The Calgary Flames have confirmed the decision to terminate the new contract deal to build a brand new stadium in Calgary, as reported by the Flames on Twitter Tuesday morning.
"We have always believed that Calgary needs a new Event Centre," John Bean, president and CEO of Calgary Sports and Entertainment Corporation, said in a statement. "However, under the current circumstances we do not see a path forward that would create a viable partnership with the city, which is essential for a new Event Centre to become a reality."
On December 21st, Calgary mayor Jyoti Gondek said a conversation with Calgary Sports and Entertainment Corp. chairman Murray Edwards confirmed the team was "pulling the plug" on the 19,000 seat venue that has been discussed for the past decade.
Following Gondek's statement, the Flames pledged to keep the team at the Scotiabank Saddledome for the time being.
Both parties had to come to an agreement on or before Dec. 31 to waive construction conditions.
The main issue was that the Flames refused to pay the estimated $634 Million for the arena project when the initial estimate was $550 Million 2-years ago. Then the city added an additional $19 Million in roadwork and climate mitigation to the project, and expected the Flames to pay for $10 Million of that.
“There was a deal to be had here,” CSEC president and chief executive officer John Bean told reporters Dec. 22. “We can’t get it across the line. So it’s frustrating, it’s hollow, it’s disappointing.”
Construction was supposed to begin in early 2022 in Victoria Park, just outside of downtown Calgary.
The Saddledome has been in operation since the beginning of the 1983-84 Calgary Flames season and has a capacity of 19, 289 making it one of the bigger arena's in the NHL.
As of December 2021, Forbes listed the Calgary Flames value at $680 Million which makes them the 18th most valuable team in the NHL.
Meanwhile, city council is set to discuss the situation further next week.
