Talks End on Wizards, Capitals’ Move to Virginia 

Negotiations to move the Washington Capitals and the Washington Wizards to Northern Virginia have ceased, with Alexandria announcing the end of plans for a new arena and development district. Virginia’s House speaker confirmed that Ted Leonsis, the teams’ owner, is no longer pursuing the relocation from D.C.  

This decision follows Gov. Glenn Youngkin’s unsuccessful incentive plan in the General Assembly. Despite hopes of job creation and increased tax revenues, opposition from labor unions, Alexandria residents, and D.C. officials concerned about downtown’s vitality stalled the proposal.  

Mayor Justin Wilson expressed disappointment, citing the process’s integrity, and criticized the outcome’s politicization in Richmond. Leonsis, previously supportive, noted strong attendance at Capital One Arena events, suggesting a potential change in plans for the teams. 

D.C. Mayor Muriel E. Bowser and Leonsis are finalizing a deal to keep the teams in downtown D.C. until 2050, ending the planned move to Virginia. The $515 million agreement over three years includes modernizing the arena and a new lease for 25 years.

JBG SMITH issued a statement regarding the Potomac Yard Entertainment District, expressing disappointment over the termination of discussions between Monumental Sports & Entertainment, Alexandria, and the Commonwealth of Virginia. The statement, from CEO Matt Kelly, highlights the project’s potential to create a world-class arena and entertainment district in Potomac Yard, moving forward, JBG SMITH will focus on developing alternate uses and amenities for its sites near the Virginia Tech Innovation Campus.