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Leagues and Governing Bodies

NHL's Bettman Closes Door On Possibly Expanding Bid Deadline For Seattle, Toronto

The NHL's expansion deadline last week saw only two groups come forward with bids, and NHL Commissioner Gary Bettman said other potential applicants "had expressed not only an interest but a belief that they were further along than they were," according to Amalie Benjamin of the BOSTON GLOBE. Bettman said, "We for so long had been getting expressions of interest and I didn’t want to be in an ongoing situation where communities were being led to believe that things were possible that weren’t likely. And by doing Phase One of the process the way we did, we made it clear who was real and who wasn’t, and that way the other communities can not be subjected to expectations that weren’t realistic.” Despite speculation that the deadline could be extended for groups from Seattle, Bettman said that this "would not happen." Asked if the door was closed on teams that had not submitted applications, Bettman referenced Las Vegas and Quebec City and said, “Yeah. ... We’re focused on the two bona fide applications.” He added, "We have no intention of relocating any franchises. This is not a relocation process. If it happens at all, this is purely an expansion process." Benjamin noted one option for the '17-18 season, though "not optimal, would have Quebec City playing in the West to even out the conferences." Bettman: "That's something we would obviously have to consider. The experience with Winnipeg in the Southeast [Division] was less than ideal. ... So geography is an issue. But the fact that we identify it as an issue doesn't mean we've reached a conclusion. It means it's one of the things that has to be considered." Meanwhile, Benjamin noted the Canadian dollar "dropped to 76.70 centers to a US dollar on Wednesday, the lowest it has been" since '04. Bettman said, "It’s something the process will have us evaluate. We’ll have to see. ... The Canadian dollar, it tends to get overstated" (BOSTON GLOBE, 7/26).

SLEEPLESS NIGHTS: In Seattle, Geoff Baker cited recently released documents as showing that promoters of a failed NHL effort in Bellevue had "pitched city officials on creating a sports and entertainment district adjacent to a proposed new arena for the city’s Wilburton district." Bellevue officials and the NHL promoters "discussed the merits of similar sports and entertainment projects" surrounding Staples Center, Gila River Arena and an ongoing $1B development outside Amalie Arena. Arizona-based IntraVest Development and former New Orleans Hornets Chair Jac Sperling, along with IntraVest Founding Partner Mason Cave, "pitched the Bellevue officials ... on the merits of the 'L.A. Live' district." They discussed how Staples Center involved “no public investment” but that developers did receive infrastructure “incentives” from local government, with one example being a parking garage. But all three Seattle-area groups "balked at submitting their applications by last Monday’s deadline." Sources indicated that major financial backers "pulled out of the Bellevue and Tukwila projects earlier this month, while the Sodo project’s NHL partner," Hudson Pacific Properties President, CEO & Chair Victor Coleman, "changed his mind about applying late last week." There has been "speculation some of those groups might have felt they could land a relocated team at a cheaper cost" than the $500M price for an expansion franchise. But the most likely of those candidates, the Coyotes, on Friday announced a "reworked two-year lease with the city of Glendale -- ending litigation between them and shelving any relocation possibility" until '17 (SEATTLE TIMES, 7/25).

CANADA DRY: A GLOBE & MAIL editorial stated the NHL "appears eager to avoid Quebec City, or any other location" in Canada, despite Quebec's new Videotron Centre. At first glance, Quebec City’s bid "ticks all of the league’s boxes: deep-pocketed corporate owner, ready-made television deal, rabid fan base and, of course, a state-of-the art arena, gifted by taxpayers." But it "might not matter." Bettman and the league's owners "seem strangely preoccupied with restoring conference balance." There is a "widely held belief that, even though a Quebec team would be an immediate success, the league would rather save the city as a fallback solution, to be used when a struggling Sunbelt club is at death’s door" (GLOBE & MAIL, 7/25).

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