Also in the tweet thread.
Where else could a new arena possibly go downtown? Bigger question is, who on earth can partner with him to make another location (or Lebreton 2.0) happen?
Curious. If somebody else builds an arena downtown and starts to take events away from the CTC, how much would it affect Melnyk to have another arena in town competing for business?
It depend on if he's getting RS or not. Do they want to prop up another team? Especially one that the league might feel that if it were properly managed it would not need propping up.Melnyk holding down potential new league revenues affects the other owners only very minimally. They don't get a take from his tickets. They only get a piece of the merchandising (and none if it's a Senators store). The TV won't change. etc. It's only affecting him, really.
On LeBreton Flats, Ottawa’s downtown-arena plan: One of the rumours coming out of the partnership’s dissolution would be starting the project under what is called “the Donut Plan.” That would mean development of the retail/condominium properties with a hole where the arena could eventually go. What no one says with any certainty is if that can happen without a full re-start of the process, and we probably won’t know for at least another week. The other major question is if the federal government will hold things until after the upcoming election. (That’s been assumed for awhile now, but no 100 per cent guarantee.) If fans stay away, that increases the revenue-sharing owed to the Senators. Eugene Melnyk loves owning the Ottawa Senators. And, even if he wanted to sell, the $400 million (USD) offered last summer won’t get past the league office.
I wonder. There's talk of a "donut" approach where the new developer goes ahead with the project but leaves a "hole" left reserved for an arena. That would leave their options open for some kind of resolution that could include the Sens in the future.Probably drastically, but it's not likely to get that far. It's not financially feasible for someone else (DCDLS) to build an arena at Lebreton without the Sens in hand as the main tenant.
We'll get a better idea on March 7th, when the NCC meets publicly to determine next steps. Maybe the rights go to the runner up (DCDLS), who openly wants an arena, and to own the Sens. Maybe Ruddy is now involved with DCDLS on this second go?
As always with this stupid process, there are more questions than answers.
I wonder. There's talk of a "donut" approach where the new developer goes ahead with the project but leaves a "hole" left reserved for an arena. That would leave their options open for some kind of resolution that could include the Sens in the future.
If that's the case and Melnyk still refuses to cooperate, the next step would be to build the arena (or threaten to build it) and compete directly with the CTC. Just not sure how much business Melnyk would lose in that scenario.
31 Thoughts: How Golden Knights won the Mark Stone sweepstakes - Sportsnet.ca
Friedman with some specifics
So, apparently, the league isn't interested in a sale price on the Sens of less than $400m. (Perhaps north of $500m?)
Or they would threaten to not build it, which in a way would be just as detrimental. I think everyone believe there's no way Eugene is building an arena somewhere else in the city (like he alleges he's looking into), so shutting the door completely on Lebreton would be a bit of a killing blow for the Sens.
The problem with Gatineau is public transportation and moving game day crowds in and out of the area efficiently. The big plus of the Lebreton site is not only its central location but also its proximity to two LRT lines.It depend on if he's getting RS or not. Do they want to prop up another team? Especially one that the league might feel that if it were properly managed it would not need propping up.
Note: Crazy idea come to mind, but if you want to be closer to downtown Ottawa you could find some land in Gatineau or Hull.
Is this really a surprise. They just charged Seattle $650M and a year or two ago Vegas another $500M.
Sport franchise values are about 95% speculative*, so the league sticking to a minimum sale price is a given.
* No one will make me gob that LA Clippers were really worth $2B. Ballmer paid that price because he could and he would. Everything else just followed.
Can't blame them. What would the franchise value be in LeBreton versus in Kanata??? According to what I see people say it'd be a hell of a lot more.
Is this really a surprise. They just charged Seattle $650M and a year or two ago Vegas another $500M.
Sport franchise values are about 95% speculative*, so the league sticking to a minimum sale price is a given.
* No one will make me gob that LA Clippers were really worth $2B. Ballmer paid that price because he could and he would. Everything else just followed.
If that number includes debt then yes, it’s low. I also wonder if Melnyk has taken advantage of NHL debt financing and that they are now a creditor. Could the purchase proposal have included relief of any NHL debt? Could explain why Melnyk might have been a yes but the NHL a no.
If it didn’t include the debt then you are looking at 400 mil + 150-250 debt + 500 mil for a new stadium.
400 may be low but 1b is probably a little much a owner coming into a Small market.
Don’t know what the NHL does here other than ask the City for more money, agree to a below market price, or wait for Melnyk to declare bankruptcy.
But no way they can sell the suites at the same price as team in LA or San Jose.Sure, 1B is a lot of cash for any market, not just small markets.
Besides, can anyone define what a small market is ? Because a city with 1M or less of population, that charges the same or bigger prices than Los Angeles for hockey, that fills its barn day in day out...I don't define that as a small market.
The problem with Gatineau is public transportation and moving game day crowds in and out of the area efficiently. The big plus of the Lebreton site is not only its central location but also its proximity to two LRT lines.
Bettman has to be confident. He's employed by Melnyk. If he didn't show confidence in ownership he wouldn't have a jobhttps://www.tsn.ca/bettman-denies-possibility-of-sens-moving-is-confident-in-melnyk-1.1268794
Bettman gets paid to be confident in Melnyk
https://www.tsn.ca/bettman-denies-possibility-of-sens-moving-is-confident-in-melnyk-1.1268794
Bettman gets paid to be confident in Melnyk
Bettman maintained that he and the league will not interfere in the Senators' affairs unless the situation called for it.
"I haven't been asked to step in and we'll always help when it's appropriate and we're asked," he said.
TRANSLATION - As long as the Senators meet payroll we won't get involved.