New Flames arena talks back on with City of Calgary
The City of Calgary and the parent company for the Calgary Flames have agreed to new discussions regarding a fresh start towards an arena build, the City announced Wednesday.
A new events centre would serve as the home for the Flames, who are currently playing in the 39-year-old Saddledome.
“We’re at the beginning of an important stage,” Councillor Sonya Sharp, chair of the Event Centre Committee, said in a release. “A new event centre for our city will attract investment and international events. It will have enormous benefits for visitors and for Calgarians. We look forward to working with CSEC for our mutual benefit and for a result that works for everyone.”
The City and Calgary Sports and Entertainment Corporation (CSEC), the parent company of the Flames, had originally agreed to a deal on a new arena, titled the Calgary Event Centre Project. The project died at the turn of the calendar year when neither CSEC nor the City of Calgary waived construction conditions on the Project Framework Agreement prior to December 31, 2021.
The initial build estimate on the Flames arena was $550 million, split between the two parties. An amended deal in July 2021 would see the Flames responsible for cost overruns, and estimated project costs rose to $634 million before construction — including an additional $19 million in roadwork and climate mitigation to the project to be covered by the team.
After the deal’s demise, City council voted in January to get a third party involved.
“All parties share a collective desire to see a new event centre constructed in Calgary,” John Bean, president and CEO of CSEC, said. “We look forward to discussions with The City to see if we can find an acceptable path forward.”
The City will be represented in discussions by CAA ICON, who have structured agreements for major sports and entertainment venues throughout North America and Europe on behalf of both municipalities and sports teams.
The Flames have over a decade remaining on their lease on the Saddledome, the second-oldest facility in the NHL. Madison Square Garden is technically older but did undergo an extensive $1 billion renovation from 2011-2013.
“We must do this right, which means we will need space and we will need time to work on a successful agreement,” Stuart Dalgleish, general manager of planning and development services for The City said. “We will be keeping our discussions confidential and reporting to the Event Centre Committee when the time is right.”
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