PHILADELPHIA — The Philadelphia 76ers have decided to collaborate with Comcast Spectacor, their existing landlord, to construct a new arena in South Philadelphia, thus scrapping plans for a downtown location. This significant shift has brought relief among opponents of the previous proposal, which aimed to establish a $1.3 billion arena near City Hall at the outskirts of Chinatown. On Monday, Mayor Cherelle Parker referred to the new plan as “a win, win, win, win for Philadelphia.”
“This is a lot, Philly. This is a curveball that none of us anticipated, but we are moving forward,” Parker stated at a news briefing.
However, this decision has left some critics and city council members feeling deceived after engaging in two years of challenging negotiations regarding the downtown venue. City council member Jim Harrity expressed his disappointment, saying he felt “completely bamboozled.”
During the announcement, NBA Commissioner Adam Silver appeared via video call, joining Mayor Parker along with executives from both the 76ers and Comcast. They assured that the new strategy would infuse vitality and a fresh outlook into both locations. Additionally, there were commitments to collaborate with the city in efforts to secure a WNBA team for Philadelphia.
“While the plans may have changed, our dedication to enhancing the experience for the Sixers, our supporters, and above all, our city remains steadfast,” stated David Adelman, part of the ownership group, Harris Blitzer Sports & Entertainment.
Just weeks prior, the city council approved a plan for the team to establish its proposed 76 Place downtown by 2031, despite considerable opposition from nearby Chinatown residents. The 76ers, who currently share an arena with the Philadelphia Flyers, had expressed a desire to possess their own venue once their lease expired.
Recent discussions between the opposing sides began two weeks ago, and city officials were brought into the high-stakes talks over the past three days.
The 76ers, whose ownership is led by investor Josh Harris, announced a 50-50 partnership with Comcast to create a new arena within the South Philadelphia stadium district by 2031. Comcast is also set to acquire a minority stake in the team and join forces for the WNBA bid, according to a statement released jointly on Monday.
The partners also committed to revitalizing the Market East area, a formerly bustling retail corridor in downtown that has faced continued challenges in reinvigoration.
The collaborators, who also own the NHL’s New Jersey Devils and hold a significant stake in the NFL’s Washington Commanders, had previously pledged to avoid seeking any city subsidies for the downtown initiative, which was projected to bring $2 billion in economic benefits to Center City. The specific financial arrangements for the new project have not yet been revealed.
Chinatown activist Vivian Chang expressed a cautious sense of optimism but voiced concerns that developers had manipulated the situation, delaying city focus on other urgent matters. “We have consistently stated that they were playing with people’s lives,” Chang remarked. “These billionaire developers disregarded the community’s interests and prioritized their profits.”
Economist Victor Matheson, a professor from the College of the Holy Cross who analyzes stadium financing, noted that it is standard for team owners to reassess their strategies in search of optimal agreements. He cited how, last year, the NBA’s Wizards and NHL’s Capitals chose to remain in Washington after their plans to relocate to northern Virginia fell apart, despite expectations of $515 million in public funding.
“This is a frequent occurrence,” Matheson indicated, asserting that the 76ers effectively “played New Jersey against Philadelphia” while negotiating public assistance. He suggested that the team likely aimed to secure certain subsidies and, once that avenue was blocked, reverted to their initial position.
Supporters of the downtown arena had envisioned a modern 18,500-seat venue acting as a catalyst for the revival of Market East, extending from City Hall to the Liberty Bell. “The way this decision was reached demonstrates a significant disregard for city leaders, stakeholders, and residents,” lamented council members Jamie Gauthier and Rue Landau in a joint statement. “It was deeply regrettable for 76DevCo to create divisions among working-class Philadelphians and pressure the city council to consider an inadequately developed proposal under a hastily imposed timeline.”
