TEMPE, AZ — The Arizona Coyotes are responding to a lawsuit from the City of Phoenix with a $2.3 billion notice of claim of its own.
The team announced the counterclaim Wednesday, stating Phoenix "broke its word" and "decided to undermine" the planned development next to Tempe Town Lake.
Video in the player above contains previous coverage of the proposed Coyotes arena in Tempe.
The city of Phoenix sent the following statement in response to the claim:
"The City of Phoenix received the notice of claim letter today. Phoenix will respond in due course, but the developer restates the same arguments that the airport, and more importantly, the FAA has already debunked. At the same time, we can understand and appreciate the developer’s frustration. But their frustration is misdirected. They should be frustrated with Tempe. After a meeting with the mayors of both Tempe and Phoenix and two negotiations between the city managers of Tempe and Phoenix, we understood that Tempe was open to a reasonable compromise that would protect the airport, the communities around the airport, and allow these developments to proceed. That compromise was, at Tempe’s request, reduced to a simple document that would have amended the IGA to allow current projects, including the TED, to proceed, while also restating the commitment to prohibit future residential development within the 65DNL. That document was sent to Tempe on February 7, 2023, as our Complaint makes clear. We expected to promptly hear input or agreement on that amended IGA. Instead, after over a month of delay, Tempe abruptly ended discussions with its March 17 letters, and the City of Phoenix was forced to sue. A clear and reasonable resolution was in Tempe’s hands and they elected to reject it. We join the TED developer in their frustration."
RELATED: Tempe City Council approves Arizona Coyotes arena development
The Coyotes have proposed a huge residential and entertainment complex along with its arena near Priest Drive and Rio Salado Parkway.
City of Phoenix and Phoenix Sky Harbor International Airport officials have been vocal about their concerns since the plan was originally released.
Tempe residents will decide the fate of the proposed development during a special election on May 16.
