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Penguins Make Pitch For New Arena

Lemieux Doubts Team Will Survive Without One

Pittsburgh Penguins team owner Mario Lemieux said that the Penguins can't survive for long in Pittsburgh without a new arena.

  SURVEY
By what means should a new hockey arena be funded?

Lemieux and other team officials on Wednesday made their first official pitch for a new arena to replace 40-year-old Mellon Arena, saying the NHL's oldest arena is inadequate and needs to be replaced as soon as possible.

WTAE-TV's Jon Greiner reported Tuesday that the Penguins had conducted an extensive study to see if it was economically feasible to renovate or partially renovate the arena.

"My goal is to keep the Penguins in Pittsburgh forever, but without a new arena it is going to be difficult to keep them here," Lemieux said.

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Penguins officials said that an extensive study by the HOK Sport design firm, which also designed PNC Park, determined that it was impractical to renovate Mellon Arena because it would cost as much as a new arena, or $220 million. Even a partial renovation would cost $123 million and accomplish little other than adding extra premium seating.

One big problem with a full renovation is that it leaves the team without a home for at least a year, WTAE-TV's Paul Van Osdol reports.

"There's no other facility in this marketplace we can play in, so it almost by definition is not possible," said Penguins vice president Ken Sawyer.

"This building is running out of time," Lemieux said of Mellon Arena, which was designed in the 1950s and originally opened in 1961 as the home of Pittsburgh's opera company.

Lemieux said that he would never personally move the Penguins out of Pittsburgh, but without a new arena, he would have to sell the club to others who may want do that.

Tom Rooney, the team's chief operating officer, said that a new arena grows critical with each passing season as the Penguins try to remain competitive against teams with much larger payrolls and extra revenue from new buildings.

"We're maxed out as far as this building is concerned, with 34 sellouts this season and ticket prices pushing the outside of the envelope," Rooney said. The Penguins benefitted this season from Lemieux's unexpected comeback but, Rooney said, "The Mario mulligan is short lived."

Allegheny County executive Jim Roddey and Pittsburgh Mayor Tom Murphy have said that there are no public funds for a new arena, estimated to cost $204 million to $225 million. Gov. Tom Ridge can release up to $60 million in state funds for a new arena, but has said that there must be extensive private money to do so.

"I have not seen the study, and have not had any conversations with the Penguins ownership about this issue ... I firmly believe that it is going to take a lot of private money to make any new arena development possible," Murphy said in a statement Wednesday.

Lemieux has promised to play at least one more season, and he said again Wednesday that he would like to play until he is 40 -- or another four or five seasons -- if he can remain healthy.

"I'd love to play in a new arena, but it's all up to my health," he said.

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Van Osdol found several NHL arenas that have been built in recent years without a penny of public funds.

The Penguins, however, are giving little credence to the idea of a privately financed arena, Van Osdol reports.

"Generally, you'll find those are in major markets with two sports teams in the building and with a lot more dates than you'll have in the building," Sawyer said.

The Columbus Blue Jackets, however, started playing last year at Nationwide Arena. Its $160-million cost was covered entirely by private companies -- mainly Nationwide Insurance.

In fact, Penguins officials say that the Columbus arena is just the type of place they'd like to call home -- except for the financing.

"The team did not finance it," Sawyer said. "Someone financed it, and the team is the tenant. You have to look at their situation and see if it's going to work when they have our payroll, and it may not."

Someone will also finance the Pittsburgh arena, but it's likely to be the city's Sports & Exhibition Authority.

The Penguins aren't giving any specifics about the financial package that they're going to look for, but a team official did give Van Osdol an example of an arena deal he likes, and it's a deal many taxpayers probably won't like.

"I love the financing in Florida, where the Panthers play. "It's also a beautiful arena," Sawyer said.

The Florida Panthers play at the National Car Rental Center. And it's no wonder why Sawyer loves the financing. Taxpayers covered 87 percent of its $212-million cost.


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