The city, which would contribute $100 million to the development of the project, isn't happy with the deal Ellman has presented and wants to see more of a return for their money.
"We've saying, 'Wait a minute here, we also want to limited the length of our debt and get a share of the revenue,'" says city manager Jan Dolan, adding that she sent a letter to Ellman today that outlines the city's counterproposal.
The letter also asks Ellman to provide more detailed financial documents to show that he has the financial muscle to complete the $87-million purchase of the NHL Phoenix Coyotes and redevelop the former mall.
Documents show that Ellman plans to sell the complex in 2013 and earn nearly $225 million. He has been on a barnstorming tour with part-owner Wayne Gretzky to sell shares in the team, which would play in the new stadium that would anchor the project.
Ellman has said that he plans to complete the purchase of the hockey team in October and have construction going on the mixed-use development by January. The proposed development is at the southeast corner of Scottsdale Road and Thomas in Scottsdale, an upscale suburb of Phoenix.
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