Madison Square Garden (NYSE:MSG) has its deal to sell its Forum in Inglewood for $400M cash to the group of L.A. Clippers owner Steve Ballmer – a transaction that will settle a number of suits tying up a new NBA arena in the area.
MSG will sell the Inglewood, Calif., Forum to CAPSS LLC, a group driven by Ballmer and Clippers Vice Chairman Dennis Wong.
That will resolve litigation surrounding plans for a new arena for the Clippers. Ballmer owns a parcel of land just a mile away from the Forum, and MSG had charged that Inglewood had worked with the Clippers to develop it and thus violated an agreement not to promote competition to The Forum. That resulted in three separate lawsuits.
The Forum will continue to operate as a music venue, while the Clippers will privately finance construction of a fan-focused headquarters and arena with 18,000 seats.