James Dolan has abruptly severed an alliance with the company that manages his sports and entertainment venues, after the firm revealed plans to build a new arena in Las Vegas – a project which Dolan believes That means it could compete directly against the field, the Post has learned.
The billionaire Knicks owner has quietly broken up an unusual 14-month-old partnership with Oak View Group — a rival firm co-founded by Dolan’s longtime friend, famed concert promoter Irving Azoff — that aims to create a mega- The goal was to attract the Bucks sponsor to the Las Vegas area, sources said.
In Interview with The Post in September 2023 — just weeks before the Sphere’s grand opening with a residency by iconic Irish rock group U2 — Oak View CEO Tim Leiweke said the partnership, called Crown Properties Collection, aims to sell the naming rights to the Sphere for $40 million. -Deal of the year.
“This is the range for the top arenas in the country, like Madison Square Garden,” Leiweke told The Post.
However, this has yet to materialize – Dolan recently rejected a $30 million offer from a potential naming partner, according to two sources close to the situation.
Sphere Entertainment reported Tuesday that Sphere suffered an operating loss of $125 million for the quarter and $507 million for the year. Shares of Sphere Entertainment closed down 7% on the day at $40.96 per share.
Meanwhile, Leiweke revealed at a conference in Phoenix last month that Oak View was Teaming up with Rio Casino in Las Vegas The plan was to build a new NBA-sized arena on Rio’s parking lot, with seating capacity almost identical to that of the high-tech arena, the sources said.
Adding insult to injury, Leiweke also said at the VenuesNow conference on 16 October that he was talking to bosses at the ABBA Experience show at the London Theater about performing in the yet-to-be-built arena – a production that would be adapted. Could play in the field, according to insiders.
Insiders said Oak View hopes it can raise money for the project and then lure an NBA team. This announcement sparked discussion that Leiweke had proven himself an unreliable business partner for Dolan.
A source close to the situation told The Post, “I wonder why Dolan hired Leiweke in the first place,” adding that “Tim is trying to make a lot of money out of Rio” and ” Dolan fired him because he thought Leiweke was doing it.” To be competitive with him.”
Dolan declined to comment.
Leiweke did not immediately respond for comment.
Still, Dolan’s move to fire Oak View took people at Crown Properties by surprise, a source close to the situation said. Dolan’s Sphere Entertainment paid $51 million for an 8.3% stake in Crown Properties, according to The Sphere’s public filings.
Last time, Oak View combined 200 people in its sponsorship division with the 40 to 50 people who worked at MSG to create Crown Properties. Now some of those MSG employees who were transferred to Crown Properties are being taken back to MSG, sources said.
Leiweke was doing a different thing 20,000-seat NBA Arena Las Vegas Sources said the project ran out of land owned by Oak View over the years, leading them to turn to The Rio partnership.
Oak View owns or operates more than 300 venues, including part of the UBS Arena on Long Island, where the New York Islanders play.
Leiweke, who formed Oak View with longtime Eagles promoter Azoff in 2015, has a history of clashing with powerful team owners.
Los Angeles Kings owner Phil Anschutz in 2013 Leiweke was forced to step down as CEO and chairman of his entertainment company AEG. Sources said at the time that Leiweke presented a too rosy picture of AEG’s finances to potential AEG buyers.
Leiweke left after only one year as CEO and president of Maple Leaf Sports & Entertainment, owner of the hockey team and Toronto Raptors because Leiweke reportedly wanted a new challenge,
