Sacramento mayor Kevin Johnson announced via his Twitter account on Saturday that the city has come to an agreement with a private investing group to build a new arena at the Downtown Plaza location, in an attempt to keep the Kings from moving to Seattle.
The arena will cost $448 million, with the city covering $258 million of the cost. Mayor Johnson has promised that no additional taxes are needed to fund the arena, as the city plans to cover the cost by selling downtown parcels to potential investors and by bonding against future parking garage revenues.
The Burkle-Mastrov-Ranadive ownership group will cover the other $190 million. The group had submitted an earlier proposal to NBA commissioner David Stern, which did not compare financially to the proposal from the Seattle ownership group attempting to purchase the Kings.
The term sheet, however, is non-binding. The City Council will vote on the term sheet Tuesday night, and the Maloof family must accept the proposal from the investment group.
For more on the Kings arena sale, please visit Sactown Royalty.
More from SB Nation: