Glendale is insane
posted at 12/14/2010 3:31 PM ESTDid anyone else see the details of this lease agreement that the City of Glendale council is voting on today in order to keep the Coyotes?
It's the craziest business deal I've ever seen - Basically in order to possibly recoup their $180 million in losses for building the arena they are going to go an additional $197 million in debt... ????? They're going to give Hulsizer a total of $197 million over the next five years in order to purchase the team for $170 million (!????) That includes a $100 million up front payment to buy the parking fee rights to the parking lot that Glendale already owns (!????) then they'll pay him nearly 20 million a year to run the rink for them, while currently the Coyotes have been paying Glendale for the right to run the rink (oddly $20 million is also the team's average yearly losses). So basically Hulsizer is buying a team for $170 million with none of his own money, and is actually making a $27 million bonus? And Glendale gets to be nearly $400 million in debt for a hockey team that they don't even own and that no one watches?
This has got to be one of the craziest damn things I've ever heard.
Re: Glendale is insane
posted at 12/14/2010 3:56 PM ESThmm and the nhl will not approve any of this.