Greeley council adopts principal lease terms with Colorado Eagles for proposed arena; amendment to limit college-hockey revenue-sharing fails
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Summary
Council adopted a resolution approving principal lease terms with the Colorado Eagles for a proposed arena after debate over revenue-sharing and suite rights; an attempt to remove a provision granting SSG 50% of college-hockey net revenue failed.
The Greeley City Council approved principal terms for a lease with the Colorado Eagles that would anchor an arena in the city’s planned catalyst area, voting 5–2 to adopt the resolution after a contentious debate over revenue-sharing and suite privileges.
Council member Butler led line-by-line questions about the draft terms, asking staff whether the version before council was the redlined copy received earlier in the day and whether certain terms were more favorable to the team than terms in the Eagles’ Blue Arena lease. Butler specifically pressed on a provision in Exhibit A, paragraph 16(b), that would give SSG a share of net revenue for college-hockey games played in the arena.
Council member Butler moved to amend the principal-term package by striking paragraph 16(b) (the line that reads "SSG will receive 50% of net revenue for any college hockey games played in the ring"). Council member Debuting seconded the amendment. In a roll call, Butler and Debuting voted aye on the amendment; Mayor Pro Tem Hall, Council member Payton, Council member Olson, Council member McDonald and Mayor John Gates voted no. The amendment failed by a 5–2 vote, meaning that the principal terms as submitted remained in the document for negotiation.
After the amendment vote, Council member Debuting reiterated concerns about multiple specific lease elements and urged staff to renegotiate other terms in the final lease, including rent for practice time, naming and pouring rights, and parking-fee splits. City staff said some elements are more favorable to the city and some to the team, and that an owners’ representative and operator negotiated terms with the team.
Council member Payton moved to adopt the resolution approving the principal and primary lease terms; Council member Hall seconded. In the final roll call on the resolution, Council member Butler and Council member Debuting voted no; Mayor Pro Tem Hall, Council member Payton, Council member McDonald and Mayor Gates voted yes. The council adopted the resolution by a 5–2 vote.
The principal-term package includes suite allocations, revenue-sharing percentages and assignment/termination clarifications; staff told council that the packet was updated earlier in the day to reflect clarifications to the termination and assignment provisions and other paragraphs. Council members asked staff for the team’s existing release/lease packages for comparison and raised questions about why the city would give two suites and why certain revenue shares (notably 50% of college-hockey net revenue in the document) were set as proposed.
Councilors who opposed the final resolution described the need to press for stronger terms on naming rights, practice rent, and parking splits before finalizing the full lease. Supporters said that an anchor tenant is necessary for the catalyst area and that the principal-term resolution does not finalize every detail; staff said removing the contested paragraph from the principal terms at that moment would not prohibit the term from returning in final negotiations.
The resolution authorizes the city to continue negotiations under the adopted principal terms and clears the way for further contract work and approvals tied to the predevelopment services agreement for the arena and catalyst site.
