Kings co-owner Joe Maloof said the time is meant to give Mayor Kevin Johnson a chance to follow through on his promise for a new arena.
"The mayor of Sacramento has told the NBA relocation committee that he will have a plan for a new arena within a year," Maloof said. "If not, the team will be relocated to another city."
The team had been considering a move to Anaheim.
"I think it's the fair thing to do," Maloof said. "We've always said we think Sacramento has the best NBA fans in the world. Their overwhelming show of support was incredible. But now they realize that we're giving them another opportunity and we're anxious to play basketball."
After the announcement, Anaheim Mayor Tom Tait released a statement, saying his city "remains an NBA-ready city."
"As confirmed by NBA Commissioner David Stern, this process has shown that Anaheim/Orange County is a stand-alone market. With more than 3 million residents, Orange County is its own region - not a suburb. We believe that there should be more than one venue in southern California to enjoy NBA basketball," Tait said in his statement.
The Anaheim City Council voted unanimously to issue up to $75 million in bonds for improvements to the Honda Center to accommodate a possible Kings move.
Last week, several companies pledged up to $10 million to help finance a plan to keep the team in Sacramento.
The Associated Press contributed to this report.