Just as Arizona Coyotes owner Alex Meruelo was gearing up to bid on a potential arena site in north Scottsdale in a week from now, those hopes of reactivating the dormant franchise have suffered a major blow that may seal the fate of NHL hockey in the Valley.
Thank you for reading this post, don't forget to subscribe!No auction, no other concrete site of land for Coyotes
According to a press release by the Arizona State Land Department, the applicant of the site, Miracle Development LLC. – who is the Coyotes’ group – was dealt the news that the land auction on June 27 on the northwest corner of Loop 101 and Scottsdale Road near Desert Ridge Marketplace has been canceled.
“After much consideration, the Arizona State Land Department (ASLD) has determined that it is in the best interest of the Trust to cancel the auction and reorder the steps,” the ASLD said in a release. “ASLD recently confirmed that the proposed arena use will require a Special Use Permit, and as a result, we are requesting that the applicant file for and receive a Special Use Permit prior to the auction. This affords the applicant and ASLD certainty that the applicant can build what it intends to build for its anchor tenant. It is not uncommon for ASLD to require applicants to secure zoning/use permits prior to auction.
“We understand the delay in an auction is a disappointment for our applicant and members of the public, but the change in timing is the prudent decision for the Trust. ASLD remains open to working with our applicant to bring the land forward to auction in the future if a special use permit is received.”
For the past two seasons, the Coyotes had to play at the 4,600-seated Mullett Arena, home of ASU Hockey. Before then, the ‘Yotes’ old home was Gila River Arena (now Desert Diamond Arena) in Glendale before the team and city parted ways.
This is yet another twist to the dramatic situation surrounding the Coyotes. From multiple failed ownerships over the years to unpaid bills in Glendale resulting in the team being threatened to be locked out of the arena, the organization has yet to find a stable home in the desert.
The failed $2.1 billion arena district in Tempe put Meruelo and the Coyotes in the hot seat as the NHL wanted a resolution. Mullett Arena was only a “temporary solution.”
Time was ticking before the eventual sale of the team to Ryan and Ashley Smith, owners of the Utah Jazz in the NBA, after Meruelo couldn’t guarantee Bettman that he had land lined up.
“I agree with Commissioner Gary Bettman and the National Hockey League, that it is simply unfair to continue to have our players, coaches, hockey front office and the NHL teams they compete against, spend several more years playing in an arena that is not suited for NHL hockey,” said Meruelo in a press release regarding the sale. “But this is not the end for NHL hockey in Arizona. I have negotiated the right to reactivate the team within the next five years, and have retained ownership of the beloved Coyotes name, brand and logo. I remain committed to this community and to building a first-class sports arena and entertainment district without seeking financial support from the public.”
While the Coyotes will not be taking to the ice for the foreseeable future and maybe ever again in Arizona, the NHL gave Meruelo a five-year timetable to reactivate the team. Meruelo still owns the name, logo and other rights to the team, but the players, staff and other personnel are going to represent the new team, Utah Hockey Club.
Coyotes respond, leaving more questions than answers
Before the cancelation, Meruelo set his sights on bidding on a 110-acre parcel of land up for auction to hopefully build an arena district. The Arizona State Land Department Board of Appeals previously agreed in March that the site would have a $68.5 million appraisal.
Now that this auction is nixed, the Coyotes released a statement claiming that they will weigh legal options with the cancellation but there is no mention if this land is the last site they will explore.
“Today, after over a year of planning and meeting every obligation required under Arizona law, the Arizona State Land Department unilaterally canceled the auction that was scheduled to occur on June 27th for the site that has been identified as the future home of the Arizona Coyotes,” the team said on X (formerly Twitter. “This unprecedented action by the State of Arizona seriously jeopardizes the future of NHL hockey returning to the desert. As was announced in an April press conference by Coyotes owner Alex Meruelo and NHL Commissioner Gary Bettman, the site of North Scottsdale Road and the 101 was identified as ideally suited to build a 110-acre mixed use development anchored by a state-of-the-art arena to serve as the home of the Coyotes. It has been made very clear to the State of Arizona that the Coyotes are fully committed to building out the infrastructure, going through the necessary approvals and developing the site into a world class destination, yet the ASLD has canceled the auction despite the objections of the Coyotes less than a week before the scheduled auction date.
“The organization has worked in good faith with the ASLD and has been on track to win the auction next week until the sudden reversal by ASLD today. By canceling the land auction, the state is forgoing millions, and potentially billions of dollars that would have gone directly to K-12 education. By investing in the infrastructure of this site, the Coyotes would have unlocked over 2,000 acres of state land for development that would have returned over $2 billion to Arizona schools, created thousands of construction and permanent jobs and created a new significant tax base to support the future growth of our state. The Arizona Coyotes are exploring all of our legal options given this
shortsighted decision by the State.”
Statement from the Arizona Coyotes. pic.twitter.com/EMOd9AuH1P
— Arizona Coyotes (@ArizonaCoyotes) June 21, 2024
Time will tell if Meruelo has another trick up his sleeve or if this is the final straw. There are no indications that there is another site they are considering after the news, raising concerns that this may be it.
Meruelo has been adamant that he wants to bring the ‘Yotes back even though there is a portion of fans who have lost trust in both him and team President and CEO Xavier A. Gutierrez as a result of what has transpired over the years.
Alex Meruelo has failed this state.
— ???? Mr. Az (@MrAzSports) June 21, 2024
I don't need details, or confirmation, all I need is Xavier Gutierrez out of Phoenix. I challenge anyone – I'm looking at you @JeffMarek – to find any person who failed more spectacularly on the business side of a professional hockey franchise. He is failure personified. https://t.co/DwNRoWQBcq pic.twitter.com/KLg7a4kATP
— Todd in Phoenix (@toddinphx) June 21, 2024
lol. The Meruelo Group are pathetic
— techno-Zen (@TechnoZen36) June 21, 2024
Coyotes fans have faced so much uncertainty and pain for decades and even with Friday’s news, there are more questions than answers about what is going on through this saga.
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Reporter Alec Cipollini covers ASU Athletics, Phoenix Mercury and more for Burn City Sports. You can follow him on his X account, @AlecCipollini
