St. John’s Mayor Danny Breen has issued a statement to clarify what he calls misinformation in the media.
Breen says St. John’s Sports and Entertainment has made a “fiscally responsible” offer to the teams that does not increase costs by 65 per cent. Growlers owner Dean MacDonald says the offer presented to them would have meant a 65 per cent price increase.
Breen says the offer is very close to the current agreement and the Board is working hard to negotiate a lease that does not increase the taxpayer’s subsidy to SJSE.
The Mayor says the City and the Board are equally committed to offering pro sports at the Mile One, most importantly for the economic and social benefits the City receives from having professional sports teams.
He says in fact, SJSE made money from both teams last year so there is no subsidy going to them—they’re not asking for one, and don’t want one. MacDonald says what they’re asking for is a reasonable rent.
The Growlers owner says they’re making an offer within the next two weeks. MacDonald says they’re willing to buy the Mile One and commit to run it while reducing the subsidy. He says the whole thing is a “bit of a kick in the gonads.”
Earlier Story
The Newfoundland Growlers and St. John’s Edge are taking the next step and exploring other options for a new home next season as tensions surrounding the current lease at Mile One are rising.
Growlers owner, Dean MacDonald says they don’t want to move, but are in a tough situation following last year’s lease that saw the team lose over a million dollars.
They recently received a new proposal from St. John’s Sports and Entertainment for the upcoming year that would see a 65 per cent increase to the lease.
Cities investing in new arenas… great to see! pic.twitter.com/kZCFTOARi8
— Dean MacDonald (@DeanMacDonaldNL) August 27, 2019
MacDonald and Growlers President, Glenn Stanford recently made a trip to Trois-Rivières, Quebec to tour a new arena under construction – a trip that made the front page of a local paper as the City is eager for a new franchise.
Negotiations Still Ongoing, But Not in Public says Mayor
Meanwhile, the Mayor of St. John’s says negotiations with the Growlers and Edge are ongoing.
Danny Breen didn’t have much to say about the ongoing lease negotiations other than negotiations should stay at the table, and not in the public.
Breen says they have no intention to negotiate an agreement in public, and they have to take place just between the teams and St. John’s Sports and Entertainment. He says their goal is to reach a lease agreement that is fair to everybody and that we have hockey and basketball here in the city.
Mayor Breen says there is always risk in negotiations but they want to maintain both teams.
He says it’s good for the city both economically and non-economically but they’re going to leave negotiations where they should be: at the table.
