The Arizona Coyotes may return, but it will be without Alex Meruelo. News emerged on Monday via Craig Morgan and PHNX Sports that Meruelo was walking away from the ownership group of the dormant franchise. Initially, there was a time period of five years for Meruelo to perhaps gain access to an NHL arena, however, this news seems to close the door on that chapter.
BREAKING:
It’s over. Multiple sources confirm to @PHNX_Sports that Alex Meruelo is walking away from his ownership of the Coyotes.https://t.co/vqAaIjsCkr
— Craig Morgan (@CraigSMorgan) June 25, 2024
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Alex Meruelo Moves on From Coyotes Ownership
Meruelo was hoping to revive the Coyotes in the future. Moreover, his plan to purchase land fell through after the land auction was canceled. Team officials were eying a 110-acre tract of land in North Phoenix that would be the nomadic franchise’s home. Furthermore, the auction for the spot valued at nearly $70 million was pushed back to the summer.
Coyotes ownership had previously decided to heed the league’s advice and sell to Utah Jazz owner Ryan Smith in April. The team and its assets became property of the now Utah Hockey Club and will play in Salt Lake City, Utah.
Meruelo was allowed to retain the name, logo, and all the other trademarks to bring back the teams as an expansion team. However, that was if a new arena was built within five years. Meruelo would have had to pay back the $1 billion that he got when he sold the team if the team was reactivated within the five-year window.
Media outlets confirmed that ownership met with the last of the Coyotes staff on Monday and told them they would likely end operations within the next month. However, there’s no word on the fate of the Tucson Roadrunners, which was the team’s AHL affiliate.
What It Means
Hockey in the desert may not be dead, but it may be a while before we see another attempt. If the franchise does fold, it means that the state could be in play for a future expansion team. The NHL does have 32 teams with eight teams distributed evenly across four divisions. Expansion could throw that out of sorts, but the league could do a divisional realignment to make things fit. Alternatively, there is always the possibility of expanding by two teams. This would allow for 34, which is easier due to the more logical division re-alignment sequencing.
Perhaps this could put to bed the snake-bitten saga of the team. The club has been in turmoil for a number of seasons after the City of Glendale opted not to renew its contract with the team to play at Gila River Arena. This trouble started in the 2021-22 season.
Voters also rejected a possible entertainment district that would have included an arena in Tempe, Arizona in early 2023. The team had been playing in the 4,600-seat Mullet Arena, which is the home rink for Arizona State of the NCAA. It definitely wasn’t an ideal scenario.
What’s Next?
The door is now open for possible someone else connected to the area to try again. NHL officials can now take their time and vet potential ownership groups carefully. However, the arena situation would have to be figured out first before league officials would be able to move forward. This was mentioned in a recent edition of the 32 Thoughts podcast with Elliotte Friedman.
The league has done well in non-traditional markets like Tampa Bay , Nashville , Carolina , and other places. However, it’s also fallen flat in places like Atlanta due to ownership issues. Commissioner Gary Bettman tried hard to make it work in Arizona, but the league may have to wait a while before it takes another crack at it.
Main photo by: Mark J. Rebilas-USA TODAY Sports
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