Oakland leaders consider Coliseum sale that includes future ticket revenues
City leaders in Oakland are expected to vote on a $125 million deal to sell their share of the Oakland Coliseum complex, a deal that would include revenue from future events.
According to officials, the city council is scheduled to hold a special meeting Monday morning on a plan that would authorize selling the city's 50% stake to the Oakland Acquisition Company (OAC), an entity comprised of Loop Capital and the African American Sports and Entertainment Group (AASEG).
Under the agreement, OAC would pay $110 million plus 6% of all future annual gross ticket sales from events held on the site. The city would also receive an additional $15 million as OAC obtains building permits for new construction, which would be received "at a later date" according to officials.
"My bottom line is always what's best for Oaklanders and the City's ability to serve them well — and this proposal is a step forward," Mayor Barbara Lee said in a statement ahead of a news conference Monday morning. "This deal will pave the way towards creating jobs and economic opportunities, specifically for east and deep east Oaklanders."
"It's a deal that will bring city revenues, create good paying jobs, drive real economic opportunities for our residents," Lee said at the briefing.
The deal would approve an initial cash sale of the arena parcel to OAC, which would result in the city receiving $50 million by early next year, while the stadium parcel will be sold for $60 million, crediting a $5 million deposit held by the city.
Consisting of the Coliseum and Oakland Arena, the city holds a 50% interest in the site, while Alameda County holds the other 50%.
The proposed deal is the latest step in the multi-year process to redevelop the site, which housed the Raiders football team and the Warriors basketball team until 2019 and the A's baseball team until 2024. In 2015, the city adopted a specific plan, which proposed new housing, retail, commercial space and entertainment uses.
Four years later, the county entered into an agreement to sell its interest to Coliseum Way Partners, LLC, which was affiliated with the A's.
In 2023, Oakland authorized an exclusive negotiation agreement with AASEG and authorized a $105 million sale in 2024. Soon after, the city entered into a corresponding sale agreement with OAC and amended the agreement, restructuring the payment schedule and raised the total purchase price to $125 million.
OAC has also been working to secure the right to purchase the county's share of the Coliseum site.
Since the A's departed, the site has become the home of the Oakland Roots soccer team. Last week, the Roots announced that they would move to a temporary venue while exploring a permanent home stadium.
