Original ARCO Arena
The Madhouse on Market Street
ARCO Arena (originally called the Sacramento Sports Arena and sometimes referred to as the Original ARCO Arena or ARCO Arena I to distinguish it from its successor) was an indoor arena in Sacramento, California. It was the NBA's smallest arena as it held just 10,333 people and was built in 1985 to temporarily accommodate the NBA's Sacramento Kings, who had relocated from Kansas City.
Quick Facts
- Successor venue
- ARCO Arena I
Lore & Background
The idea to move the Kings to the building was first pitched in late 1984, with the building being described as a 'warehouse under construction' by The Sacramento Bee. The arena cost $12 million to build. Located north of Sacramento's downtown, ARCO Arena was nicknamed 'The Madhouse on Market Street', and Kings games in this small venue were 100% sold out. Its official name of 'ARCO Arena' is believed to be the first example of an NBA team selling naming rights to a brand new facility: in this case, rights were sold to the Atlantic Richfield Company, which is now a subsidiary of Marathon Petroleum. The Kings sold the naming rights for $5 million over ten years in August 1985, which included the naming rights for the new arena.
Reader's Guide
The arena's first event was a fashion show on September 20, 1985. The arena also hosted boxing matches. The Kings left this building in 1988 to move to the new ARCO Arena, built one mile (1.6 km) to the west. The structure survived as an office building for Sprint Communications. On December 19, 2005, the California Department of Consumer Affairs moved their headquarters into the building.
Origins and Construction
Constructed in 1985 as a temporary solution for the NBA's Sacramento Kings following their relocation from Kansas City, this facility was originally designated the Sacramento Sports Arena. The concept emerged in late 1984 when officials needed an immediate home for the team, with local media describing the site merely as a warehouse under construction at the time. Despite its utilitarian beginnings and a relatively modest construction cost of $12 million, the venue opened its doors on September 20, 1985, hosting a fashion show before transitioning to professional sports. It quickly became known for boxing matches alongside basketball games, serving as a crucial stopgap measure while the franchise established itself in Northern California.
The Madhouse Atmosphere
Often referred to as ARCO Arena I or the Original ARCO Arena to distinguish it from its successor, this venue earned the legendary nickname 'The Madhouse on Market Street.' Situated north of downtown Sacramento, it held a capacity of just 10,333 people, making it the smallest arena in the NBA during its operational years. This intimate setting fostered an electric environment where every single Kings game was sold out, creating an intense atmosphere that defined the team's early identity in the city. The proximity of fans to the court amplified the noise and energy, turning a temporary structure into a beloved fortress for the franchise before they eventually moved west.
Naming Rights Revolution
This facility holds a significant place in sports business history as the site of the first known instance where an NBA team sold naming rights for a brand-new facility. In August 1985, just months after construction began, the Kings secured a deal with the Atlantic Richfield Company (ARCO), now part of Marathon Petroleum. The agreement was valued at $5 million over a ten-year period and covered both the new arena's name and future rights. This pioneering move established a financial precedent for professional sports franchises, demonstrating how corporate partnerships could fund infrastructure projects even in temporary venues, fundamentally changing how arenas were branded and monetized across the league.
Transition and Later Life
The Kings vacated this building in 1988 to relocate one mile west to a new, permanent ARCO Arena, ending its brief but impactful tenure as an NBA home. Following the team's departure, the structure was repurposed rather than demolished, finding a second life as office space for Sprint Communications. Decades later, on December 19, 2005, the facility became the headquarters for the California Department of Consumer Affairs. This evolution from a temporary sports warehouse to a government administrative center highlights the building's adaptability and enduring utility within Sacramento's urban landscape long after its days as 'The Madhouse' concluded.
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