Alex Meruelo the new owner of the Arizona Coyotes

TheLegend

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folks have been chatting about Meruelo's outreach to the Hispanic community. does anyone know if this has been successful? are there more Hispanics attending games? who is buying these seats?



Too early to tell.

They formed a statewide board with Hispanic groups around the state in mid-October. Anyone who thought it would result in an instant bump at the Nashville game that night (on a Thursday) was delusional. Anyone who thought it would also score points with the relocationistas..... well..... I know a guy on Twitter who likes respond to himself using alternate accounts. ;)

btw... the warmup jerseys for that game were lit.
 

PredsHead

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Unfortunately it looks as though the teams good play has not been the boost in attendance that most of us were hoping to see. Through 16 games they are averaging 75 more fans per game than last year. Has Meruelo made any comments about how things are going so far or anything else?
 

TheLegend

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Unfortunately it looks as though the teams good play has not been the boost in attendance that most of us were hoping to see. Through 16 games they are averaging 75 more fans per game than last year. Has Meruelo made any comments about how things are going so far or anything else?

No public comments from Mr. Meruelo so far. He's leaving it up to CEO Arhon Cohen for now. Cohen came out today and announced they'll be playing in Glendale for the 2020-21 season (ie: not opting out.)

In spite of the record their play at home has been attrocious. The Chicago game the other night was probably the first decent game they played at GRA since opening night against Boston.

If they end up landing Taylor Hall in the next 24-18 hours though....... who knows?
 

sawchuk1971

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Forbes lists the Coyotes among least valuable NHL teams

https://www.bizjournals.com/phoenix...sts-the-coyotes-among-least-valuable-nhl.html

The Arizona Coyotes are the least valuable team in the National Hockey League, according to rankings published Wednesday by Forbes.

Though the team has turned things around on the ice and is currently tied for first place in the NHL’s Pacific Division, the business publication released its annual ranking that breaks down values for all 31 NHL teams. The Coyotes’ value is $300 million this year, a 3% increase over last year’s $290 million valuation.

The Coyotes typically are near the bottom, if not in last place, in the annual Forbes rankings.

Forbes credited a lot of the Coyotes' financial issues to not having a long-term arena solution and being in Glendale, which the magazine says can be blamed for the team having one of the worst home attendance averages in the NHL.

Meruelo and Coyotes president and CEO Ahron Cohen have not shied away from some of the troubles the team faces. Soon after closing the deal to purchase the team, Meruelo said he has a knack for picking businesses that are broken and losing money and fixing them.

“I have a lot of experience buying businesses and turning them around,” he said in August. “I know we can make this a viable business.”
 

PredsHead

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No public comments from Mr. Meruelo so far. He's leaving it up to CEO Arhon Cohen for now. Cohen came out today and announced they'll be playing in Glendale for the 2020-21 season (ie: not opting out.)

In spite of the record their play at home has been attrocious. The Chicago game the other night was probably the first decent game they played at GRA since opening night against Boston.

If they end up landing Taylor Hall in the next 24-18 hours though....... who knows?

Nice, I figured it was about time to hear something on the lease renewal. Will be very interesting to see if they do get Hall, what impact that has on sales.
 

Llama19

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Arizona Coyotes, winning more games and drawing larger crowds, will stay in Glendale next season

To quote:

"It has been under an annual lease with arena manager ASM Global, formerly AEG Facilities, since 2016. The lease automatically renews at the end of each year unless the team opts out, which Cohen said it doesn't intend to do.

The short-term nature of the lease leads to constant speculation about whether the Coyotes will leave Glendale with little notice.

Team officials have been clear that Gila River Arena isn't a viable arena for the team in the long run, and rumors circulate often about where the team will go next, whether it be elsewhere in the Valley or somewhere outside the state."

Source: www.azcentral.com/story/news/local/glendale/2019/12/15/arizona-coyotes-play-gila-river-arena-glendale-2020-21-season/2638542001/
 

TheLegend

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Lather..... rinse...... repeat. That last cherry picked paragraph is more or less copy and paste of many AZ Republic articles from the past 2 1/2 years... but I digress. ;)

Coyotes did officially sell out against the Devils last night. That’s four so far this year, even with the team’s dismal home record.

With the new Loop 202 South Mountain freeway opening this coming Wednesday, travel times from the southeast Phoenix metro out to Glendale are going to get drastically better. The team has already rolled out a weekend promotion for it.

Coyotes Launch New 'Freeway Fast Pass' Ticket Plan

So in spite of the repeated rhetoric about the viability of Glendale, the Coyotes are trying to make it work.
 
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MNNumbers

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Lather..... rinse...... repeat. That last cherry picked paragraph is more or less copy and paste of many AZ Republic articles from the past 2 1/2 years... but I digress. ;)

Coyotes did officially sell out against the Devils last night. That’s four so far this year, even with the team’s dismal home record.

With the new Loop 202 South Mountain freeway opening this coming Wednesday, travel times from the southeast Phoenix metro out to Glendale are going to get drastically better. The team has already rolled out a weekend promotion for it.

Coyotes Launch New 'Freeway Fast Pass' Ticket Plan

So in spite of the repeated rhetoric about the viability of Glendale, the Coyotes are trying to make it work.

And it will work. The problem has never been about location of the arena. The problem has been ownership, coupled with a few market forces (recession at a BAD time) which greatly hindered. The arena was free to the team, and it was the only option available at the time. The only thing the team would like is a better lease, but that MIGHT happen if they are careful in the next 5 years. Imagine if the team offered the city the deal that AEG is currently giving them. How would that work?

In any case, as many have said, it's just fine the way it is. What is has needed is 2 guys like Cohen and Meruelo, who actually are working at it.
 
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PredsHead

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Lather..... rinse...... repeat. That last cherry picked paragraph is more or less copy and paste of many AZ Republic articles from the past 2 1/2 years... but I digress. ;)

Coyotes did officially sell out against the Devils last night. That’s four so far this year, even with the team’s dismal home record.

With the new Loop 202 South Mountain freeway opening this coming Wednesday, travel times from the southeast Phoenix metro out to Glendale are going to get drastically better. The team has already rolled out a weekend promotion for it.

Coyotes Launch New 'Freeway Fast Pass' Ticket Plan

So in spite of the repeated rhetoric about the viability of Glendale, the Coyotes are trying to make it work.

Nice, that is a really good idea for a package. Between the new marketing and the team's success Meruelo and company are clearly doing everything they can to make this work. Glendale may not be suitable long-term, but IMO its essentially a market test at this point. If the Coyotes can get enough momentum and push in the community to fill up GRA on a consistent basis, someone may be willing to help Meruelo find a better long-term solution. If they still continue to struggle to get people into GRA, I'm just not sure there will be anyone willing to take on that risk. Like a reverse Field of Dreams, "If they come you will build it".
 

TheLegend

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Nice, that is a really good idea for a package. Between the new marketing and the team's success Meruelo and company are clearly doing everything they can to make this work. Glendale may not be suitable long-term, but IMO its essentially a market test at this point. If the Coyotes can get enough momentum and push in the community to fill up GRA on a consistent basis, someone may be willing to help Meruelo find a better long-term solution. If they still continue to struggle to get people into GRA, I'm just not sure there will be anyone willing to take on that risk. Like a reverse Field of Dreams, "If they come you will build it".

No matter where they end up Meruelo knows he has to up the level of the ice product. Thankfully he’s got the wallet to do it.
 

Ernie

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This is going to be a good case study for this board. The argument has gone back and forth whether winning is enough to make a team financially successful in a non-traditional market.

If Meruelo can relaunch the team, can he turn it into a "success" like the Predators? Forbes has them listed as being worth $170m more than the Coyotes, so the financial incentive is there.
 

Coyotes2000

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And it will work. The problem has never been about location of the arena. The problem has been ownership, coupled with a few market forces (recession at a BAD time) which greatly hindered. The arena was free to the team, and it was the only option available at the time. The only thing the team would like is a better lease, but that MIGHT happen if they are careful in the next 5 years. Imagine if the team offered the city the deal that AEG is currently giving them. How would that work?

In any case, as many have said, it's just fine the way it is. What is has needed is 2 guys like Cohen and Meruelo, who actually are working at it.
I think it is great what is going on with the team this season.. but with 80-90% of your fanbase an hour away from your arena it is not viable long term nor stable. The team will be moving to a new arena but there is no rush to do so.
 

TheLegend

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And I thought Mark Spector had the worst Coyotes take of the day. :facepalm:

Meh... life is full of cloven types. ;)

Doing a little quick digging....

Last season the Coyotes sold out six games at home, just four the sesason before that.

So far they have four sell outs with over half the season left. If they stay on top of the Pacific it'll be interesting if they continue to increase the numbers.
 
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The Feckless Puck

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Meh... life is full of cloven types. ;)

Doing a little quick digging....

Last season the Coyotes sold out six games at home, just four the sesason before that.

So far they have four sell outs with over half the season left. If they stay on top of the Pacific it'll be interesting if they continue to increase the numbers.

I mean, I don't even dispute that a greater-than-half percentage of the fanbase lives in Scottsdale and Mesa, but the OIMBY crap really gets me - even more than the hypertraditionalist takes about how we'll never be a hockey market. The OIMBYs are the ones doing the most damage - staying home out of pique and complaining as loudly as they can about demographics and traffic to anyone who will listen.

Arizona can be a hockey market and the growth trends are showing that we're well on our way... but man, Arizona is just fickle as hell in general.
 

Acesolid

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This is going to be a good case study for this board. The argument has gone back and forth whether winning is enough to make a team financially successful in a non-traditional market.

If Meruelo can relaunch the team, can he turn it into a "success" like the Predators? Forbes has them listed as being worth $170m more than the Coyotes, so the financial incentive is there.


As I have said before. This isn't a good case study in anything.

The reality is that as long as the current bull market and sports teams bubble continues, along with extremely cheap credit.... the team can keep losing tens and tens of millions every year, no problem.

The problem is that when we next enter a recession, credit tightens, investors see the glass as half-empty instead of half-full, and the amount of money people are willing to pay for teams collapses....

Defying the law of financial gravity by losing tens of millions every year will no longer be sustainable for the Coyotes.

Until then, nothing will happen.

A handful of more fans at games won't raise the fact the team makes very little local TV money or from games.

PS/Edit: I will add that the Coyotes are a great example that proves the correctness of economist Frederich Hayek when he said (and I paraphrase here) that: "Unemployment and idle resources stem from a previous unsustainable episode of easy money and artificially low interest rates."

This is what the Coyotes prove! Thanks to easy money and low interest rates plus the bull market... they are able to defy (and laugh at) the law of economic gravity and lose tens of millions every year without consequence! But there will be a reckoning for them of course. One day the bull market will end, and the jig will be up.
 
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TheLegend

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As I have said before. This isn't a good case study in anything.

The reality is that as long as the current bull market and sports teams bubble continues, along with extremely cheap credit.... the team can keep losing tens and tens of millions every year, no problem.

The problem is that when we next enter a recession, credit tightens, investors see the glass as half-empty instead of half-full, and the amount of money people are willing to pay for teams collapses....

Defying the law of financial gravity by losing tens of millions every year will no longer be sustainable for the Coyotes.

Until then, nothing will happen.

A handful of more fans at games won't raise the fact the team makes very little local TV money or from games.


You’re overlooking one thing.

Meruelo is in better position to handle a recession than Ellman and Moyes ever were. Even with those two the Coyotes managed to survive it all.

But keep shoveling the doom and gloom. I’m going to be disappointed if everyone stops.
 

Ernie

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As I have said before. This isn't a good case study in anything.

The reality is that as long as the current bull market and sports teams bubble continues, along with extremely cheap credit.... the team can keep losing tens and tens of millions every year, no problem.

The problem is that when we next enter a recession, credit tightens, investors see the glass as half-empty instead of half-full, and the amount of money people are willing to pay for teams collapses....

Defying the law of financial gravity by losing tens of millions every year will no longer be sustainable for the Coyotes.

Until then, nothing will happen.

A handful of more fans at games won't raise the fact the team makes very little local TV money or from games.

Except the NHL has been through a major recession in the last decade and that didn't happen. The Coyotes owner at the time was over exposed to the real estate market and tried to flip the team. The Thrashers moved to Winnipeg. But we didn't see Florida, Carolina, or any other money losing team go under. And under the current CBA, low revenue teams are in a much better situation due to the lower revenue split that goes to the players and the increase in revenue sharing.

I'm not saying that the valuations are justified. They aren't. But the scenario you are describing hasn't happened.
 

Acesolid

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You’re overlooking one thing:

Meruelo is in better position to handle a recession than Ellman and Moyes ever were.

I believe few in the US truly are right now. Sorry to sound like "Chicken Little", but I have grown over the last year+ extremely concerned that (unlike... say Québec that is having good growth while currently running also a surplus and carefully managing it's finances) the current overheated American Economy is in fact a massive unsustainable bubble artificially inflated by low interest rates and insane deficit spending (over a Trillion dollar deficit out of an around 4.5 Trillion budget this year).

Austrian economics aren't correct about everything... but they are in my opinion absolutely right when they state that (to quote the edit in my first post) "Unemployment and idle resources stem from a previous unsustainable episode of easy money and artificially low interest rates.".


Basically, the American economy is heading for a bad recession... and will find it difficult to get out of it because their debt load will be high when they enter it at the current rate of borrowing.

In 2008 massive stimulus saved the day. Unless the American Government makes the hard decisions to balance the budget now (like Québec did over the last few years)... I see the US having a much harder time getting out of the hole next time (a hole partly of their own creation; by too low interest rates and deficit spending artificially inflating the economy, setting it up for trouble).
 
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TheLegend

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I believe few in the US truly are right now. Sorry to sound like "Chicken Little", but I have grown over the last year+ extremely concerned that (unlike... say Québec that is having good growth while currently running also a surplus and carefully managing it's finances) the current overheated American Economy is in fact a massive unsustainable bubble artificially inflated by low interest rates and insane deficit spending (over a Trillion dollar deficit out of an around 4.5 Trillion budget this year).

Austrian economics aren't correct about everything... but they are in my opinion absolutely right when they state that (to quote the edit in my first post) "Unemployment and idle resources stem from a previous unsustainable episode of easy money and artificially low interest rates.".


Basically, the American economy is heading for a bad recession... and will find it difficult to get out of it because their debt load will be high when they enter it at the current rate of borrowing.

In 2008 massive stimulus saved the day. Unless the American Government makes the hard decisions to balance the budget now (like Québec did over the last few years)... I see the US having a much harder time getting out of the hole next time (a hole partly of their own creation; by too low interest rates and deficit spending artificially inflating the economy, setting it up for trouble).


Can’t tell if this is really about the US or a hidden sales pitch for Quebec City??

If things are going that well then get PKP to open his wallet up like Bill Foley did and get on board.
 
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Acesolid

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Can’t tell if this is really about the US or a hidden sales pitch for Quebec City??

If things are going that well then get PKP to open his wallet up like Bill Foley did and get on board.

His wallet was opened, remember the expansion process? The NHL doesn't want his money, because Montreal and Boston dont want to take it and weaken their territory.

No matter, the Québécois economy is BOOMING, with almost full employment, and we are running a surplus.... while the US economy (and the unsustainable NHL teams with it) is quite obviously heading face first into a wall when the inflated low-interest and deficit-driven bubble pops and a bear market takes hold.

So I'm not concerned. The point will come when the NHL will beg for Québécois money. Or maybe they still wont take it because Montreal and Boston still wont let their territory get smaller.

Either way, with almost full employment and a budget surplus, watching the Québécois economy fly is more interesting to me then any sports team.
 
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TheLegend

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His wallet was opened, remember the expansion process? The NHL doesn't want his money, because Montreal and Boston dont want to take it and weaken their territory.

No matter, the Québécois economy is BOOMING, with almost full employment, and we are running a surplus.... while the US economy (and the unsustainable NHL teams with it) is quite obviously heading face first into a wall when the inflated low-interest and deficit-driven bubble pops and a bear market takes hold.

So I'm not concerned. The point will come when the NHL will beg for Québécois money. Or maybe they still wont take it because Montreal and Boston still wont let their territory get smaller.

Either way, with almost full employment and a budget surplus, watching the Québécois economy fly is more interesting to me then any sports team.


So you say..... Quebecor wanted to bring in a minority investor when they applied and could not get one. That’s hardly an endorsement of PKP’s wallet or an ability to bring in a new franchise, cover the startup costs and back it over the next 15-20 years.

Look.... I’ve said it multiple times that a franchise in Quebec City would be great. But I’m getting tired of the rhetoric that keeps using other markets as an excuse.
 

LPHabsFan

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No matter where they end up Meruelo knows he has to up the level of the ice product. Thankfully he’s got the wallet to do it.

You’re overlooking one thing.

Meruelo is in better position to handle a recession than Ellman and Moyes ever were. Even with those two the Coyotes managed to survive it all.

But keep shoveling the doom and gloom. I’m going to be disappointed if everyone stops.

Ah yes the good ol "he has the money so he is going to stupidly spend it to prop up a distressed asset because of.......reasons". Meruelo based on his history bought distressed assets, pumped some money into them, then for the most part, sold them for a greater ROI. The problem here is that the money that is needed to get this asset into the black is much more than any type of profit he could make later on. And even IF he could be made whole, or get a profit, the NHL doesn't make enough money annually to have that happen so it would have to be through a sale. That's one hell of a long timeline unless it's to sell quickly and as we've seen, owners willing to shell out cash for this team isn't happening.

Even with Meruelo isn't current speculation/rumor that he didn't actually put in any cash but rather just took on the debt?

This is the exact same thing as the Hurricanes. We were all told that Dundon was the savior and he was going to pump in money and be there for the long haul and whatnot. Now we're starting to hear whispers that Karmanos can opt out (under what circumstances we don't know), and that in that situation too, it's questionable how much money he actually put in.

Arizona can be a hockey market and the growth trends are showing that we're well on our way... but man, Arizona is just fickle as hell in general.

Really though can it? Hockey as in youth hockey or hockey as in NHL hockey? Because one is believable while the other is not. I'm going to hold off jumping on to the market trends and growth comment because I'm not sure if you're talking about as a hockey market or NHL. I hope it's the former because if it's the latter....

So you say..... Quebecor wanted to bring in a minority investor when they applied and could not get one. That’s hardly an endorsement of PKP’s wallet or an ability to bring in a new franchise, cover the startup costs and back it over the next 15-20 years.

Look.... I’ve said it multiple times that a franchise in Quebec City would be great. But I’m getting tired of the rhetoric that keeps using other markets as an excuse.

Sorry for picking on you TL......Quebec City would be a decent market. Nothing spectacular but not terrible either especially in the current economic landscape of the NHL. Having said that, I remember listening to Gord Miller on the radio once say something to the extent of "So long as PKP is involved in the situation, the NHL won't go there". So how much of it has to do with Jacobs and his stupidities or PKP and his stupidities? I don't know. But I don't think it's as simple as "pay up or shut up". Especially if you look at the political landscape in Quebec over the past couple of years and what's coming in the near future, there is no way in hell the NHL wants to potentially get involved in that because unlike the Canadiens in Montreal, it would be right on their front steps as it all stems from Quebec City.
 

GuelphStormer

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I mean, I don't even dispute that a greater-than-half percentage of the fanbase lives in Scottsdale and Mesa, but the OIMBY crap really gets me - even more than the hypertraditionalist takes about how we'll never be a hockey market. The OIMBYs are the ones doing the most damage - staying home out of pique and complaining as loudly as they can about demographics and traffic to anyone who will listen.

Arizona can be a hockey market and the growth trends are showing that we're well on our way... but man, Arizona is just fickle as hell in general.
are you saying the arena in glendale is viable?
 

mouser

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I believe few in the US truly are right now. Sorry to sound like "Chicken Little", but I have grown over the last year+ extremely concerned that (unlike... say Québec that is having good growth while currently running also a surplus and carefully managing it's finances) the current overheated American Economy is in fact a massive unsustainable bubble artificially inflated by low interest rates and insane deficit spending (over a Trillion dollar deficit out of an around 4.5 Trillion budget this year).

Austrian economics aren't correct about everything... but they are in my opinion absolutely right when they state that (to quote the edit in my first post) "Unemployment and idle resources stem from a previous unsustainable episode of easy money and artificially low interest rates.".


Basically, the American economy is heading for a bad recession... and will find it difficult to get out of it because their debt load will be high when they enter it at the current rate of borrowing.

In 2008 massive stimulus saved the day. Unless the American Government makes the hard decisions to balance the budget now (like Québec did over the last few years)... I see the US having a much harder time getting out of the hole next time (a hole partly of their own creation; by too low interest rates and deficit spending artificially inflating the economy, setting it up for trouble).

If the American economy is headed for a bad recession then Quebec and pretty much all of Canada is going to get dragged along, not to mention most of the global economy.

I had similar thoughts in 2008 about US currency, but in hindsight what happened is most other global economies tanked alongside the US and the currency exchange rates largely remained on historical paths.
 
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