CXLI - UPDATE 1/27 - Coyotes working on deal to play at 5,000-seat arena at ASU

[GKJ]

There’s no way the PA can stand for this. I don’t know what recourse there is but even for Arizona, that’s a lot of HRR being left on the table.

 

[TheLegend]

If you read the article you'd know that the Coyotes would not have access to any of these facilities, and would have to build their own.

When the website is up and running again I will.

 

[Spydey629]

Meruelo probably has no problem using the Coyotes as a glorified loss leader since he can make the money the Yotes bleed right back from his sportsbooks in Arizona. The team is a means to an end for him, after all.

That said, 31 other owners might have a say.

Long time lurker on here, myself. But my take is that the Gaming License is the A-1 reason they DON’T move. Selling/relocating the franchise means Muerello surrenders his license to print money.

What sports owner ever gives up his ability to make money hand over fist??

 

[Major4Boarding]

3-4 years is a very long patch

Wonder what ASU would want for rent plus they will need to prioritize their own programs too. I guess that rules out Chase Filed if this is true....only possible option is a 5K seat building, similar to the 2nd arena under the IA proposal years back lolz

Most likely less than renovation and monthly routine maintenance costs with AVMC

 

[JimAnchower]

I think determining factor here is the rink and the video capabilities. When you consider NHL standards for replays and TV, the cost to retro-fit those into any other place likely tipped the scale. The ASU situation requires nothing from the Yotes except signing a lease and working out a schedule. Much easier than all the details in the other possibilities.

They do need to construct their own locker rooms as that is a NCAA rule, apparently. It also limits weekend games, as that's when a lot of smaller college sports compete. Maybe there will be more details later.

Edit to add:

The articles highlights those items.

 

[TheLegend]

Most likely less than renovation and monthly routine maintenance costs with AVMC

"Astrobucks" if you remember how Anthony LeBlanc described it.

There were questions in an article a while back about AVMC's structural integrity and fire safety when holding a capacity crowd.

 

[Mightygoose]

Sportsnet has the article too if anyone is having trouble with access to the gophx site

Report: Coyotes working on deal to play at 5,000-seat arena at ASU (sportsnet.ca)

The PA did tell Morgan there will be some issue to sort out but no details given.

 

[hockeyguy0022]

so 8 or so months to build a 20 million dollar temp facility for locker rooms/offices/workout/meeting etc.. I still don't see it happening. Then bleed money for 4 years with 5K seats...

I think this is more a propaganda piece then anything. I don't see it happening, not to be negative, but 5K and you need to build semi-temp facilities and then lose money for 2-4 years.....

0% chance AM wants to do that.

 

[Pandemonia]

so 8 or so months to build a 20 million dollar temp facility for locker rooms/offices/workout/meeting etc.. I still don't see it happening. Then bleed money for 4 years with 5K seats...

I think this is more a propaganda piece then anything. I don't see it happening, not to be negative, but 5K and you need to build semi-temp facilities and then lose money for 2-4 years.....

0% chance AM wants to do that.

AM may not want to do it, but this may be the least unpleasant of all his alternatives.

And I think you can amend the "lose money for 2-4 years" to read "lose money for more than 4 years", given the more realistic timelines offered by recent posters.

 

[TheLegend]

GoPHNX site is back up. Read the article.

Still a LOT of hurdles out there.

Meruelo would need to build his own locker rooms, training facilities, etc. If it's on/near the site then it has to clear the AZ Board of Regents. There could be benefits for ASU in the long term (once Meruelo moves onto his own arena), but that's all speculation.

One thing for sure.... if ASU goes through with this (and Meruelo is willing to spend millions of his own money to get this done) it has to carry some weight with the Tempe City Council.

The timeline though.... yikes.

 

[Voight]

Sportsnet as the article too if anyone is having trouble with access to the gophx site

Report: Coyotes working on deal to play at 5,000-seat arena at ASU (sportsnet.ca)

The PA did tell Morgan there will be some issue to sort out but no details given.

I guess its the only way they'll ever have a sold out arena

 

[hockeyguy0022]

Some Twitter accounts saying the coyotes talked to the developer if it’s possible… not ASU.

Edit: maybe be old speculation from the first time they tried to collaborate on an arena

 

[Yukon Joe]

Interesting. I know there's been a move in recent years to have fewer seats, but 5,000 is pretty damn small.

One thing - it could just be part of negotiating with Glendale. Right now Glendale thinks they have the Yotes over the barrel, but if the Yotes have a viable plan to go play at ASU Glendale might back down and sign a new short-term lease for GRA.

 

[hockeyguy0022]

AM may not want to do it, but this may be the least unpleasant of all his alternatives.

And I think you can amend the "lose money for 2-4 years" to read "lose money for more than 4 years", given the more realistic timelines offered by recent posters.

You’re 100% right. If I’m AM I would have tried to temp (city) move somewhere with a 15-20K arena for the X number of years. Then come back and start fresh.

 

[hockeyguy0022]

Interesting. I know there's been a move in recent years to have fewer seats, but 5,000 is pretty damn small.

One thing - it could just be part of negotiating with Glendale. Right now Glendale thinks they have the Yotes over the barrel, but if the Yotes have a viable plan to go play at ASU Glendale might back down and sign a new short-term lease for GRA.

i think GRA straight up doesn’t want their business anymore. Like unless Gary himself guarantees the $$$.

I wouldn’t do business with AM for more then any required time. Sounds like he’s a complete bottom feeder

 

[Llama19]

Interesting. I know there's been a move in recent years to have fewer seats, but 5,000 is pretty damn small.

One thing - it could just be part of negotiating with Glendale. Right now Glendale thinks they have the Yotes over the barrel, but if the Yotes have a viable plan to go play at ASU Glendale might back down and sign a new short-term lease for GRA.

Nope...

 

[TheLegend]

AM may not want to do it, but this may be the least unpleasant of all his alternatives.

And I think you can amend the "lose money for 2-4 years" to read "lose money for more than 4 years", given the more realistic timelines offered by recent posters.

The goal is for the long term.

Meruelo is probably quite aware this is going to take some very heavy lifting up front on his part (as in $$$$). That fact he's even making this attempt is something your "bottom feeder" would never do.

 

[Yukon Joe]

Nope...

We'll see.

Glendale's actions so far have been perfectly rational - they don't want to see the Coyotes build a competing arena in the Phoenix area and don't want to be jerked around on a series of one-year leases.

But if the new arena becomes a fait accompli, their calculation might change and they figure it's better to get what rent they can from the 40+ dates the Coyotes would use the arena.

Obviously that's just a guess on my part though.

 

[hockeyguy0022]

Also consider ASU is a dry campus..... So the facility does not have beer pipes/taps... So even if they get an exemption for Coyotes, that's still bottles/cans and plastic cups, much like many football games.

I would be shocked if they didn't allow booze, and as that is usually considered a good/great profit center.

 

[Llama19]

We'll see.

Glendale's actions so far have been perfectly rational - they don't want to see the Coyotes build a competing arena in the Phoenix area and don't want to be jerked around on a series of one-year leases.

But if the new arena becomes a fait accompli, their calculation might change and they figure it's better to get what rent they can from the 40+ dates the Coyotes would use the arena.

Obviously that's just a guess on my part though.

Still nope...

 

[Fatass]

Merek is mentioning to get the rink up to NHL standards the seating capacity could be closer to 3200. How could the league allow that? Even 5000 is crazy. But 3200! That's ECHL level, isn't it?

 

[Yukon Joe]

Still nope...

I've been following the situation in Glendale for, I dunno - 13 years? Maybe more. At first it was because I was desperately hoping the team would move to Winnipeg. I remember staying up late watching Glendale city council meetings online. Since 2011 with it wound up being the Thrashers moving to Winnipeg I no longer have a rooting interest, but can't turn away as it's just been the world's slowest car crash - the kind you can't help but watch.

Anyways, I used to make big pronouncements on what would or would not happen. The only thing I've learned in those 13 years is to never make any firm predictions on what will happen.

 

[hockeyguy0022]

I actually think this more of a 6-8 year arrangement. I don't think that Tempe deal will workout and get built as fast as everyone think.

Guys like AM will get the NHL to buy-in on ASU, then take the extra time/years to maximize Tempe local revenue/planning/sales knowing bettman isn't going to do ANYTHING now. Just how those type of guys do business.

I could see the yotes playing at ASU for 10 years to be honest now that I think about it.

 

[TheLegend]

We'll see.

Glendale's actions so far have been perfectly rational - they don't want to see the Coyotes build a competing arena in the Phoenix area and don't want to be jerked around on a series of one-year leases.

But if the new arena becomes a fait accompli, their calculation might change and they figure it's better to get what rent they can from the 40+ dates the Coyotes would use the arena.

Obviously that's just a guess on my part though.

Nyah.... I'm actually agreeing with Llama on this. Glendale is not going to allow them back.

The only way that could have possibly redeemed itself is if Meruelo had been able to buy Westgate and then have Steve Ellman's original business plan.

 

[Fatass]

Merek now talking about what happens if the new arena deal doesn't get done? Does the club still play at the University rink indefinitely? Is there another backup plan to keep the team in Arizona?