Today, October 8, 2014 is a grey, overcast day in the Phoenix metro area…a rarity to be sure. Anywhere else it would portend a day of steady rain but Phoenix is a desert and because it looks like rain, it doesn’t necessarily mean it will happen. It’s a good day to let thoughts rumble around.
A blog reader recently sent me two news stories of interest. One is from the October 5, 2014 Seattle Times entitled Key Arena turns a bigger profit than it ever did with the Sonics by Ashley Scoby. Here is the link: http://seattletimes.com/html/localnews/2024708723_keyarena05xml.html. The other is a Deadspin article entitled The Coyotes were damned close to moving to Seattle by Barry Petchesky dated October 8, 2014. Here is the link: http://deadspin.com/the-coyotes-were-damned-close-to-moving-to-seattle-1643791488 . Each article compliments the other.
In the Deadspin story three sources confirm that the Coyotes were a hair’s breadth from moving to Seattle. Ray Bartoszek and Anthony Lanza had formed a buyers’ group with plans to move the Coyotes to Seattle’s Key Arena the day following the Glendale City Council vote on the IceArizona arena management agreement if it had failed to gain approval. The new information in the story is confirmation that the NHL had blessed the scheme. Everyone knew how imminent the move could be….the NHL knew; the presumed buyers had moving trucks on standby; Glendale senior management knew; the Glendale City Council knew; and IceArizona knew. The only ones in the dark were Glendale residents.
Which leads to the second news story about Seattle’s Key Arena. Everyone presumed in 2009 without the Sonics as an anchor tenant the arena would die a pitiful death. How wrong. An average annual loss to Seattle with the Sonics was $1.5 million. In 2013, without the Sonics, the arena generated $1.2 million in profit. The loss of the team didn’t hurt for it opened up more desirable dates for performing artists to utilize the arena. Artists such as Kanye West, Rihanna, Maroon 5 and Bruno Mars performed at the Key in 2013.
I had always supported keeping a professional sports team at the Gila River Hockey Arena because it was my belief that the arena and Westgate could not survive without one. Seattle’s Key Arena disproves that belief. If the Coyotes arena management agreement had failed on that fateful July, 2013 day Glendale would have moved on, just as Seattle did. Glendale would have joined with an AEG-type partner and could have enjoyed the same kind of success that we see today at Seattle’s Key Arena.
P.S. Here’s a link to yet another Seattle Times news story about an almost move to Seattle: http://seattletimes.com/html/hockey/2024716050_seattlenhl07xml.html#.VDWTTHFMEBI.twitter
© Joyce Clark, 2014
FAIR USE NOTICE
This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.
If Glendale residents didn’t know the Coyotes were so close to relocation, then they weren’t paying attention. What, exactly, did they think would happen if the arena deal fell through? The situation was blindingly obvious for even the most casual of observers.
And there are a large number of key differences (no pun intended) between Key Arena and the arena in Glendale, not least of which is the proximeties to their respective population centers. That the Key Arena has found success without an anchor tenant is good, but it does not in any way indicate the arena in Glendale could do the same. They are two totally different situations and two totally different markets; it’s comparing apples and oranges.
Agreed fishbert, totally different situation and market. Any Glendale resident that didn’t know about relocation to Seattle wasn’t paying any attention. It was all over the media. Also, Key Arena does not have the competition from other venues like (formerly) US Air Arena, and other large concert venues in Phoenix. Gila River Arena has always been in a precarious financial position. EVERYTHING projected to generate revenue HAS to happen, or it will NEVER be profitable…it (and Westgate) are/were too heavily leveraged. Am afraid Glendale has another (and bigger) Arizona Center on its hands. Trouble, trouble everywhere!
The Arena in Glendale would for certain face a certain death. The big difference between (now) Gila River Arena and Key Arena in Seattle is the lack of competition of venues of a similar size.
The arena in Glendale is in competition with US Airways, Comerica Theater, Grand Canyon, our outdoor Pavilion, and others. You would be lucky to see five events a year with this kind of competition.
Look at what has happened in Hartford since the Whalers left? This is just one example. Don’t forget, without the Coyotes, you can bet the event center at the proposed casino would take events away as well.
Don’t forget about your blog from February 14, 2013, “My Tale of Two Cities”. Key Arena is the only place in Seattle that can house BIG concerts outside of CenturyLink Field. It survives because there is no major competition.
http://t.co/1xd9tNPW5x
The Key Arena is paid off it was built in 1962. The Gila River Arena is 150+ mil to payoff the loans on the arena so the debt is much higher on the new arena in Glendale. That’s why it need a major sport in it to help pay off the loans on the arena The Key Arena had the benefit of having pro sports as the major player for along time.
This is a great piece, Joyce!! It’s too bad you couldn’t have realized this during your tenure on Council, as this financial tragedy would have a much different outcome. And I’d be willing to bet you would have won your seat for another term…but that’s just speculation. Oh well, it is what it is. We all make decisions that we may or may not wish for a redo. Anyway, well written. I’m glad you can see a different view to this…Sounds like this can end up being a very huge financial burden for the taxpayers of Glendale. I hope I am wrong.
Since your Canadian “Carl” where is your concern for the “poor” taxpayers of Edmonton, those “poor” ones are on the hook for Daryl Katz new cash cow.