Bellevue vs. Renton: Sonics say both still in running for new arena

Sonics owners have narrowed their search for a possible new arena site to a stretch of Bellevue's "Auto Row" and a piece of vacant Boeing land at the southern tip of Lake Washington in Renton, team and city officials say.

A Sonics spokesman denied as "rampant speculation" a Wednesday report in the News Tribune of Tacoma that the team had all but settled on the Renton site.

"A decision has not been made yet," said Jim Kneeland, a public-affairs consultant for the Professional Basketball Club, the Sonics and Storm ownership group led by Oklahoma City businessman Clay Bennett.

Kneeland said owners are still evaluating the Renton and Bellevue locations and plan to announce a choice by early next month.

A third King County location, which has not been publicly revealed, also remains in the running, but only as a "remote" possibility — a fallback for other sites, Kneeland said. The team and its consultants have scoured dozens of possible arena sites in King County since political hostility in Seattle doomed proposals for a taxpayer-funded KeyArena expansion.

Any arena proposal is expected to include a request to the state Legislature for a large taxpayer contribution. A new arena has been estimated to cost roughly $400 million.

Kneeland said Sonics owners have discussed contributing $100 million to the arena project, but said that number could change.

"It could be $75 million, it could be $125 million, depending on what it will take to get the project done," he said.

That would be much higher than the $18 million offered by the previous ownership group, led by Starbucks chairman Howard Schultz, toward a $200 million KeyArena expansion.

The Bellevue-versus-Renton question pits a bustling mall-laden city against a historically blue-collar town that has big dreams for the future.

Renton

Renton has aggressively courted the Sonics even as its chances have at times been mocked.

The 21-acre Boeing site, just southwest of Park Avenue North and North Eighth Street, is part of a larger swath of about 300 acres which the company has gradually been selling off near its 737 plant. Another nearby chunk of Boeing land was sold to make way for The Landing, a 68-acre housing, retail and office development.

Kneeland said Sonics' representatives have met with "senior Boeing people" to discuss the Renton site, which has the advantage of being close to Interstate 405.

Renton Mayor Kathy Keolker said she did not know whether the Sonics were leaning toward her city. But she said an arena could fit in well with Renton's economic-development goals.

"It would be an amenity for the community and it would provide a lot of jobs," Keolker said. But she added the city has made "no commitments" to the team.

Although Renton does not own the possible arena site, the city's economic development director, Alex Pietsch, said one scenario that has been discussed would include the city purchasing the land and then selling or leasing it to a public-stadium authority, which likely would own any new Sonics arena.

Bellevue

That would be more aid than Bellevue is likely to offer. Bellevue city leaders have said city money would not be forthcoming for a Sonics arena.

The Bellevue site also could prove difficult because it is smaller, more expensive and controlled by multiple owners.

The 14-acre site lies on the west side of 116th Avenue Northeast between Northeast Fourth and Eighth streets.

Its three major properties are the Coast Bellevue Hotel, the Lincoln Center Office Park and a Ford dealership, but it also includes a car-rental agency, a Denny's restaurant and a vacant lot — six property owners in all.

City and business leaders say the Bellevue site would offer the Sonics and Storm a prime perch next to three freeways — I-405, Interstate 90 and Highway 520 — and a bustling downtown full of hotels, restaurants and other amenities that Renton lacks.

"To be successful, you've got to be going seven days a week," said Bellevue developer Kemper Freeman, who has been working with Bennett on possible arena plans. Freeman said he believes the Bellevue site is still in the running.

However, the team apparently has not entered into serious discussions with the Auto Row property owners.

Seattle's Benaroya Companies, which is selling the 4-acre Lincoln Center Office Park, said it has not heard from the team or its representatives, except for a heads-up call saying the office park was on the team's radar.

Larry Benaroya, the company's principal, said he doesn't expect to hear from the Sonics unless the team secures arena funding from the Legislature.

"They need to get their ducks in a row," Benaroya said.

City officials and Bellevue business leaders started to rally around the site this month, anticipating that local support will be needed for the team's lobbying effort in Olympia next year. "Most people feel it would be a boon to the community," said Bellevue developer Bob Wallace. "There's really a lot more buzz about it."

Mayor Grant Degginger said the Auto Row site gives the team proximity to central freeways and a good chunk of season-ticket holders. "I think it might work," he said.

City and business leaders have discussed a "people mover," a moving walkway or a bridge, that would transport people across I-405, between the arena and downtown. With affordable parking scarce downtown, office workers could use the arena's parking garage during the day, city officials said. And Sonics fans could use parking spots downtown, many of which are vacant in the evening.

Sonics officials called Degginger and City Manager Steve Sarkozy on Wednesday to say the News Tribune story wasn't accurate and, presumably, that Bellevue was still in the running.

The city and the team have not discussed finances, but the most the city would probably offer would be infrastructure improvements around the arena — not money or land, Sarkozy said.

Freeman, who has worked closely with Clay Bennett on the arena search, said he still believes Bellevue is the best choice but that his primary goal is to keep the team in the Seattle area, in whatever city. "Either way, I'd be tickled pink."

Jim Brunner: 206-515-5628 or jbrunner@seattletimes.com

Ashley Bach: 206-464-2567 or abach@seattletimes.com