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Kirkland staff outline remaining issues in proposed Kraken iceplex deal and timeline toward Dec. 9
Summary
City staff gave an extensive update on the proposed Seattle Kraken‑anchored iceplex and community center, flagging technical engineering issues (fire access, water/fireflow), right‑of‑way work with WSDOT/FHWA, guarantee and lease payment negotiations, and community‑benefit commitments. Staff said final documents could come back to council Dec. 9 for action if outstanding issues are resolved.
City staff presented a status update Nov. 18 on the proposed Seattle Kraken‑anchored iceplex, describing the deal as a private investment of roughly $60 million anchored by two NHL‑regulation rinks and a city community center that staff called the linchpin of the public benefit.
Deputy city manager Jim Lopez and city attorney Darcy Eilers described the current negotiation points: technical engineering concerns including fire‑truck access, water‑system capacity and fire‑flow requirements; transportation and right‑of‑way issues that require coordination with WSDOT and the Federal Highway Administration; and outstanding legal and financial details, including how guarantor valuation will be verified and how lease payments will be calculated.
Lopez said guarantors identified in current drafts include Seattle Hockey Partners and Slapshot LLC and that those entities would be jointly and severally liable for obligations in the ground lease and, if applicable, the operating lease. He told council staff are negotiating valuation and covenant language to address default scenarios.
Staff also described negotiated public benefits: at least two hours of free open skate per month for Kirkland residents, obligations to provide discounted programming and equipment to disadvantaged groups through the 1 Roof Foundation (or an equivalent organization), and reporting and nondiscrimination/WMBE compliance written into lease documents. Lopez said the Kraken organization has been receptive to city input on community‑center fit and finish but that some of the city’s desired design elements exceed the Kraken’s current budget; staff are exploring cost‑offset ideas such as additional city site‑preparation work and ground‑lease structures.
Transportation remains a material issue: staff said WSDOT and the FHWA have restored a limited‑access area near the project site and the city will need WSDOT’s assistance — and potentially FHWA action — to reopen a limited‑access break in order to realize planned traffic flows. Kraken’s transportation consultant will finalize analysis for submission to WSDOT; Kraken has indicated willingness to assist with FHWA lobbying if required.
Staff reiterated the schedule: additional negotiation sessions are planned before Dec. 9, and if outstanding matters are satisfactorily resolved the agreements could be brought back to council for final action at the Dec. 9 meeting. Staff emphasized that several items remain unresolved and that certain design and financial items are near finalization but not yet complete.
