Voters in Tempe, Ariz., rejected an entertainment district proposal Tuesday that included plans to construct a new home arena for the Arizona Coyotes, early returns indicate. Here’s what you need to know:
- “We are very disappointed Tempe voters did not approve Propositions 301, 302, and 303,” Coyotes president and CEO Xavier A. Gutierrez said Tuesday. “What is next for the franchise will be evaluated by our owners and the National Hockey League over the coming weeks.”
- NHL commissioner Gary Bettman said the league is “terribly disappointed” in a statement of his own, and will “review with the Coyotes what the options might be going forward.”
- The proposed $2.1 billion privately funded project included a 16,000-seat arena, two hotels, retail shops, restaurants and up to 1,990 residential units.
- The Coyotes played the 2022-23 season in the 5,000-seat Mullett Arena, home of the Arizona State University Sun Devils, after they were evicted from their longtime arena in Glendale, Ariz.
The Athletic’s instant analysis:
Where do Coyotes go from here?
The most important part of the statements coming out of Tuesday’s referendum, from both the team and the NHL, is what was left unsaid. There have been plenty of pivot points for the Coyotes over the last two decades, and plenty of official releases from the major stakeholders.
They’ve always contained some variation on the phrase, “our focus remains on securing a future for the franchise in Arizona.” This time, its absence is conspicuous. — Gentille
Assessing relocation options
Relocation talk had already swirled, and now it’s likely to kick into overdrive. Houston and Atlanta are, no doubt, on top of the list.
Both are gigantic U.S. media markets. The former has a hockey-ready arena in the Toyota Center and, in Rockets owner Tillman Fertitta, a potential buyer. Atlanta has an in-the-works arena deal in suburban Alpharetta, spearheaded by a group that would love to give the area a third shot at the NHL.
Quebec City will pop up too, as it did during the Vegas and Seattle expansion process, but the feeling there is that the city’s time has passed. There’s an arena, sure, but no corporate base to speak of and a metropolitan area of about 800,000 people. — Gentille
Salt Lake City is a relocation possibility if indeed the Coyotes move, which isn’t a certainty at this point yet. Wednesday, NHL deputy commissioner Bill Daly said via email, “I do not envision a scenario in which the Coyotes are not playing in Mullett Arena next year.” — LeBrun
Why this isn’t surprising
The result here, for hockey fans in the Valley, is sad — but it shouldn’t be surprising. The Coyotes’ long-term success has, to date, been knee-capped by some combo of arena drama, poor ownership and mediocre (or worse) on-ice product.
Is there a lot to like about the concept of the NHL in Arizona? Sure. The area produced Auston Matthews, among other NHL players, Phoenix is a huge TV market. The fans there who care, care.
In a league starved for diversity, the Coyotes are led by Latinos (owner Alex Meruelo and Gutierrez). A wild amount of capital, effort and time has been invested in making the whole deal work. But sometimes, the hole is too deep, and the public speaks for itself. — Gentille
Backstory
Tuesday’s vote comes nearly six months after the Tempe City Council voted unanimously (7-0) in favor of approving the proposal in November.
According to the proposal, the team would have used private funds for the arena project, which “will not require a regional tax or Tempe-specific tax.” A 46-acre piece of land that is currently a city dump was the proposed site for the new development, which would have an estimated economic impact of $13.6 billion over 30 years, according to the proposal.
Opponents of the deal said it would have given Meruelo more than $500 million in tax breaks and called out the team for unpaid bills while they played in Glendale.
Bettman publicly endorsed the proposal in November, calling it a “win-win for the community.” He added at the time the league is committed to holding a future draft or All-Star game in Tempe, and that the Coyotes would be held to a 30-year, no-relocation term.
In August 2021, the city of Glendale informed the Coyotes it would opt out of its joint lease agreement for Gila River Arena, essentially forcing the team out of the building following the 2021-2022 season. The Coyotes played their final game at Gila River Arena on April 29, 2022.
Required reading
(Photo: David Kirouac / USA Today)