The Golden State Warriors recently announced plans to move from their current arena in Oakland across the bay to San Francisco, with plans for construction of a new $500 million arena underway, reports the San Francisco Chronicle. The team has reportedly reached a deal with San Francisco Mayor Ed Lee to move to a spot near the Bay Bridge and fix up a crumbling pier on the site. However, issues with a contract signed on their old arena in Oakland could potentially throw a snag into the plans.
The Golden State Warriors currently play in the Oracle Arena in Oakland. A previous deal between the team and the city of Oakland resulted in approximately $140 million in construction costs to update and modernize the facility back in the 1990s. The team has been paying approximately $7 million per year to help shoulder the burden of these costs.
Unfortunately for the team, the contract that resulted in this financing says that if the team leaves for any reason before 2026, they'll still be on the hook for paying off the costs. The news outlet estimates the current bill to be at approximately $70 million - no small amount of money, even for an NBA team.
The Warriors' lease on the Oracle arena runs out in 2016, which is when the team is targeting the move across the bay. However, the millions of dollars they would still owe could be a sticking point. While the issue is unlikely to prevent a move, it may complicate matters. Still, it appears team executives aren't worried about the problem. Warrior's co-owner Joe Lacob recently said moving to San Francisco "is going to happen - let there be no doubt," according to the news source.
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