SUNRISE, Fla. – The worst period in Islander history is about to end.
Within two weeks, a group headed by former Garden boss Bob Gutkowski should be the new owners of the once-proud franchise, The Post has learned.
“It’s progressing,” a source close to the negotiations said yesterday. “Everybody’s working as hard as they can.”
Gutkowski, who helped revitalize the Garden during the early ’90s, is in extensive talks with the Islanders’ current owners Steven Gluckstern and Edward and Howard Milstein, as well as with Nassau Coliseum owner SMG.
Gutkowski is fronting a group of Long Island businessmen, including music industry honcho Charles Koppelman, which is trying to buy the Isles and return them to their past glory.
In August, the Gutkowski group signed a letter-of-intent to purchase the club.
It has been reported that the current owners are trying to sell the Islanders for the $195 million it paid for the team just a few years ago. That price appears to be negotiable, however, as the Gutkowski group is currently the only potential buyer of the club.
A source with knowledge of the negotiations said the deal is very “intricate,” considering that the Gutkowski group wants to help build and then move the Isles into a new arena adjacent to the Coliseum.
However, that could be a sticking point with SMG, which is not ready to simply allow the team to break its lengthy lease with the aging Coliseum. The lease runs into the early part of the next century.
As its landlord, SMG has allowed the 27-year old Coliseum to become decrepit. The building holds a seating capacity of 16,297 for hockey and has just 38 luxury boxes. The arena also has only one section of club seating with waiter service, which is tucked into a lower corner of the arena.
With the Islanders having not made the playoffs since the 1993-94 season, their attendance has plummeted. Last season, the team’s average crowd was 11, 256, second worst in the NHL to Carolina, and this season the team has struggled at the gate, as well, including a recent crowd of just over 3,000.
Under orders from ownership, Islander GM Mike Milbury has reduced his team’ payroll this year from $27 million to $19 million, which places it in the bottom rung of the league.
According to a well-placed source, if the Gutkowski group purchases the team, it would plan to quickly increase the payroll to over $30 million through trades or free agency. However, the source added, the new owners would likely not follow the Rangers’ spending frenzy which has increased their payroll to almost $60 million.
“You’re not going to go in and have a $60 million payroll, but you can’t be at $18 million, either,” the source said. “You have to get two new players [immediately] so the fans know you care.
“You want to build back the credibility of the franchise.”
Gutkowski, who grew up in Uniondale and lives in Cold Spring Harbor, has strong credentials to run the franchise. As the president of the Garden in the early ’90s, he was instrumental in redecorating the building. Under his watch, luxury boxes and new seats were installed, while certain sections were reserved for club seating.
(Different version in the metro edition.)