Well, So Much For That Idea: Coyotes Back Up In The Air And Whither Seattle...???

((HT: Arizona Republic/Bickley))

The number that Renaissance Sports and Entertainment says they need to run jobing.com arena has always been in the neighborhood of $15-million. But the city of Glendale is looking for something in the $6.5-million range.

There was talk that the two sides had figured out a way to bridge that $8.5-million gap through things like parking, naming rights, ticket surcharges, and all that other stuff they could dream up...

But... and this is Bickley's big but...

But word is, the city of Glendale wants that number guaranteed. RSE won’t go down that road. And some fear that snag could be a potential deal-killer.

RSE’s Anthony LeBlanc wouldn’t comment on negotiations, but wanted to address his group’s intentions and loyalty to the Phoenix market.

“We’re not doing this to relocate the team,” LeBlanc said. “If we end up exercising an out clause, it’s going to mean that we lost a whole lot of money. And the way things are trending, we really believe this franchise will be in the middle of the pack in the NHL in terms of revenue generated.”

There is a closed-door meeting set for tomorrow to figure out some things for the city council's Tuesday meeting. And the NHL, really, wanted an answer by the Board of Governors meeting on the 27th. But they may not even get that now. It's looking more and more like July 2.

The league needs to put a schedule together fairly soon...

But that brings the next question...

The Seattle Times Percy Allen dives into Bartoszek and Lanza, the prospective buyers of the Coyotes, who want to move the team to Seattle.

And the larger question will be whether or not the two can tweak the MOU that the city has with Chris Hansen and his new arena- contingent on an NBA client first.

From Allen:

"Still, (Councilman Tim) Burgess said the mayor’s office and the potential hockey owners “have a framework, an understanding as to what the lease agreement would look like and how they could use KeyArena for two, three or four seasons if a team were awarded here.” Burgess said Bartoszek and Lanza agreed to assume financial responsibility for improvements to KeyArena if the NHL team began playing in Seattle next season.

The New York investors also asked about the Memorandum of Understanding between Hansen, the city and Metropolitan King County Council on a $490 million downtown arena. The agreement demands Hansen acquire an NBA franchise before construction begins.

Burgess said changing the MOU and starting the project early for hockey “would present some significant questions and challenges.”

The larger question is: Who are these guys who seem to have used an initial introduction from Hansen's people, really don't have a lot of sports ownership cache, and claim they want to bring hockey to Seattle...??? They say they'll eat initial losses at Key Arena, but it sounds like they want a new barn.

Hansen's barn...

But will Hansen want a barn that has only hockey and not an NBA team...??? And can he wait long enough with hockey before the next round of NBA expansion can put a team in his barn...???

And they will...

Here was your early week update from Seattle and Chris Daniels...
((HT: KING-TV))

And, much like what happened when the Atlanta Thrashers left HQ's territory, there has been one group that hasn't said word one in all of this- Quebecor Media, the bunch that wants a team in Quebec City.

Remember, True North said less than nothing before swooping in to buy the team- with the NHL's approval...

Food for thought...

Seattle Mayor Acknowledges NHL Talks As Coyotes Plan B

((HT: KING-TV))

Chris Daniels is on top of it again...

All of the HQ's talk about Seattle being an under-seated Plan B for the Phoenix Coyotes is now out there again...

Daniels caught up with the mayor of Seattle, Mike McGinn, whose response was understandably wary and tempered...
Welcome to your Monday, Phoenix... Mark Brown of Bleacher Report has the lowdown on the last public version of the deal that Renaissance has with the city: The latest deal on the table was outlined in the May 30, 2013 edition of Forbes Magazine. The transaction calls for Renaissance to put up $45 million in equity. Fortress Investment Group, with assets of $55.6 billion as of March 31, 2013, would provide $120 million, and the NHL would make $85 million available through a loan. The Fortress dollars would be repaid by a fee the citizens of Glendale incur to operate the arena. Currently, that would be the $6.5 million allocated in the preliminary budget. At this point, the proposed $120 million from Fortress and a combined $32.5 million over the next five years from the Council appear wide apart. The proposed package of $250 million far exceeds the Forbes value of $170 million placed on the franchise alone.
No word on just how much the Bartoszek-Lanza deal would be straight up cash, no NHL loan, and sans leverage from a hedge fund.

Coyotes Plan B: Seattle...???

((HT: Yahoo!Sports/Leahy))

In the Puck Daddy section, Sean Leahy now seemingly has more details on the Phoenix Coyotes situation...
Let's back track a few days here to Mike Sunnucks work in the Phoenix Business Journal...

Thursday's article had Glendale's concerns over the deal with Renaissance:

• The lack of equity and personal investments from Renaissance principals in their bid.

• The bid’s reliance on financing and loans from the National Hockey League and private equity investment firm Fortress Investment Group LLC (NYSE: FIG).

• Renaissance using funds from an arena deal with Glendale to pay debt service on their financing.

• A possible relocation of the team to Seattle or another market after a few more years in the West Valley.

We may not even get to point four...

On the "Satellite Hotstove" segment last night on CBC's "Hockey Night in Canada," FOSG Elliotte Friedman and Glenn Healy explained how we're getting to the idea of Phoenix to Seattle...

The Vancouver Canucks were looking for a home for their AHL franchise after they bought the Peoria Rivermen, and understandably, they wanted to put the team in Seattle. Strangely, it ended up in Utica, New York because the Key Arena folks said that the arena wasn't available for hockey.

Introducing your Utica Comets... complete with $5-million in state aid to renovate the arena in town that only seats 4,000 people...
((HT: WKTV-TV))


Even as KING-TV's Chris Daniels reported last week that the Key Arena has its ice-making equipment still in place and was functional:

Deborah Daoust spokesperson for Seattle Center, says ice making equipment and chilling system at #KeyArena is still operational

Reason being, according to Friedge and Glenn Healy, through Leahy:

Plan B for the NHL and Coyotes, if the latest candidate doesn't go through with the purchase, is to sell the team to investors Ray Bartoszek and Anthony Lanza, who previously engaged in discussions to purchase a 49-percent stake in the New York Mets in 2011, for $220 million. According to Glenn Healy, if those two do not get what they want by July 2 from the city of Glendale, then they would move the team to The Emerald City. Part of the new ownership group would be former NHLer and current NBC analyst Jeremy Roenick, who would help run the hockey operations department.

Whither Chris Hansen in all of this...???
Daniels sat down with him after the SacKings quest stopped...
((HT: KING-TV))

Let's see how Tuesday winds itself up...
Quoting Ol' JR: "Business is about to pick up..."