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===1985β1986: Team creation=== In September 1985, [[Orlando, Florida|Orlando]] businessman Jim L. Hewitt approached [[Philadelphia 76ers]] general manager [[Pat Williams (basketball)|Pat Williams]] as they met in [[Texas]] on his idea of bringing an NBA team to Orlando.<ref>{{cite web |title=Hewitt: Banking on a Circle of Friends |url=https://www.bizjournals.com/orlando/stories/2001/03/12/story8.html |publisher=Biz Journals |access-date=April 23, 2019 |archive-date=March 8, 2021 |archive-url=https://web.archive.org/web/20210308203940/https://www.bizjournals.com/orlando/stories/2001/03/12/story8.html |url-status=live }}</ref> Intrigued by the potential of an [[Orlando, Florida|Orlando]]-based NBA team, Williams became the front man of the investment group one year later, after he left the [[Philadelphia 76ers|76ers]].<ref>{{cite web |last1=Lombardo |first1=John |title=Magic Man |date=February 11, 2013 |url=https://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Pat-Williams.aspx?hl=Sports%20Business%20Awards&sc=0 |publisher=Sports Business Daily |access-date=April 23, 2019 |archive-date=December 15, 2018 |archive-url=https://web.archive.org/web/20181215195044/https://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Pat-Williams.aspx?hl=Sports%20Business%20Awards&sc=0 |url-status=live }}</ref> On June 19, 1986, the two held a news conference to announce their intention of seeking an NBA franchise.<ref name=biz>{{cite news|url=http://www.bizjournals.com/orlando/stories/2006/07/10/story10.html?page=all|title=Magic moments: 20 years since NBA idea was born|first=Carlos|last=Galarza|date=July 6, 2006|work=[[Orlando Business Journal]]|access-date=December 26, 2013|archive-date=April 6, 2014|archive-url=https://web.archive.org/web/20140406204722/http://www.bizjournals.com/orlando/stories/2006/07/10/story10.html?page=all|url-status=live}}</ref><ref name=champ>{{cite news|url=http://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Pat-Williams.aspx?hl=Sports%20Business%20Awards&sc=0|title=Magic Man|first=John|last=Lombardo|date=February 11, 2013|work=Sports Business Journal|access-date=December 26, 2013|archive-date=October 21, 2013|archive-url=https://web.archive.org/web/20131021052857/http://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Pat-Williams.aspx?hl=Sports%20Business%20Awards&sc=0|url-status=live}}</ref> At the same time, Hewitt and Williams decided to hold a contest in the ''[[Orlando Sentinel]]'' newspaper to get names for their new franchise. Out of a total of 4,296 submitted entries, the names were subsequently narrowed to four, "Heat", "Tropics", "Juice", and "Magic". The last one, which had been submitted by 11 people, was picked after Williams brought his seven-year-old daughter [[Karyn Williams|Karyn]] to visit in Orlando.<ref name="MAGIC: Behind the Name: the Orlando Magic"/> On July 27, 1986, it was announced that the committee chose the Magic to be the new name of the Orlando franchise in the NBA.<ref name="MAGIC: 20 Years Ago Today β The Magic Begins"/> The name "Magic" alludes to the area's biggest tourist attraction and economic engine [[Walt Disney World]], along with its [[Magic Kingdom]], highlighting its [[The Walt Disney Company|corporate]] theme of [[Magic (supernatural)|magic]]. Hewitt added that "You look at all the aspects of [[Central Florida]], and you find it really is an exciting place, a magical place."<ref>{{cite web|url=http://nbahoopsonline.com/Articles/2007-08/teamnames.html|title=History of team names in the NBA.|access-date=June 30, 2015|archive-date=June 29, 2015|archive-url=https://web.archive.org/web/20150629132231/http://nbahoopsonline.com/Articles/2007-08/teamnames.html|url-status=live}}</ref><ref>{{cite web|url=https://www.orlandosentinel.com/1986/07/27/abracadabra-its-magic-orlandos-prospective-nba-team-now-has-a-name/|title=Abracadabra! It's Magic Orlando's Prospective Nba Team Now Has A Name|date=July 27, 1986|first=Barry|last=Cooper|work=Orlando Sentinel|access-date=June 30, 2015|archive-date=December 20, 2016|archive-url=https://web.archive.org/web/20161220111141/http://articles.orlandosentinel.com/1986-07-27/sports/0240120291_1_orlando-magic-magic-johnson-earvin|url-status=live}}</ref><ref>{{cite web|url=http://mentalfloss.com/article/23115/origins-all-30-nba-team-names|title=The Origins of All 30 NBA Team Names|date=October 14, 2016|access-date=March 27, 2015|archive-date=August 9, 2015|archive-url=https://web.archive.org/web/20150809134149/http://mentalfloss.com/article/23115/origins-all-30-nba-team-names|url-status=live}}</ref> Many, including Williams himself at first, thought that [[Miami]] or [[Tampa]] were better locations in Florida for a franchise. At the time, Orlando was a small city without a major airport or a suitable arena.<ref name=stern>{{cite news|url=http://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Williams-Orlando.aspx|title=Stern: Pat 'refused to take no for an answer'|first=John|last=Lombardo|date=February 11, 2013|work=Sports Business Journal|access-date=December 26, 2013|archive-date=October 21, 2013|archive-url=https://web.archive.org/web/20131021052855/http://www.sportsbusinessdaily.com/Journal/Issues/2013/02/11/Champions/Williams-Orlando.aspx|url-status=live}}</ref> Hewitt brought investors such as real estate developer William DuPont, [[Orlando Renegades]] owner Don Dizney, and Southern Fruit Citrus owners Jim and Steve Caruso,<ref name=biz/> and talked the Orlando city officials into approving an arena project.<ref>{{cite news|url=https://www.orlandosentinel.com/1986/12/09/gung-ho-city-council-okays-early-construction-of-arena/|title=Gung-ho City Council Okays Early Construction Of Arena|first=Goldie|last=Blumenstyk|date=December 9, 1986|access-date=December 26, 2013|archive-date=June 12, 2012|archive-url=https://web.archive.org/web/20120612015105/http://articles.orlandosentinel.com/1986-12-09/news/0280060142_1_early-construction-arena-city-council|url-status=live}}</ref> Meanwhile, Williams gave presentations to [[Commissioner of the NBA|NBA commissioner]] [[David Stern]] and the owners of the other teams of the league that the town was viable.<ref name=stern/> In April, the franchise committee recommended expanding by three teams, with two of the slots going to [[Charlotte, North Carolina|Charlotte]] and [[Minneapolis-St. Paul]]. The recommendation put the Orlando bid in doubt, since it advised that the state of [[Florida]] should only be allocated one team as part of the three-team expansion. This feedback put the planned Orlando franchise up against the Miami-based team, originally known as the ''Florida Heat'' and eventually named the [[Miami Heat]].<ref name=sunsentinel>{{cite news |title=The Heat is On, Miami awarded NBA franchise |url=https://www.sun-sentinel.com/news/fl-xpm-1987-04-23-8701260125-story.html%26psig%3DAOvVaw1T8vzEJe0qdAODLDqFfXLf%26ust%3D1556101433912985 |newspaper=Sun Sentinel |access-date=February 10, 2024 |archive-date=December 3, 2022 |archive-url=https://web.archive.org/web/20221203040234/https://www.sun-sentinel.com/news/fl-xpm-1987-04-23-8701260125-story.html%26psig%3DAOvVaw1T8vzEJe0qdAODLDqFfXLf%26ust%3D1556101433912985 |url-status=live }}</ref> When both Miami and Orlando ownership groups made successful pitches, the expansion committee decided to expand by four teams, allowing both to have a franchise.<ref name="NYTexp"/> The Magic became the first-ever major-league professional sports franchise in the Orlando area, following an expansion fee of reportedly $32.5 million.<ref name=biz/><ref name="NYTexp" /> They were one of the four new expansion franchises awarded by the NBA in 1987 along with the [[Charlotte Hornets]], [[Miami Heat]] and [[Minnesota Timberwolves]].<ref>{{cite news |title=NBA '89β90; Turnovers, 2 More Teams And Questions |url=https://www.nytimes.com/1989/10/29/sports/nba-89-90-turnovers-2-more-teams-and-questions.html |newspaper=The New York Times |date=October 29, 1989 |access-date=April 23, 2019 |archive-date=April 23, 2019 |archive-url=https://web.archive.org/web/20190423095116/https://www.nytimes.com/1989/10/29/sports/nba-89-90-turnovers-2-more-teams-and-questions.html |url-status=live |last1=Goldaper |first1=Sam }}</ref> The Magic hired [[Matt Guokas]] as the team's first coach, who helped the Magic select 12 players in the [[1989 NBA expansion draft|NBA expansion draft]] on June 15, 1989.<ref>{{Cite web |url=https://www.orlandosentinel.com/1988/05/27/magic-may-conjure-up-first-coach-in-former-76ers-chief/ |title=MAGIC MAY CONJURE UP FIRST COACH IN FORMER 76ERS CHIEF |website=Orlando Sentinel |date=May 27, 1988 |access-date=September 25, 2024}}</ref>
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