A Take on the Coyote Situation **UPDATED**

by Redwing77

Ok, what a debacle this is... and..well.. after reading a few articles here and there, it may seem like this situation is nothing more than a lose-lose-lose situation for every side.

If I read what was commonly available, if Glendale were to be fiscally responsible, then they shouldn't have gotten involved with the team and arena to begin with.

Over the last two years, the arena has lost MILLIONS in revenue, and projects to lose even more than last year by the end of the current fiscal year.

So, the City of Glendale is a loser in this deal.  The team is a loser in this deal because, despite a loyal fanbase, it doesn't make money in Glendale.  And the fans are losers because they are backing a dying horse as it rounds the final bend towards the finish line...an inexorable departure from Arizona.

This leaves me to another "hindsight is 20/20" declaration:  The team should never have left Winipeg.

Is it this cut and dry?  Simplified to be sure but essentially, yes.

The City Council and the Arena didn't plan well, didn't borrow well, and didn't negotiate well.  Arizona Coyotes organization is the primary tenant in the deal, so they're the primary culprit.  Alone, in 2013-2014, the Coyotes lost the city over $8 million.  Up through April alone, the city has lost over $6.3 million in revenue between the Coyotes and other events at the Arena.

So, in essence, it comes down to money.

My take as a result of this?

The Coyote franchise, like the Florida Panthers, are a dying franchise in a "large on paper" market.  In other words, what should be there in market share, isn't.

As an aside, I hope the NHL is paying attention to this as far as other new sites for teams is concerned because I think the very same thing could happen if they move a team to Seattle.

It's time to move.  I've never been a fan of expansion and I've come out in favor of contraction in the past.  My opinion is to still not expand, but to continue to relocate troubled franchises towards places that are either a safer investment (Hamilton, ON and Quebec City, Quebec) or places with a lot of infrastructure already in place to help it succeed (Las Vegas).

I feel REALLY bad for the season ticket holders of the Coyotes as they're the 'biggest losers' in the whole deal.  If the team stays, they'll have to bear a bigger brunt of the load, as tickets would have to increase to guarantee better revenue.  If the team goes, well... at least they'll have more disposable income.

My prediction:  The team moves to Las Vegas, the City of Glendale is further obliterated by bad press, and the entire City Council is voted out in the next election.

***UPDATE***

Today, a Judge granted an injunction filed by the Coyotes that prevents the Council from voiding the contract...at least temporarily.  Here are the details of what went down.