BREAKING: Senators reach deal with NCC to buy land for new arena at LeBreton Flats

Ottawa Sens building LeBreton arena
An artist's rendering shows a proposed design for a new NHL arena at LeBreton Flats. File photo

After years of false starts and on-again, off-again negotiations, a new NHL arena at LeBreton Flats appears to be a major step closer to becoming a reality.

The Ottawa Senators have signed an agreement to buy about 11 acres of land at LeBreton Flats from the National Capital Commission, the Crown corporation that owns the prime development site west of downtown said Monday. 

In a statement, the NCC said the agreement is a “key step in bringing a major events centre and arena district, including mixed-use development, to LeBreton Flats.”

(Sponsored)

The agreement clears the way for the process of building a new home for the Senators at LeBreton Flats to begin. The NCC said the next steps will include various zoning, design and other approvals as well as the decontamination of the former industrial land before construction of a new arena can begin.

The new events centre will “provide a lively and convenient attraction for residents and visitors, inject new energy and excitement into the core of the nation’s capital and further catalyze the development of LeBreton Flats,” NCC chief executive Tobi Nussbaum said in a statement.

“This agreement builds on the two previous real estate transactions completed by the NCC since 2022 on the Building LeBreton project that will see over 2,000 new housing units along with new retail and commercial spaces built on the site.”

Ottawa Senators president and CEO Cyril Leeder said the land purchase is a key milestone in the club’s long-standing efforts to move closer to the city’s core.

“There are still many more hurdles to clear, and we look forward to working with the NCC and other stakeholders to achieve our shared vision of creating an event centre at LeBreton Flats that can be enjoyed by our Ottawa-Gatineau community,” Leeder said in a statement.

Jacqueline Belsito, president of the Senators Community Foundation, said in a LinkedIn post Monday afternoon the project will be a “major economic driver, creating jobs, attracting tourism, and anchoring growth in the core.”

Ottawa Board of Trade president and CEO Sueling Ching said the sale marks a “major step forward” for efforts to revitalize the city’s downtown core.

“We commend the leadership of both the NCC and Capital Sports Development Inc. for advancing this transformative project,” Ching said in a statement. “This is the kind of bold, collaborative action that will define Ottawa’s future as a world-class capital and a thriving place to live, work, and visit.”

The finalized deal comes nearly a year after Capital Sports Development, which represents the Senators, reached an agreement in principle to buy the property.

While the purchase marks a major milestone in the effort to bring the Sens closer to downtown, much work needs to be done before the project comes to fruition.

At a news conference announcing the agreement in principle last September, Leeder said it would likely be “years” before construction of the new arena began. 

The Senators have previously estimated it would cost between $1.2 billion and $1.5 billion to build a new rink. Surrounding infrastructure, such as hotels, condos, restaurants, bars and office buildings, is expected to cost three to five times that amount.

Leeder said last fall the new arena would likely be similar in size to the team’s current home at the Canadian Tire Centre or slightly smaller, with a capacity of between 16,000 and 17,000 people. It would also include newer amenities and improved loading zones, with the hopes of doubling the number of events the facility can host.

“You’re talking about a three- to six-billion-dollar project,” Leeder said. “It’s a big, big project.”

The Senators have been eyeing LeBreton Flats as a potential home for more than a decade.

Former owner Eugene Melynk formed a partnership with Trinity Development Group with the aim of building a new arena, thousands of housing units and other amenities at the site. In 2016, the NCC selected the Senators-backed group as its preferred bid to redevelop LeBreton Flats, but the partnership ultimately fell through amid legal wrangling between Melynk and Ruddy.  

Following Melnynk’s death in early 2022, the Senators were granted preferred-bidder status to negotiate with the NCC on a plan to build an events centre that would be the crown jewel of the Crown corporation’s long-term efforts to redevelop the Flats.

The site was identified for a potential major facility in the 2021 LeBreton Flats Master Concept Plan, which reflected the feedback of more than 5,000 Ottawans who participated in public consultations.

The NCC signed a memorandum of understanding with the organization led by the Senators in June 2022 to build a major events centre as part of a mixed-use development at a six-acre plot of land on Albert Street between City Centre Avenue and Preston Street.

In January 2024, the NCC agreed to extend its memorandum of understanding with the Senators to last September to give the two sides more time to negotiate. The MOU was originally slated to expire in September 2023.

Senators owner Michael Andlauer, who bought the NHL franchise two years ago, has made no secret of the fact he wants to relocate the club closer to downtown. 

But while several other sites – including nearby Bayview Yards, the RCGT Park baseball stadium on Coventry Road east of downtown, and property near the Hurdman transit station – have periodically been floated as potential homes for the Sens, LeBreton Flats has always been the clear choice of many business leaders.

In a 2023 interview, Colonnade BridgePort CEO Hugh Gorman said LeBreton has significant advantages over the other sites.

Pointing out LeBreton’s proximity to light rail and its accessibility to fans on the other side of the Ottawa River in Gatineau, Gorman, the head of Ottawa’s largest privately owned commercial property management firm, said the prime parcel of downtown land has been a wasted development opportunity for far too long.

“It’s about connecting the entire region, including Gatineau,” Gorman said. “I’ve been in the real estate business for over 30 years. We’ve been talking about LeBreton since I’ve gotten into (the industry), and I think this is a real catalyst for the site.

“I think from a city-building perspective, LeBreton needs this more than Coventry needs it, more than Hurdman needs it. It’s not the only location, but in my view if you had to pick a location for all of those reasons, it would be the best location.”

Get our email newsletters

Get up-to-date news about the companies, people and issues that impact businesses in Ottawa and beyond.

Sponsored

Sponsored

OBJ INSIDER HOLIDAY SAVINGS EVENT. See the full story. 

Close the CTA