Tempe To Negotiate With Coyotes On Proposed $1.95B Arena Project

TEMPE, AZ — The Tempe City Council voted 5-2 Thursday night to begin negotiations with the developers of a proposed arena for the Arizona Coyotes on city land, along with accompanying commercial and residential developments.

Voting against entering into negotiations were council members Lauren Kuby and Doreen Garlid.

During the meeting on Thursday, 250 members of the public commented on the proposal either in person, virtually or via comment card.

Tempe issued a request for proposals for a professional sports entertainment district last July, and it received one proposal, by the Meruelo Group and the Arizona Coyotes.

Since then, according to a news release from Tempe, the city has been analyzing the proposal which includes a professional hockey arena, hotels, offices, shops and housing on 46 acres of city land on the northeast corner of Rio Salado Parkway and Priest Drive for an estimated cost of $1.95 billion.

Critics previously expressed concern that the development is proposed to be constructed too close to Sky Harbor Airport's central runway, potentially causing flight delays and impacting line of sight for pilots.

Aviation officials also previously said that a residential high rise building planned for the development violates an intergovernmental agreement between Phoenix and Tempe, according to Fox 10's reporting.

The Coyotes had spent the last 19 years at the Gila River Arena in Glendale and had been leasing it on an annual basis since the Glendale City Council voted to opt out of a multimillion-dollar long-term deal in 2016, the Associated Press reported. Glendale announced last August that it would not renew the lease past the 2021-22 season, and the Coyotes played their last game there in April.

The Coyotes are set to play at Arizona State University's multipurpose arena for the next few years until they find a permanent landing spot.