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Heisley Still Is Not Sold on Anaheim

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TIMES STAFF WRITER

The owner of the Vancouver Grizzlies is interested in moving his team to Anaheim but has not been persuaded the team can be profitable playing there, a colleague said Monday.

Grizzly owner Michael Heisley resumed negotiations Monday with Arrowhead Pond General Manager Tim Ryan and Anaheim City Manager James Ruth, who hope to bring the Grizzlies to Orange County.

“As it is now, it isn’t going to happen,” said Robert McDonough, like Heisley a prominent alumnus and supporter of Georgetown University. “It doesn’t compare to the numbers he gets from the other markets.”

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Neither Ryan nor Ruth returned calls for comment. After speaking with Heisley, Ryan flew to New York and plans to meet today with executives from Ogden Corp., operators of the Pond.

Heisley is scheduled to meet with NBA Commissioner David Stern on Thursday to discuss whether to move the Grizzlies to Anaheim, New Orleans, Louisville, Ky., or Memphis, Tenn. He must file a formal application to move by Monday.

Heisley sits on the board of regents at Georgetown, where the business school is named for McDonough. On Friday, McDonough called Heisley to discuss the possibility of the Grizzlies moving to Anaheim.

“I know he’d like it to happen,” said McDonough, founder and vice chairman of RemedyTemp, a national staffing agency based in Aliso Viejo.

“He told me, ‘If I break even, I’m here. But I don’t see that deal.’ ”

In the other three cities under consideration, Heisley would not share an arena with an NHL team and could control all revenue from luxury suites, club seats, advertising and naming rights. In Anaheim, with the Mighty Ducks already playing in the Pond, Heisley would have to share that revenue with Disney, owner of the Ducks.

Ryan has tried to persuade Heisley that he could make money in Anaheim, citing an affluent base of fans and corporations.

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“He said, ‘No matter what, I can only sell 18,500 seats. If I can’t make money off those 18,500 seats, I don’t belong in that market,’ ” McDonough said.

Heisley has acknowledged the Grizzlies would make the most money in radio and television rights in Southern California. Disney has offered undisclosed lease concessions. The city has offered $8 million to build the Grizzlies a training facility. Ogden is believed to have offered to pay $4 million to add dressing rooms, offices and a team store at the Pond, and at least some of the $16 million that could be necessary to buy out the Grizzlies’ lease in Vancouver.

That might not be enough--not when the other three cities have the possibility of tapping state funding, and not in an era where naming rights are often bundled with advertising and sponsorship packages and sold to corporations for $100 million or more. Naming rights are available for Heisley everywhere but Anaheim.

“The other folks really value the concept of an NBA team and are willing to make great concessions to attract one,” McDonough said. “Maybe we’re still under the illusion the Clippers will one day decide to turn south and come on down.

“The Disney people and the Ogden people and the city of Anaheim have to be more yielding and more flexible and give him something he can live with. He doesn’t see those three entities willing to stretch.”

McDonough, who lives in Capistrano Beach, said he would be interested in becoming a minority owner should the Grizzlies move to Anaheim but said he had not discussed the possibility with Heisley.

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“I would love to see him come here. I think it would be terrific,” McDonough said. “But it looks like this could be a lost opportunity.”

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