The City of Glendale is opting out of its joint lease agreement with the Arizona Coyotes
The Arizona Coyotes will need a new home after the 2021-22 season.
According to Katie Strang of The Athletic, the City of Glendale is opting out of the joint lease agreement for the Gila River Arena, meaning the Coyotes will need to find a new home for the 2022-23 season and beyond.
The lease currently operates on a year-by-year basis and can be terminated by either the city or the Coyotes with written notice before Dec. 31. The termination notice from the city comes after negotiations for a long-term lease agreement and renovations stalled along with multiple notices of outstanding balances that the team owed.
As of July 17, the Coyotes reportedly owe $1,462,792 to the arena.
“Last year, due to the pandemic, we agreed to forgo a significant amount of the money owed to the arena. In doing so, the Coyotes agreed they would keep current with all future financial obligations under their lease agreement,” City Manager Kevin Phelps stated in a letter. “That has not occurred.”
“What we think is not being tethered to the Coyotes really allows us to take the asset of the arena and do something really special with it,” Phelps said.
There’s no word yet on what the Coyotes will do moving forward. Houston Rockets owner Tilman Fertitta has expressed interested in bringing another NHL team to Texas, while Quebec City has applied for an expansion franchise. Houston would be a sensible move for the Coyotes, as they’re set to join the Dallas Stars in the Central Division in 2021-22.