-art facility," Stern said.

Kohl and Stern both said Kohl bought the team with the goal of keeping it in Milwaukee, and that remains a priority now.

"We are proud to be an NBA city," Kohl said. "We are very grateful to our fans and business partners who support us. I am especially proud of the extraordinary people in the Bucks organization who work tirelessly to deliver a good product and great entertainment."

Allen & Co. has been retained to help Kohl with the search.

[Tugg Speedman]

Bucks owner Herb Kohl plans to broaden team ownership

http://www.jsonline.com/sports/bucks/bucks-owner-herb-kohl-plans-to-broaden-team-ownership-b99164834z1-236044431.html

Milwaukee Bucks owner Herb Kohl said Monday he is seeking additional ownership partners who are committed to keeping the team in Milwaukee for the long-term.

In a meeting at his office in downtown Milwaukee, Kohl said he has retained Steven Greenberg, managing director of New York-based Allen & Co., to advise him on the search for new partners.

"We want to have as broad an interest as there is," Kohl said in an interview. "But there are these conditions. Anybody who is brought into ownership, if and when it happens, has to be committed fully to keeping the team here.

"This has been one of my life-long interests, the NBA and Milwaukee. And there is no way I would allow people under the Milwaukee Bucks tent unless they have full level of commitment to keeping the team here."

Kohl said additional ownership interests do not have to come from Milwaukee.

He said no negotiations are underway with any parties at this time and he is just beginning the process.

"My primary interest is to strengthen this franchise and make it even more certain that the Bucks will stay in Milwaukee," Kohl said.

"I'm a single individual and I've had the team now for almost 29 years. And I'm not going to live forever.

"I believe that adding to ownership provides more strength, more stability, more certainty.

"Just by way of an off-the-wall thought, if I were hit by a bus tomorrow, people might wonder, 'What's going to happen to the Bucks?'

"I don't know how the process is going to unfold."

The 78-year-old Kohl, who served four terms as a U.S. Senator from Wisconsin, has owned the Bucks since March 1985 when he purchased the team from Jim Fitzgerald. In those 28 seasons, the Bucks have had 11 winning season and reached the playoffs 14 times. In the last 13 years since they reached the Eastern Conference Finals in 2001, they've had just two winning seasons.

Kohl said he doesn't have a projected number of partners in his mind at this point.

Kohl said the team's future without doubt is tied to having a new arena to play in and any new investors must be committed to that.

"How do we make certain that the Bucks stay here?," Kohl said. "Even in my mind, I'm committed to keeping the Bucks in Milwaukee.

"But they can only stay in Milwaukee if they have a place to play. Otherwise it's empty talk."

Discussions on a strategy to construct a new downtown arena to replace the aging BMO Harris Bradley Center are beginning.

Kohl repeated what he has said in the past, that he would make a "significant contribution" to the funding for a new arena.

"I have not changed that," Kohl said. "Full owner or part owner, my commitment stands.

"My point is strength, stability, keeping the team in Milwaukee, not just during my time but for the next generation."

Kohl was asked his reaction to recent governmental actions in surrounding counties with respect to a new arena and refusal by those counties to be subject to a regional tax.

"It's part of the equation," Kohl said. "I believe ultimately when we get to a new facility there needs to be a healthy private sector contribution, in addition to what may or may not be needed from the public sector.

"But I think there needs to be a demonstration to the public that there are private interests willing to step up. I think there will be a greater likelihood of public acceptance of some level of support if there is a healthy private component.

"And I'm trying to put all these pieces together in a way that makes sense for the future of the Bucks in Milwaukee."

Kohl said the only certainty of the Bucks future in the long run will be a long-term lease for a facility.

"That's when you know," he said.

Kohl was asked about baseball Commissioner Bud Selig and whether he might be involved in some way in the future with the Bucks franchise.

Selig brought a major-league baseball franchise to the city and served as Milwaukee Brewers owner before eventually becoming commissioner. He is retiring as commissioner at the end of the 2014 season.

"I see him all the time," Kohl said. "I saw him Saturday. I've had no discussions with him. I placed a phone call to him 15 minutes ago and he wasn't available.

"I know he will be helpful to the extent he can be because he believes in sports, Milwaukee. Is he likely to buy into this thing? No. that's my surmise.

"He wouldn't be a likely candidate for investment, at his stage in life and with the career he's had and how it's winding down in baseball, would he want to start getting involved in owning another franchise? No."

Kohl was also asked about Brewers owner Mark Attanasio.

"I wouldn't speak for anybody, including Selig," Kohl said. "I'm just surmising with Selig. But I would not want to include or exclude anybody."

Kohl said he hopes the process can take place in "a disciplined and organized way" and he is relying on Allen & Co. to handle all inquiries.

Kohl indicated the firm advised him when he considered selling the Bucks to a group led by Michael Jordan in 2003, and the firm also advised Selig as commissioner when the Brewers were sold to Attanasio's group in 2005.

Among the names of possible business partners is Minnesota Wild owner Craig Leipold. Leipold, from Racine, said earlier this year that he "would like to be part of the solution" to keep the Bucks in Milwaukee. "If it means working with people, I will raise my hand up and be one of those guys who help out," he said in April.

Other prominent names include former Bucks star Junior Bridgeman. According to published reports, Bridgeman is full or partial owner of as many as 196 Wendy's fast-food franchises.

Another possible investor would be Jon Hammes, the founder and managing partner of the Hammes Co.

A source familiar with Kohl's thinking on the future of the franchise, said the fact the former senator brought in Allen & Co. suggests Kohl is looking for partners who would first invest as a minority partner with an eye toward buying the team in the future.

"There's plenty of people willing to put in $10 million or $15 million," the source said. "But anytime Allen is involved it's people who would want to own the team."

Kohl's primary goal, the source said, is not just to bring in new ownership partners, but perhaps people with the financial means to contribute financing for a new arena.

"The senator wants to keep the team here and he wants to maintain his legacy," the source said.

An executive with a sports consulting firm who is familiar with Allen & Co., said anything could happen.

"Sometimes you start down the path in this kind of thing and you end up doing something different," the executive said. "More likely what happens is Allen will be testing the waters and seeing what interest there is and finding out what is doable and not doable. And then the client makes a judgment."

The executive said that, in general, "it is easier to find someone to sell control than to find limited partners. Oftentimes, somebody starts out intending to sell limited partnerships, but discovers they are ready to sell, and they sell control. Who knows what will happen?"

The executive said there is little doubt Kohl will see interest.

"From what we've seen there is a great deal of interest in owning an NBA franchise," the executive said.

According to Forbes magazine, which annually reports the value of NBA franchises, the Bucks are worth $313 million. In September, incoming NBA commissioner said the fact the Sacramento Kings were sold for $534 million means that should be the floor for future franchise sales.

An NBA franchise is a solid investment, Kohl insisted, and can be successful in a smaller market.

"To me, bottom line, Milwaukee is and can be an NBA town," he said. "We're not New York, Chicago or Los Angeles.

"There are some considerations regarding the fact some of these smaller markets have no other sports activity. The only pro sports in town is a basketball team.

"We're a multi-sport (town). The Packers are almost like they were playing here in Milwaukee, in addition to the Brewers.

"But the economics of the NBA have now been set up, and it's recent, with the new collective bargaining agreement and the revenue-sharing program, so that even the smaller markets can make money. And we now do. We're not hugely, but we're profitable."

Kohl referred to the collective bargaining agreement negotiated in 2011 when the season was shortened by an owner-imposed lockout. The 2011-'12 season was reduced to 66 games.

"That's a very good development for the NBA that all 30 teams have the ability to be profitable. That makes the economics of owning an NBA franchise more attractive.

"It didn't used to be true but now it's true. So we may draw whatever in Milwaukee and they draw almost twice as much in bigger markets but Milwaukee can be a profitable NBA venture as well as bigger markets.

"The question is Milwaukee viable as an NBA market? Yes, absolutely."

Kohl clearly was thinking about the future on Monday as he announced his plans.

"You might ask, 'Are you talking to us today because you're 5-19?' First of all, it breaks my heart.

"But the answer is no, I'd be having the same conversation if were 19-5.

"We could be sitting here last year or next year, but at this time frame of my life it becomes part of my own life's story. 'What about the Bucks? What about the next generation? What are you going to do to provide for that?'

"Bottom line, you've got to get to a facility where you can sign a lease. But you also have to have the right ownership."

Kohl said the Milwaukee Metropolitan Association of Commerce task force is taking its job seriously.

"Everyone I talk to, including (members) the task force, wants to see a new building, the Bucks stay in town. The question is how do we do it?

"I haven't heard anybody say, 'Who cares?' People care, in terms of the quality of life, economic development downtown. People care to see this happen.

"I'm happy with the task force. I think they're all of the same mind. How do we do it? But do we want to do it? Yes."

[ZiggysFryBoy]

Is herbie really the sole owner?  That could f×ck over both the team and his family when he kicks the bucket, solely from a tax standpoint.

[BCHoopster]

Is herbie really the sole owner?  That could f×ck over both the team and his family when he kicks the bucket, solely from a tax standpoint.

He has no family so his biggest benefactor is the IRS!

[madtownwarrior]

yeah, what are the odds that Herb Kohl nor his team of accounts forgot to tax or estate planning?

Is herbie really the sole owner?  That could f×ck over both the team and his family when he kicks the bucket, solely from a tax standpoint.

[akmarq]

It's all meaningless talk until they come clean about the level of public funding they're going to require.

[keefe]

When Howie Starbucks sold the Sonics to Clay Bennett it was with the proviso that the team had to stay in Seattle. The Sonics spent a lame duck season in Seattle then moved to OKC.

The arena stipulation is non-negotiable as far as the NBA is concerned. Stern said he wanted a team in Seattle but the inability to get a new arena sent them packing.

[muwarrior69]

A new arena could hurt MU if it's far from campus.

[warriorchick]

A new arena could hurt MU if it's far from campus.

Not if they don't knock down the old one.

[keefe]

A new arena could hurt MU if it's far from campus.

I haven't been to Milwaukee in this century but where but downtown would they put one? In any event, they need to get an actionable plan together and that starts with capital. I think the Bucks can be resuscitated but they need proper management and a purpose-built facility. If neither of those elements are put in place then Milwaukee becomes a one-sport town.

[Atticus]

From 2001 to 2006, I was a season ticket holder next to 8 of my friends that also bought full ticket packages. Since then, I have been to more admirals games (11), than I have been to bucks games (0).

New stadium or not, my friends and I will not return.

[🏀]

From 2001 to 2006, I was a season ticket holder next to 8 of my friends that also bought full ticket packages. Since then, I have been to more admirals games (11), than I have been to bucks games (0).

New stadium or not, my friends and I will not return.

Like I've been saying, Milwaukee is all fairweather fans. Where's wades at?

[dgies9156]

Who is Herbie kidding? He has a team that is the worst in the NBA now. I don't think the Bucks have been out of the first round of the playoffs in half a millennium -- at least it seems that way. Fix the team's performance and the rest will follow.

Until then, our very nice 18,000 seat gift from a very caring family will do very nicely, thank you very much.

[brewcity77]

I haven't been to Milwaukee in this century but where but downtown would they put one? In any event, they need to get an actionable plan together and that starts with capital. I think the Bucks can be resuscitated but they need proper management and a purpose-built facility. If neither of those elements are put in place then Milwaukee becomes a one-sport town.

They could build one in the parking lot next to the BC, between 4th and 6th, and between Highland and Juneau. There's a bit of room still in the old Park East Freeway cooridor, but that parking lot seems most available and logical.

[Tugg Speedman]

What about the valley next to the casino?

[jficke13]

Who is Herbie kidding? He has a team that is the worst in the NBA now. I don't think the Bucks have been out of the first round of the playoffs in half a millennium -- at least it seems that way. Fix the team's performance and the rest will follow.

Until then, our very nice 18,000 seat gift from a very caring family will do very nicely, thank you very much.

The Brewers got Miller Park before they improved their performance.

[chapman]

Who is Herbie kidding? He has a team that is the worst in the NBA now.

So they're finally doing something right.  Surprised they're not trying to trade for some washed-up journeymen to push for that 8 seed.

[The Lens]

If the Bucks end up with a Top 3 pick in this draft and couple that with Larry / Henson & Giannis they'll will have an on-court core and the Milwaukee fair weathers will return in droves.  What the Bucks need though is a new facility to maximize those attendees. 

You can spend money a lot easier at Miller Park than at the BMO BC.  That needs to change.

If the Senator stays out of the way and lets them tank, talent will not be an issue.

[ChicosBailBonds]

He has no family so his biggest benefactor is the IRS!

He has no family?

[Lennys Tap]

He has no family?

I think they mean no wife and kids.

[AZWarrior]

He has no family?

I believe I am actually a long-lost nephew.

[Dawson Rental]

I believe I am actually a long-lost nephew.

Certainly no one here will argue with long lost.

[source?]

I haven't been to Milwaukee in this century but where but downtown would they put one? In any event, they need to get an actionable plan together and that starts with capital. I think the Bucks can be resuscitated but they need proper management and a purpose-built facility. If neither of those elements are put in place then Milwaukee becomes a one-sport town.

The space being discussed is a vacant lot one block north of the Bradley Center.

[Benny B]

He has no family?

Not in a sense that would fly with his former constituency.

[martyconlonontherun]

I believe Kohl's only "family" is his nephew Dan and a friend who is extremely close to him who sits by him every game.

If the Bucks don't screw it up with a win-now trade, talent will be really high next. Wiggins, Giannis, Henson and Sanders will be really competitive for years to come.