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The Arizona Coyotes’ proposed arena in Tempe would feature a 16,000-seat arena, practice rink, condominiums, two hotels, a row of restaurants and a theater. The Coyotes’ development division announced its intention to file a damages claim against the city of Phoenix over its opposition to the project. (Rendering courtesy of Arizona Coyotes)
PHOENIX — The development arm of the Arizona Coyotes threatened Wednesday to sue Phoenix for interfering with plans for the team’s new home in the proposed Tempe Entertainment District, saying Phoenix’s lawsuit “intentionally hurts” the developer.
Bluebird Development LLC’s “Notice of Claim” gives the city 60 days to drop a lawsuit trying to block the entertainment district — or “resolve the issue for $2.3 billion,” Bluebird says it will suffer damages from the city’s lawsuit .
phoenix in court documents last week Housing planned for the project would violate an agreement between the cities that prohibits residential development in areas affected by noise from Phoenix Sky Harbor International Airport, which the city owns.
Bluebird said the city’s lawsuit violated an agreement that Sky Harbor would not oppose the proposed district, which is scheduled to go to Tempe voters in next month’s special election.
Sky Harbor lawsuit says it violated when Tempe moved forward with development plans 1994 Intergovernmental Agreement Address flight paths, noise issues, and land use around airports.
Coyotes President and CEO Xavier Gutierrez claimed that the City of Phoenix’s opposition to the Tempe Entertainment District was to protect its economic interests. Here, he speaks at a March 30 news conference for area supporters in Tempe. (photographer logan camden/Cronkite News)
The agreement states that Tempe “will take the necessary steps to ensure that new developments in noise-sensitive environments within its jurisdiction … comply with the noise levels predicted in the FAA noise regulations.”
The federal plan specifically states that “responsibility for determining acceptable and permissible land uses and the relationship between specific properties and specific noise contours rests with local authorities.” Residential construction in affected areas is permitted, but is permitted where the resulting buildings are soundproofed and “where the community determines that residential or school use must be permitted.”
While the legal battle ostensibly revolves around the residential development, Coyotes President and CEO Xavier Gutierrez claims Phoenix’s opposition stems from protecting economic interests.
“The bad behavior of Phoenix City Hall appears to be an attempt to maintain its monopoly on downtown sports venues and has nothing to do with the safety or soundness of the airport,” Gutierrez said in a press release announcing the claim.
In a press release, Coyotes pointed to comments made by Phoenix Air Services Director Chad Makovsky at the Nov. 29 Tempe Special City Council meeting as evidence of agreement not opposition to the development.
“The positive and productive relationship between Tempe, Sky Harbor and Phoenix has been and will continue to be very important to us. I wish you the best of luck as you make this important decision for your community,” Makovsky said in The meeting said, entertainment district advocate pointed out.
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In the same statement, Markowski also stated, “I continue to oppose adding 1,995 residential units to the 1.2 square mile high noise contour.”
However, in a motion to dismiss the Sky Harbor lawsuit issued with the notice of claim, the Coyotes showed a screenshot of the airport’s website after the special committee meeting that read: “Negotiations with developer were successful before Tempe City Council Vote closed.”
Phoenix disputed the characterization that Bluebird had already struck a deal, and said developers should be frustrated with Tempe. “
“After meeting with the mayors of Tempe and Phoenix, and two negotiations with the city managers of Tempe and Phoenix, we have learned that Tempe is willing to accept reasonable compromises to protect the airport, the communities surrounding the airport, and Allow these developments to proceed,” a statement from the City of Phoenix said.
Aside from the legal battle, the fate of the entertainment district and arena rests in the hands of Tempe voters, who will decide on three ballot measures related to the project on May 16.
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