The Los Arcos Stadium District, a public entity that will provide up to $200 million in public funding for the redevelopment project, was set to expire today. If it had team owner Steve Ellman would surely have either moved to team to another location in the Valley or out of the state altogether, but now he's got seven months to reach an agreement with the city.

Three council members voted against extending the district, angered over months of delays, Ellman reticence in turning over financial information and the terms of the deal that's currently on the table. But three council members and mayor Manross voted in favor of the extending the deadline, reasoning that the city can always turn down the deal in the future.

The city and Ellman can now begin negotiating in earnest on the massive redevelopment project, which is proposed to be built at the southeast corner of McDowell and Scottsdale roads in south Scottsdale. A 17,500-seat ice hockey arena will be the cornerstone of a 1.75 million-sf entertainment and shopping complex. Last week, in a "terms sheet" he presented to the city Ellman painted in broad strokes what he hopes to build and the financial agreement he expects to sign with the city, but now the two sides have to fill in the fine details.

In a change from an earlier proposal, Ellman now suggests that no tax money be used to build the stadium itself, but that the $200 million in public funds be used to build such details as parking and infrastructure improvements. The plan has also expanded in size from its earlier draft, adding 650,000 sf to the overall size of the center. The project will include hundreds of thousands of square feet of retail space, a multi-screen movie theater, bars, restaurants, office space, a YMCA center, 7,000 parking spaces and apartments. In his nine-page "terms sheet", Ellman promised an "acceptable" rate of return for both the city and himself, and now the two will decide just what that means for each.

The media campaign Ellman launched this week may have tipped the scales in his favor at the city council meeting. Dozens of hockey fans descended on the standing-room only meeting and voiced their support of the project. More than 25 people spoke in favor of extending the deadline. An equal number of residents spoke out in opposition, mostly concerned about continued delays with the project and the proposed height and scale of it.

Instant Insights /

$575-Mil Project Skates Through Vote, But Still on Thin Ice

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