Earlier today, Kings co-owner George Maloof said he was committed to staying in Sacramento, but that he wanted the NBA to agree to re-negotiate the terms of a handshake deal to build a new arena. Maloof's statement came after an economic study commissioned by the Maloof family found that the cost of the new arena could mean financial disaster for the city. And they objected to the cost-sharing structure in the agreement, which they said put too much financial burden on the Maloof family.
According to the Sacramento Bee, NBA commissioner David Stern told reporters that the two sides were "not able to make a deal," adding "there's nothing further to be done."
"It's not going to happen, but I can say the city has stepped up," he said. "We have nothing further to give, to cajole, to yell, or all the various ways I've tried to keep the parties on track to get what we thought was a win win in Sacramento."
Neither representatives for Chris Hansen, the San Francisco hedge-fund manager who has proposed building a new NHL-NBA arena in Seattle, nor a spokesman for Mayor Mike McGinn would comment on the news that the Kings may again be eligible for relocation.