<p><strong>UPDATE [3:02 p.m. ET]: </strong>Sources tell <em>Daily Faceoff</em> that the NHL, Arizona Coyotes and Smith Entertainment Group have made significant and meaningful progress on an agreement that would see the Coyotes franchise sold and relocated to Salt Lake City, Utah. The machinations of the potential deal, which would have a renamed and rebranded franchise playing in Salt Lake in October, are mentioned below in the original story from Wednesday morning. The NHL sent an update memo to the Board of Governors on Wednesday amid media speculation. Sources said Coyotes players have been informed a “verbal” agreement is in place, but we have received pushback on that characterization of talks. To date, no deal has been completed. There is much work to be done, and it’s complicated and will involve many layers and lawyers. Stay tuned.</p><div class="injected-ad injected-video" data-nn-ad-tech-injection-count="0" data-nn-ad-tech-max-gap="130" data-nn-ad-tech-current-gap="135"></div>



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<p>The NHL is concurrently drafting two versions of a league schedule matrix for the 2024-25 season, one with the Arizona Coyotes and another with the Coyotes franchise playing in Salt Lake City in the event of relocation, multiple sources told <em>Daily Faceoff</em>.</p>



<p>That does not mean the NHL has firmed up plans to relocate the franchise yet, just that the league has a viable contingency plan for next season. But the news comes on the heels of billionaire prospective owner Ryan Smith <a href="https://twitter.com/RyanQualtrics/status/1777358880437317889" target="_blank" rel="noreferrer noopener">publicly soliciting potential names for an NHL team</a> in Utah earlier this week.</p>



<p>As the NHL has been working on dual paths, multiple sources indicate Coyotes owner Alex Meruelo is intimately involved in both. The first, of course, involves the Coyotes remaining in the Phoenix area by building a new arena via Arizona State Land Trust auction, which is scheduled for June 27.</p><div class="injected-ad" data-nn-ad-tech-injection-count="1" data-nn-ad-tech-max-gap="130" data-nn-ad-tech-current-gap="146"></div>



<p>But there is a real possibility that the Coyotes franchise is not based in Arizona come June 27.</p>



<p>The second path involves Meruelo selling control of the franchise in a multi-layered process that would include Smith Entertainment Group paying north of $1.2 billion, part of which is a relocation fee that would be distributed to league owners. Smith owns the NBA’s Utah Jazz and the yet-to-be renamed NHL team would temporarily play in the basketball-oriented Delta Center until a multipurpose arena could be built to adequately house both teams.</p>



<p>“We are interested. We are ready, and we’re a partner,” Smith told <em>The Athletic</em> this week. “The arena is done. We think we have a solution. And that’s my message to the NHL.”</p>



<p>An announcement on a sale and relocation could come as soon as April 18, the day after the Coyotes’ final regular season home game at the 4,600-seat Mullett Arena on the campus of Arizona State University. Sources continually cautioned that no deal is done, Meruelo remains steadfast in his belief that he can build a gleaming new palace for the Desert Dogs, and the NHL is working hard to avoid a long and protracted battle that could surface if Meruelo is not satisfied with the terms of a transaction. Sources briefed on the ongoing discussions indicated Meruelo could receive up to $1 billion for the Coyotes. The exact figures of the proposed transaction are speculated and all details and mechanics of a proposed deal remain fluid.</p><div class="injected-ad" data-nn-ad-tech-injection-count="2" data-nn-ad-tech-max-gap="130" data-nn-ad-tech-current-gap="248"></div>



<p>“Lots of moving pieces,” one source said. “Nothing is resolved at this point.”</p>



<p>The NHL still has time to play this out for next season, but the clock is ticking. The sale and relocation of the Atlanta Thrashers to Winnipeg was not substantially complete until May 20, 2011, and not formally announced until May 31. If a Coyotes sale and relocation does not materialize by late May, NHL deputy commissioner Bill Daly said last month that waiting until a June land auction date would likely ensure the Coyotes will play at least one more season at Mullett Arena.</p>



<p>Many questions remain, but one stands out: with all of this is happening behind the scenes, why did the Coyotes release arena renderings and a <a href="https://www.nhl.com/coyotes/news/coyotes-state-land-auction-privately-funded-arena-2024" target="_blank" rel="noreferrer noopener">strongly worded commitment</a> to Arizona last week?</p>



<p>Perhaps the answer is that Meruelo intends to win the June 27 land auction and develop that sports and entertainment district in the hopes of luring the NHL back to Arizona with a future expansion franchise. Sources said part of the agreement to sell now could include language that would allow Meruelo to ‘reactivate’ the Coyotes franchise in future years, including name and trademarks, if a new arena is built and terms and conditions of the agreement with the NHL are met.</p><div class="injected-ad" data-nn-ad-tech-injection-count="3" data-nn-ad-tech-max-gap="130" data-nn-ad-tech-current-gap="212"></div>



<p>That part shouldn’t be a surprise to hockey fans. After two decades of wandering in the desert, the NHL has ardently supported hockey in Phoenix at every turn, and commissioner Gary Bettman doesn’t have any intention of leaving fans or the market high and dry.</p>



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