Red Wings reportedly owe $70 million to the City of Detroit
By Anthony Caruso III
The Capital Sports Report
Owner/Managing Editor/Sr. Writer
The Detroit Red Wings are struggling with the latest NHL lockout, as the two sides are bickering over millions.
The Red Wings are reportedly $70 million in debt to the city of Detroit. According to their lease agreement, the team is supposed to pay the city 25% of their TV rights as apart of their Joe Louis Arena and Cobo Arena deal.
However, with no hockey on TV, it hard for them to pay the city any funds. The team reportedly owes the city money dating back to 1980 from the lease; however, they have never paid the city any money.
The Red Wings want money from the city to build a new arena, but this debt has come into question as Red Wings and Tigers owner Mike Ilitch hasn’t paid up.
“The Ilitches are a multibillion-dollar operation, and they are inside a city that is sinking,” said City Councilman Kwame Kenyatta. “(Mike Ilitch), I am sure, knows about this and should be forthcoming to help the city. Help us by writing a check, not by negotiating a new lease.”
According to Detroit mayor Dave Bing, he hopes to develop a new lease agreement, but he will not forget about the debt that is owed to the city. He said, “we will take appropriate steps to collect any money that is owed to the City. We look forward to resolving all issues past and present in our negotiations with Olympia Entertainment.”
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