Calgarypuck Forums - The Unofficial Calgary Flames Fan Community - View Single Post - [News] Ken King: Flames' owners no longer pursuing new arena with City of Calgary

Lanny_McDonald · 09-13-2017, 03:02 PM

Just listened to Mayor Nenshi's comments. I think this was a fair response and he did nothing to inflame a bad situation. He did say much of what I thought he would say, and that it does come down to his vision of the entertainment district. He clearly stated that the Flames asked for an articulation of the entertainment district plan, and Nenshi stated he did (its on his website). This coupled with the problems in revenue recovery for the city are probably what drove the Flames away from the table.

If there is a resolution to reached I suspect it is going to come down to these issues:

1) Flames need more say and control over the development of the entertainment district. This is a big chunk of coin that they could have a piece in, while the city maintains their revenue from taxes on these sites. This was one of the main drivers behind the WV, and should also be in play in the EV. The site in question is really limited in this regard.

2) The city needs to be realistic on revenue recovery. I think the recovery was focusing on revenues/profits, which may not be allowed under the current CBA. I have a feeling this is why Gary Bettman was in town, to deliver the message from the league that the proposed model was not acceptable under the existing CBA. I think this is something that may be a sticking point.

They appear to be close to a deal, but I sense frustration from both sides. I think the Flames are frustrated because they are being asked to give up the hopes of developing a great entertainment district with serious development possibilities. I think the city is frustrated because they are asking for a recovery schedule based on revenues and profits, and the Flames are likely saying they can't do it, and the city feels otherwise. I hope they can work past both these issues. The city needs understand the the terms of the recovery strategy may be beyond their control. The Flames need to understand that the entertainment district may not be in the cards. If there is some give and take in these two areas, a deal may still be possible. If not, we're likely at a deal killing impasse.

09-13-2017, 03:02 PM	#1152
Lanny_McDonald Franchise Player Join Date: Mar 2013 Exp:	Just listened to Mayor Nenshi's comments. I think this was a fair response and he did nothing to inflame a bad situation. He did say much of what I thought he would say, and that it does come down to his vision of the entertainment district. He clearly stated that the Flames asked for an articulation of the entertainment district plan, and Nenshi stated he did (its on his website). This coupled with the problems in revenue recovery for the city are probably what drove the Flames away from the table. If there is a resolution to reached I suspect it is going to come down to these issues: 1) Flames need more say and control over the development of the entertainment district. This is a big chunk of coin that they could have a piece in, while the city maintains their revenue from taxes on these sites. This was one of the main drivers behind the WV, and should also be in play in the EV. The site in question is really limited in this regard. 2) The city needs to be realistic on revenue recovery. I think the recovery was focusing on revenues/profits, which may not be allowed under the current CBA. I have a feeling this is why Gary Bettman was in town, to deliver the message from the league that the proposed model was not acceptable under the existing CBA. I think this is something that may be a sticking point. They appear to be close to a deal, but I sense frustration from both sides. I think the Flames are frustrated because they are being asked to give up the hopes of developing a great entertainment district with serious development possibilities. I think the city is frustrated because they are asking for a recovery schedule based on revenues and profits, and the Flames are likely saying they can't do it, and the city feels otherwise. I hope they can work past both these issues. The city needs understand the the terms of the recovery strategy may be beyond their control. The Flames need to understand that the entertainment district may not be in the cards. If there is some give and take in these two areas, a deal may still be possible. If not, we're likely at a deal killing impasse.