Stan Kroenke seeks to borrow about $1 billion for proposed stadium in Inglewood
Rams owner Stan Kroenke is planning to borrow about $1 billion from JP Morgan Chase & Co. to help fund the proposed Inglewood stadium, which could cost nearly $3 billion.
A person familiar with the transaction, which is not final, confirmed it to The Times on Tuesday but asked not to be identified.
SportsBusiness Daily first reported the development.
Marc Ganis, president and founder of a Chicago-based sports business consulting firm, said the pending loan could be one of the largest ever taken out by a team to help finance a stadium project.
Even though Forbes estimates Kroenke’s net worth at $7.4 billion — his holdings include several professional sports teams and enough real estate to make him one of the country’s largest landowners — the loan isn’t unusual in these circumstances.
“It’s normal, ordinary and standard operating procedure,” Ganis said.
The Rams declined comment.
The privately financed stadium is the centerpiece of a 298-acre mixed-use development in partnership with San Francisco-based Stockbridge Capital Group that will include entertainment, retail and office space.
The venue is expected to be the most expensive in U.S. sports history by at least a billion dollars. It will be financed, in part, by the sale of naming rights, personal seat licenses and at least one $200-million stadium loan from the NFL under the league’s G4 program.
There could be a second NFL loan if another team decides to join the stadium project as a partner or tenant. The San Diego Chargers have a one-year option to do so and started formal negotiations with the Rams on Monday.
If the Chargers pass on moving to L.A., then the Oakland Raiders will have an identical one-year option.
The Rams can’t sell naming rights, suites or personal seat licenses for the new stadium until February 2017 unless they first reach an agreement to share the venue with another team.
Developers expect the stadium, which will have a transparent roof, to host events like college basketball’s Final Four, soccer matches, conventions and concerts in addition to the NFL.
The Chargers already have taken steps to secure a new name. The team applied to trademark “Los Angeles Chargers” and “LA Chargers” last week.
The applications, signed by Chargers President of Business Operations A.G. Spanos, seek to cover an array of products including football helmets, earmuffs and golf balls.
Anastasia Danias, a senior vice president for the NFL, is listed as the attorney of record.
Follow Nathan Fenno on Twitter @nathanfenno
Times staff writer Sam Farmer contributed to this report.
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