Ownership Cluster**** Thread: NHL and GJ, Put Up or Shut Up!
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10-01-2012, 07:12 PM
Join Date: May 2010
Originally Posted by
Because if the city does end up in a Chapter 9 BK he may not see all the $325 million.
Remember Whilleee... more everyone on the BOH board has been opining since the beginning that BKs will get you out of everything.
But owning the building on top of the team adds a ton of value.
I just can't see any way that in the event of a Glendale bankruptcy Jamison would see his best option being shelling out to purchase the arena and then carrying the freight for the arena, arena management and the Coyotes. Based on all of the negotiations thus far, it seems that none of the prospective owners, including Jamison, have an interest in a lease without a substantial AMF to subsidize the Coyotes operations. Consider, for example, whether you think Jamison would be willing to take the Jobing.com arena (for free) instead of the $325 million in AMF. He already in effect will own all of the value of the arena because he gets almost all of its revenues, so he would basically be foregoing $325 million in revenue without anything of additional value in return.
No, I think that if Glendale defaults on the AMULA and stops the AMF payments, Jamison's move will be to either sell the team for a profit or break-even price, or have the right to relocate to a lucrative market. I expect that he will have sought some assurances from the NHL that he will have those options open to him if Glendale crashes and defaults.
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