Ted Leonsis, majority owner of the Washington Wizards and Washington Capitals, announced plans Wednesday to move the NBA and NHL franchises from downtown D.C. to Northern Virginia, with the goal of being in a new arena by 2028.
Leonsis, founder, chairman and CEO of Monumental Sports and Entertainment, said in a press release that the company has reached a “framework of agreement” for a new entertainment district at the Potomac Yard area in Alexandria, Virginia. “Public-Private Partnership” Agreement
Leonsis appeared at an event alongside Virginia Gov. Glenn Youngkin on Wednesday.
A panel of Virginia lawmakers approved a proposal to build a new multi-use sports campus on Monday, but the full state Legislature still must sign off on it in early 2024. The campus will include a new home for Monumental, a facility for practicing magicians, an arts venue The theater and an expanded esports facility as well as the new arena, according to the press release.
“We are committed to delivering world-class fan experiences while continually developing our teams, deepening community connections, and strengthening our role as leaders at the forefront of sports and technology,” Leonsis said in a statement.
The Wizards and Capitals have played at Capital One Arena (originally called MCI Center) in D.C.’s Chinatown since 1997, when former owner Abe Bolin moved the franchises from the Capital Center in Landover, Maryland, the city where the Washington Commanders currently play .
Monumental said it plans to modernize Capital One Arena to serve as the future home of the Washington Mystics, the WNBA team the group also owns, as well as host live entertainment events and college sports. The Mystics currently play and train in the Southeast Washington Sports and Entertainment Arena along with the G League’s Capital City Go-Go. Monumental said the G League team will remain at Entertainment and Sports Arena.
“I believe that at Capital One Arena, we can host women’s sports,” Leonsis said. “We have invested $200 million in the last 10 years in maintaining Capital One’s world-class arena and we intend to expand (in Virginia) and keep Capital One Arena in Washington, D.C., a great venue.”
Late Tuesday, D.C. Mayor Muriel Bowser and D.C. Council President Phil Mendelsohn unveiled legislation outlining a plan to provide $500 million in funding for the $800 million project to renovate Capital One Arena “to create a state-of-the-art urban arena and anchor mega-sports and entertainment as an economic anchor for the Gallery Place-district.” It is a Chinese entertainment destination for residents and visitors of the region.
“Downtown D.C. is the economic engine of the region that provides revenue resources to support important programs in the city,” Bowser said in a statement. “Mr. Leonsis and Monumental Sports have been important partners in keeping downtown thriving, especially post-pandemic. Modernizing Capital One Arena will be an invaluable investment for our continued success and future prosperity. This proposal represents our best and final offer and is the next step in the partnership with Monumental Sports To breathe new life and vitality into the neighborhood and keep the Washington Wizards and Washington Capitals where they belong – in Washington, D.C.
Put the potential move into context
We’re in a tough spot when it comes to Leonsis’ hopes of improving what he told The Washington Post is “the worst deal construction in professional sports.”
Capital One Arena has been the backbone of D.C.’s downtown economic corridor revitalization since it opened in 1997. If Leonsis were to take his teams to Virginia, it would be a devastating economic blow to D.C., and the Penn Quarter area where the team lives. He evaluates the building. Tentacles extending from the plaza to nearby restaurants, bars and hotels, all of which rely on night traffic for large portions of their business during the fall and winter months, are critical.
However, Leonsis has also previously reportedly said that he would stay in D.C. and at Capital One if the city provided him with $600 million for a proposed $800 million renovation of the building. (Monumental will reportedly fund $200 million for the project.) The city, through Bowser, has indicated that negotiations with Leonsis on the proposed renovation deal are ongoing. Leonsis also spent millions of dollars to build new studio spaces with state-of-the-art cameras and production facilities in the building next door to Capital One for his company Monumental Sports and Entertainment.
Virginia is clearly serious about creating professional sports teams in the state. Youngkin also spent time last summer trying to lure NFL leaders to Virginia. Leaders have made no secret of their desire for a new stadium to replace the rapidly aging FedEx Field in Landover. Leonsis is serious about using his considerable influence as the owner of most of the capital’s professional sports teams to get a suitable deal. If the Virginia General Assembly ultimately approves public funding for the proposed arena, the district will have to move quickly to halt the project’s momentum. — David Aldridge, senior columnist
What this means for fans
How will moving the Capitals and Wizards to Alexandria impact fans residing in areas north of Washington, D.C. and in the Maryland suburbs northeast and northwest of the city? How willing are these fans to travel regularly to Alexandria?
These are fair questions to ask.
The Commanders have played in Landover since 1997, but in this case, fans from Northern Virginia only have to make the trip for eight regular-season games a year — and most of the time, they do so on Sundays, when the area is notoriously bad. Traffic is at a relative minimum.
Of course, the Caps and Wizards play 41 regular season games at home, and many of those home games are on weekday evenings. Even with mass transit options, to what degree could a move to Northern Virginia alienate segments within fan bases for whom a trip to Alexandria might be difficult?
Capital One Arena’s central location is perhaps the venue’s greatest strength — and a boon to the Caps and Wizards fan base. -Josh Robbins, senior writer at Wizards
Required reading
(Photo: Brian Bader/Sportico via Getty Images)
Ted Leonsis, the prominent owner of the Washington Wizards and the Washington Capitals, has recently announced plans to relocate both teams from their current home in Washington, D.C. to a new location in Virginia. This news has sparked a mix of excitement and concern among fans, as Leonsis looks to shake up the sports landscape in the D.C. area. With his vision and ambition, Leonsis aims to make this relocation a game-changer for both teams and their devoted fanbases.