Part XVI: Phoenix -- Money for Nothing

[Fugu]

....your hockey team for free.

Mark Hulsizer, let me tell, that guy ain't dumb.


Part XV: http://hfboards.com/showthread.php?t=849798

Click to read more...

 

[MoreOrr]

LOL... Got the jump here, Fugu. You liked your thread title idea and wasn't about to let anyone else start the thread differently.

 

[Fugu]

LOL... Got the jump here, Fugu. You liked your thread title idea and wasn't about to let anyone else start the thread differently.

Hey, the Evil Doctor backed me up!


(I need to leave in ten minutes, so someone had to make the tough call. )

 

[Evil Doctor]

Hey, the Evil Doctor backed me up!


(I need to leave in ten minutes, so someone had to make the tough call. )

There was a lot of good choices out there but this one just...sang... to me....

 

[AllByDesign]

Quote:
Originally Posted by MoreOrr
LOL... Got the jump here, Fugu. You liked your thread title idea and wasn't about to let anyone else start the thread differently.

Hey, the Evil Doctor backed me up!


(I need to leave in ten minutes, so someone had to make the tough call. )

New avatar... old Fugu... Good to have ya back!

 

[MoreOrr]

New avatar... old Fugu... Good to have ya back!

Exactly! I was thinking to post a comment to him saying that I hadn't seen him around for it seemed like 2 months... So Yes, Fugu, nice to see you back and posting/Moderating.

 

[Evil Doctor]

I am no where near as knowledgeable about business as most of the posters on here, so perhaps some others can help me with this. I think I get most of the pitfalls the COG will face if this goes wrong for them, but for Hulsizer, selling the parking and naming rights, isn't he removing a substantial chunk of revenue for the Coyotes, leaving them perhaps in worse situation financially? The only thing I can think that Hulsizer is doing is taking the lump sum payment and creating a hedge fund and using the returns on that as a source of revenue for the team.

 

[AllByDesign]

I am no where near as knowledgeable about business as most of the posters on here, so perhaps some others can help me with this. I think I get most of the pitfalls the COG will face if this goes wrong for them, but for Hulsizer, selling the parking and naming rights, isn't he removing a substantial chunk of revenue for the Coyotes, leaving them perhaps in worse situation financially? The only thing I can think that Hulsizer is doing is taking the lump sum payment and creating a hedge fund and using the returns on that as a source of revenue for the team.

Look at it from this angle. MH can make an immediate purchase transaction of $70 million to buy the team. He then also has $17 million of losses covered for each season. Is that a good deal? I think in the long run it is the best pro sports offer ever made to operate a franchise. I think when MH gets out of this he will have made a tidy sum, and the COG would have crippled themselves in an effort to provide this for him.

 

[CBJ goalie]

Looks like there could be some P.O'ed Arizonians at the council meeting tonight:
http://www.city-data.com/forum/phoenix-area/1146899-glendale-spend-100-million-tax-dollars.html

 

[David_99]

....your hockey team for free.

I want my.... I want my.... I want my CFD.

 

[cheswick]

I am no where near as knowledgeable about business as most of the posters on here, so perhaps some others can help me with this. I think I get most of the pitfalls the COG will face if this goes wrong for them, but for Hulsizer, selling the parking and naming rights, isn't he removing a substantial chunk of revenue for the Coyotes, leaving them perhaps in worse situation financially? The only thing I can think that Hulsizer is doing is taking the lump sum payment and creating a hedge fund and using the returns on that as a source of revenue for the team.

He's trading the certainty of getting $100 million for the possibility of maybe getting that money over 25 years. So no, he's much better off taking the money than the ability to charge for parking.

 

[kdb209]

Rollin' Rollin' Rollin'

Keep movin', movin', movin',
Though they're disapprovin',
Keep them threads a movin' Rawhide!
Don't try to understand 'em,
Just rope and throw and grab 'em,
Soon we'll be living high and wide.
By my post counts calculatin'
We will all still be waitin', be waiting at the end of this ride.

Move 'em on, head 'em up,
Head 'em up, move 'em out,
Move 'em on, head 'em out Rawhide!
Post 'em out, read 'em in
Read 'em in, post 'em out,
Cut 'em out, paste 'em in Rawhide.

05-05-2009 Balsillie puts in $212.5 mil offer for the Coyotes
05-07-2009 Balsillie/Phoenix part II
05-18-2009 Balsillie/Phoenix part III
05-22-2009 Balsillie/Phoenix part IV
06-03-2009 Balsillie/Phoenix part V
06-09-2009 Balsillie/Phoenix Part VI
06-12-2009 Balsillie/Phoenix Part VII: I'm just waitin' on a judge
06-16-2009 Balsillie/Phoenix Part VIII: It's dead, Jim
06-24-2009 Balsillie/Phoenix Part IX: 'Dorf on Hockey
07-25-2009 Phoenix bankruptcy/ownership Part X: The Truth? You Can't Handle The Truth!
08-03-2009 Phoenix bankruptcy/ownership Part XI: A Fistful of Dollars?
08-07-2009 Phoenix bankruptcy/ownership Part XII: For a Few Dollars More
08-12-2009 Phoenix bankruptcy/ownership Part XIII: The Good, The Bad, and The Ugly
08-21-2009 Phoenix bankruptcy/ownership Part XIV: The Wrath of Baum
08-27-2009 Phoenix bankruptcy/ownership Part XV - SITREP: SNAFU
09-02-2009 Phoenix bankruptcy/ownership Part XVI: Barbarian at the Gate
09-08-2009 Phoenix bankruptcy/ownership Part XVII: Wake Me Up When September Ends
09-10-2009 Phoenix bankruptcy/ownership Part XVIII: Is that a pale horse in the distance?
09-12-2009 Phoenix bankruptcy Part XIX: How I Learned to Stop Worrying and Love the Baum
09-21-2009 Phoenix Bankruptcy Part XX: There Will Be Baum
09-28-2009 Phoenix Bankruptcy Part XXI: 2009 -- A Sports Odyssey
10-26-2009 Phoenix Bankruptcy Part XXII: Long and winding road

11-24-2009 Keeping up with potential owners for NHL Phoenix Coyotes (UPD: Ice Edge signs LOI)
03-14-2010 Part II. Potential owners of NHL's Phoenix Coyotes
03-26-2010 Part III. Prospective Owners - Phoenix Coyotes (UPD Lease vote 4/13; IEH signs MOU)
04-10-2010 Part IV Phoenix Coyotes post bankrtuptcy; UPD COG approves Reinsdorf MOU, not IEH MOU
05-02-2010 Part V Phoenix Coyotes post bankruptcy UPD Reinsdorf out? IEH back in? else Winnipeg?
05-11-2010 Part VI Phoenix Coyotes post bankruptcy
05-23-2010 Part VII Phoenix Coyotes post bankrtuptcy
06-07-2010 Part VIII: Phoenix Coyotes Post-bankrtuptcy
06-22-2010 Part IX: Phoenix Coyotes Post-bankruptcy UPD: Pres Moss fired 6/30 with IEH input
07-26-2010 Part X: Phoenix Coyotes - Between Scylla and Charybdis
08-27-2010 Part XI: Phoenix Coyotes -- Greetings, Starfighter, You have been selected ...
09-16-2010 Part XII: Phx Coyotes - Still haven't found what I'm looking for
10-12-2010 Part XIII: Phoenix Coyotes - The Final Cut?
10-27-2010 Part XIV: Phoenix Coyotes - To Infinity And Beyond....
12-05-2010 Part XV: Phoenix - the battle of evermore
12-14-2010 Part XVI: Phoenix -- Money for Nothing

and only III more threads until our "XIXth Nervous Breakdown"

 

[cbcwpg]

I want my.... I want my.... I want my CFD.

No need for a CFD when the CoG will be cutting $17M cheques ( or more when they renegotiate the arena management fees in 5 years ) for Hulsizer for the life of the lease.

 

[TaketheCannoli]

Because it's just wrong?

Here's the new thread, so answer me there, but how does losing even more money benefit Glendale? The business/financial case has yet to be made as to why COG would do this. They really would be better off buying the team themselves.

I may disagree with the financial decisions made by Glendale, but I don't pay taxes there. I may or may not buy their bonds. If I don't I just have no horse in this race. I'm not sure why anyone with no vested interest would be so emotionally involved.

 

[King Woodballs]

dshoalts Goldwater Institute warns Glendale it's against arena lease: "It appears to grant an unconstitutional subsidy to the Coyotes." More coming.

Shoalts!

 

[peter sullivan]

Looks like there could be some P.O'ed Arizonians at the council meeting tonight:
http://www.city-data.com/forum/phoenix-area/1146899-glendale-spend-100-million-tax-dollars.html

thats hilarious....its like its the first time any of them have heard about this....and these are the citizens who care enough about politics to post on a forum about it.

the public slumber on this issue absolutely shocks me....when they tried to save the jets with public money, the uproar was front page news every day.

 

[Wham City]

@brahmresnik BREAKING #Coyotes: Goldwater atty says $97M pmt for arena management appears 'grossly disproportionate' to fair market value.

 

[cbcwpg]

@brahmresnik BREAKING #Coyotes: Goldwater atty says $97M pmt for arena management appears 'grossly disproportionate' to fair market value.

Like someone posted the other day... Arena Management has to be the target for Goldwater. Even though $100M for parking is high, when you do the math it comes close to being almost acceptable, buy $17M a year ( $97M total ) for Arena Management, when other arenas are paying a fraction of that for the same service.

 

[peter sullivan]

^ yeah thats the stickler if you ask me.....as i said before.....it will continue forever which makes it by far the most crippling part of the deal for taxpayers....it sets a dangeroous precedent that they will never be able to step back from.

if the deal was done so that glendale paid matty $17m a year for the next 23 years the headlines would be 'glendale gives $500m to coyotes owner'...they will have to pay someone to run the arena for that entire time...the price is never going to go down.

if it is that unreasonable in a 23 year contract what makes it any more reasonable because it is broken down into 5 year pieces?

 

[Evil Doctor]

dshoalts Goldwater Institute warns Glendale it's against arena lease: "It appears to grant an unconstitutional subsidy to the Coyotes." More coming.

Shoalts!

...and so it begins...

Where's my popcorn?

 

[MHX]

And it begins.... Tonight is going to be very interesting...

Edit: Didn't see the above post.

 

[David_99]

No need for a CFD when the CoG will be cutting $17M cheques ( or more when they renegotiate the arena management fees in 5 years ) for Hulsizer for the life of the lease.

True, but it's what the tax payers will be crying if this thing goes through...

 

[King Woodballs]

I wasnt going to watch the council meeting tonight... but I might have too now

 

[aj8000]

dshoalts Goldwater Institute warns Glendale it's against arena lease: "It appears to grant an unconstitutional subsidy to the Coyotes." More coming.

Shoalts!

Doesn't look like they are trying too hard

 

[King Woodballs]

oh man after reading the letter
Glendale is ****ed IMO