NCC remains focused on making a deal with Senators at LeBreton Flats

"The NCC remains confident that providing the Ottawa Senators with the opportunity to build a downtown arena at LeBreton Flats is of tremendous value for the team, their partners and for fans."

Published Aug 30, 2024  •  4 minute read

View of LeBreton Flats from a helicopter. Photo by Tony Caldwell /POSTMEDIA / FILE

The National Capital Commission remains ready to play Let’s Make a Deal with the Ottawa Senators for a new arena at LeBreton Flats.

A day after Cyril Leeder, the Senators’ chief executive officer and president, told a group of season ticket holders at the Canadian Tire Centre that he’s disappointed the club hasn’t made more progress with the NCC, the organization stated Friday it remains confident it can get a deal in place.

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Negotiations between the Senators and NCC officials have intensified in recent weeks with a Sept. 20 deadline set for the memorandum of understanding to expire for the two sides to either get a lease agreement in place, extend the talks or give up on the project completely.

Though many saw the comments by Leeder as posturing to put pressure on the NCC, he wouldn’t have made that statement if the two sides were close to an agreement and it’s pretty clear they aren’t even close to getting anything in place with the clock ticking.

Officials with the NCC told Postmedia in a statement Friday morning that LeBreton is the best option for a new home for the Senators.

“The NCC remains confident that providing the Ottawa Senators with the opportunity to build a downtown arena at LeBreton Flats is of tremendous value for the team, their partners and for fans,” the statement said.

The NCC has set aside a seven-acre piece of land on Albert Street between Preston Street and City Centre, just west of Ottawa’s new central library, which is under construction.

The Canadian Tire Centre and the surrounding parking lots sit on 75 acres. The original bid by the group led by late-owner Eugene Melnyk in 2021 at LeBreton only called for a 20,000-seat arena and a hotel.

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Under the current scenario at LeBreton, sources say the Senators are concerned they have little to no room for public parking and the organization would have to rely on the troubled light-rail transit system.

The club also wants to build an arena district, similar to the one that surrounds Rogers Place Arena in Edmonton, that would have restaurants, bars and other amenities that could be used before or after events.

Postmedia has also been told one of the stumbling blocks in the talks has been the environmental considerations and requirements that have been placed on the project by the NCC.

Those come with huge costs attached that can be prohibitive.

The NCC also stated it’s willing to alleviate whatever concerns the club might have with the project.

“We continue to demonstrate flexility and openness in our conversations with the Ottawa Senators, we are still aiming to have an agreement in place for September 2024,” the NCC said.

Senators’ owner Michael Andlauer, who was given a one-year extension on the MOU by NCC chief executive officer Tobi Nussbaum last September, wants a rink closer to downtown, but not at any cost.

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Leeder has stated publicly a new rink could cost as much as $1.2 billion. The club will need support from all three levels of government — federal, provincial and the city — to make this project work.

Andlauer has insisted the Senators call this the “Ottawa-Gatineau region” and he’s been told by officials on the Quebec side that being closer to the bridge would help attract more people from both sides of the river.

Andlauer told Nussbaum last month the organization wants to do what’s best for its fans and the city. Mayor Mark Sutcliffe has been vocal about the fact there are other options, including 13.5-acres nearby at Bayview Yards.

Andlauer set up a committee from his limited partners of land development and real estate experts that are focused on next steps for the new rink.

The committee includes Senators’ alternate governors George Armoyan and Paul Paletta, along with Shawn Malhotra of Ottawa-based Claridge Homes. All three bring experience in real estate and business development and they’ve been handling the negotiations with Leeder.

Armoyan, a highly successful developer from the East Coast, is considered by many to be one of the biggest real estate magnates in this country.

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He was described by one developer Friday as “tough as nails and ruthless.”

It would surprise nobody if Armoyan is helping the club to drive a hard bargain to get the kind of agreement it wants. Leeder said the Senators have been “trying to find compromise” with the NCC to make a deal.

Though Nussbaum has stated publicly the NCC has a Plan B if agreement with the Senators falls through, the reality is the best option for both sides is to get a deal in place. There’s been a lot of time, money and energy put into this project, it would be a shame if it fell through again.

We were cautioned not to read too much into what Leeder said Thursday, but these negotiations have reached the 11th hour. If you feel like it’s now or never for a deal at LeBreton Flats then you’re not alone.

“We’re talking about something that’s going to have to last the next 50 years, so we’ve got to make sure we get this right,” Leeder told Postmedia. “We can’t rush into anything.”

Time is of the essence.

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