Short of an official announcement from the league, the Coyotes are relocating to Salt Lake City next season and being sold to Smith Entertainment Group, the ownership of the NBA’s Utah Jazz, with the league as an intermediary. GM Bill Armstrong traveled to Edmonton yesterday to inform the team of the relocation while on their road trip, and players and staff are expected to travel to Utah sometime next week.
Over the next few days, when a sale announcement comes, it will become clear how complex this transaction will be. One rumored piece of the sale appears to be set in stone, per John Gambadoro of Arizona Sports. Current Coyotes owner Alex Meruelo will indeed retain the intellectual rights to the franchise as part of the sale. If he can get an arena built within five years and various other benchmarks are met, he’ll have first right of refusal for a Phoenix-area team and can trigger an expansion draft. In doing so, he’d need to return the $1B he’ll receive from the league for the franchise this offseason as an expansion fee.