Portland and Trail Blazers far apart on Moda Cente...

By Jessica Bennett — 20 July 2026 — 4 min read

Negotiations between the Portland Trail Blazers and the city of Portland regarding the renovation of the Moda Center are reportedly at a standstill. A team source indicated on Sunday that the two parties are “very far apart” on a lease agreement. This comes as the team’s new ownership seeks public funding for the arena’s renovation.

On Friday, the city of Portland presented the Blazers with a term sheet for a 20-year lease. This proposal includes $600 million in public funds for the Moda Center’s renovation. However, the city’s terms also require the Blazers to pay $3 million annually for a property tax offset, with escalations over time. Additionally, the deal mandates the hiring of union workers and sets caps on project-cost overruns.

A Blazers source described the term sheet as a “non-starter,” suggesting the city’s proposal includes elements the team would not agree to. The source also indicated a belief that the city is engaging in political maneuvering. The Blazers’ board of directors is scheduled to meet on Monday to discuss the term sheet and determine their next steps. The city council is expected to vote on the funding by August 12, and a deal must be finalized by December 31 for $365 million in state funding to be secured.

Negotiation Hurdles and Regional Impact

The future of the Trail Blazers in Portland is a subject of tension, as their current lease concludes in 2030. While there has been speculation about owner Tom Dundon potentially relocating the team, two high-ranking Blazers sources stated that Dundon has never expressed an intention to move the team, emphasizing a desire to remain in Portland.

Both the Blazers and city officials have accused each other of missteps in the negotiation process. Some city council members have voiced concerns about the Blazers’ transparency regarding the allocation of public funds. Councilor Mitch Green commented on the Blazers’ conduct, suggesting they assumed the deal was finalized after securing state funding, and highlighted the city council’s demand for greater public transparency.

The Blazers’ reluctance to share detailed renovation plans stems from two main reasons: many plans are still conceptual, and they were reportedly offended by a threat of a lawsuit from councilor Steve Novick in June for not maintaining the Moda Center as a first-class venue. A Blazers source indicated that they are hesitant to respond to the term sheet until Novick’s threat is withdrawn, and prefer not to share plans until assured the information won’t be used in a lawsuit.

Renovation concepts for the Moda Center include a new atrium entrance on the north side to improve traffic flow, additional kitchens on all three levels to enhance concession services, and potential modifications to seating, such as eliminating some 300-level seats to build a bar and updating club-level seating. Councilor Green emphasized the council’s need to understand the scope and scale of what the public money would fund before agreeing to a deal.

In March, the Blazers believed they had reached an agreement with the city after securing a $365 million commitment from the state for renovations. This state funding is contingent on Portland providing $120 million and Multnomah County contributing $88 million. A Blazers source expressed confusion over the shift in negotiations, stating that a handshake agreement was made in March with Mayor Keith Wilson, the city, and the county.

Elliott Kozuch, a spokesman for the city administrator, confirmed that there was momentum toward an agreement in March but clarified that formal approval from the City Council and County Commission was always required. Kozuch noted that while the city has seen some high-level concepts online, a formal design review or detailed project plan is still needed for a complete understanding of the proposed improvements.

Mayoral Support and Future Outlook

Amidst these ongoing negotiations, a coalition of mayors from the Portland metropolitan area has publicly urged city leaders to finalize the renovation deal. In a letter dated July 15, addressed to Governor Tina Kotek, Portland Mayor Keith Wilson, and Multnomah County Chair Jessica Vega Pederson, the Metropolitan Mayors’ Consortium highlighted the Moda Center’s regional importance. The consortium, representing 24 cities, argued that the arena serves residents across the region and generates economic activity beyond Portland’s immediate borders, supporting jobs, tourism, and local businesses.

The letter from the mayors also follows comments from NBA Commissioner Adam Silver earlier this month, who stated that negotiations over the Moda Center renovation had “gone off track.” The consortium encouraged officials to continue professional negotiations while acknowledging the significant regional investment already made. Oregon City Mayor Denyse McGriff affirmed the consortium’s message, emphasizing the Moda Center’s importance to the wider metropolitan area.

A Blazers source indicated that the team has been reviewing other recent arena deals in Oklahoma City and Utah, and may seek a new deal in Portland, potentially including a new arena. This source suggested that the city’s delay has allowed the team to evaluate market deals, implying the initial $600 million proposal was below market value. Councilor Green, however, stated that the threat of Dundon moving the team does not sway him, believing Dundon’s decisions are primarily profit-driven. Green suggested that if Dundon were to cover the $120 million requested from the city, a resolution could be reached swiftly. The city aims to approve a term sheet in August before negotiating a final lease later this year.