The NBA experience will not last.
I wounder how it works?
The NBA (or whoever) is the tenant, Disney is the landlord.
I suspect the tenant paid for all the renovations?
I also suspect there is a multi year lease?
I suspect there was a large non refundable deposit made by the tenant at the beginning?
I suspect there is NO risk whatsoever for Disney. When this fails, Disney just gets a new tenant for the space.
Not likely. While the tenant would be on the hook for a multi year lease it is very unlikely that it is the NBA proper. It is probably a shell company that will dissolve Upon default. Worst case for the NBA is exercising what is likely an early termination clause.
The landlord (Disney) likely fronted significant build-out money in a lump sum payment as part of the very large lease that the NBA Experience signed. They will definitely lose money on the deal. And it is bad press.
Lastly, at the rents Disney is charging and the size of this venue don’t be surprised if it sits vacant for quite some time (if it goes under). It is not easy to fill this kind of space. This isn’t 1998.
My bet is Disney will lower the rate to keep them in business and try to help them drive traffic. It will be a while before they throw in the towel.