Oakland Raiders File With NFL To Relocate – Las Vegas Raiders Update
The Oakland Raiders have filed for relocation to Las Vegas, but don’t think that’s an NFL ‘done deal.” According to Eric Grubman, NFL Executive Vice President for Business Affairs, there’s more to be done, much more. Grubman said An application has two basic parts:
1. A notice that the Club is formally requesting permission to move; an
2. Supporting documentation and information supporting the application.
Grubman says that Item #1 is very short, basically a letter, whereas Item #2 is very long. “It is all the financial information, materials related to stadium location design, contracts/agreements/leases, and so forth and so on. Item #1 is easy to understand. Item #2 will take a long time to study and analyze.”
Grubman continued “From here, we will begin to map out the necessary internal meetings and committee meetings necessary to put the Committees in a position to make a recommendation to the Membership at a full league meeting. During the internal and committee process, we will ask questions of the Raiders and get further information/explanations as necessary.”
Basically, it’s the same approach as was done by the Raiders for the Carson relocation attempt. So all the Raiders will do is refiled the same documents, with some adjustments here and there.
On the matter of Goldman Sachs involvement in the Las Vegas deal, first Grubam takes it as an insult that this blogger even implied that his past ties with the firm have anything to do with the Raiders deal. Second, he’s committed to representing the best interests of the National Football League, and it’s member clubs. To that, I say, it was not personal to Mr. Grubman, but a question to be asked; I got my answer.
On the subject of how Goldman Sachs may be involved in the Las Vegas deal, Grubman said this: “I have not seen the full application materials, and therefore I do not know whether the Raiders have any partners in the deal, including Mr. Adelson. I just don’t know yet. And by the way, once I do know, I might not disclose until we get to a Committee meeting. As for Goldman, I cannot be certain. However, I believe that they will be providing financing to the effort, much as a bank would provide financing. I have seen the reporting that the firm would be an investor/partner in the deal, and I do not believe that to be correct. I believe their role to be purely one of arranging for the money to be borrowed by the Raiders and other stadium related entities. Typically, one bank arranges for all the financing, pledges that the financing will be there,. then goes and gets a bunch of other banks/insurance companies to participate (process is called “Syndication”). This is a common role for Goldman, JPMorgan, Bank Of America and others. It would be highly unusual for a financial institution to be an investor/partner.”
That means Oakland Raiders Owner Mark Davis would still have to deal with another investor who would want their cut of the deal, just ask Adelson does.
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Zennie Abraham is CEO of Zennie62Media, Inc.