Sacramento City Council to vote on bonds for construction project at old Kings arena site

Chris Biderman

The city of Sacramento’s plan to redevelop the former Arco Arena site in North Natomas is moving one step closer this week with a vote on financing the project.

The Sacramento City Council on Tuesday is expected to vote on the term sheet for issuing bonds for Innovation Park, a major complex on the 183-acre site where the Sacramento Kings’ arena stood that would feature a teaching hospital, housing, schools, parks and commercial real estate.

The plan has been years in the making with the City Council approving the project centered around a $1 billion teaching hospital in February 2022 that will be part of California Northstate University.

The Kings’ departure left an economic void in North Natomas. According to a city staff report, the project could generate 3,000 permanent jobs and over 7,600 jobs during construction. Building out the project could generate as much as $2 billion for the city and $2.85 billion for Sacramento County.

The Sacramento City Council will vote Tuesday, April 30, 2024, on a term sheet for Innovation Park — a 183-acre mixed use development that will include a California Northstate University teaching hospital, housing, park space and commercial real estate —that will occupy the former site of Arco Arena in North Natomas. City of Sacramento
The Sacramento City Council will vote Tuesday, April 30, 2024, on a term sheet for Innovation Park — a 183-acre mixed use development that will include a California Northstate University teaching hospital, housing, park space and commercial real estate —that will occupy the former site of Arco Arena in North Natomas. City of Sacramento

The vote on a public financing plan will include the sale of $75 million in bonds. If approved, city officials expect funding to be in place by the end of the year; the timeline for construction has yet to be announced.

Arco Arena, which was later named Power Balance Pavilion then Sleep Train Arena, stood empty for six years before getting demolished in 2022 after the Sacramento Kings moved to Golden 1 Center downtown in 2016. For 28 seasons, it served as the home of the Kings and played host to numerous other events after it opened in 1988.

The site also includes parking lots and a foundation for a planned stadium in 1980s, used to try and lure the Oakland A’s and Raiders to play in the capital region. The Athletics recently announced they will be playing at nearby Sutter Health Park in West Sacramento beginning in 2025.