The president of hockey operations for the Calgary Flames says it’s the City of Calgary, and not the NHL franchise, that needs a new arena and there is optimism that a deal to construct a new building will be reached soon.

While addressing members of the Canadian Club of Canada at a luncheon in Calgary on Wednesday, Brian Burke reiterated his stance on the CalgaryNEXT project, a proposal that would see the construction of a building, originally slated for the West Village, housing both an arena and afield house.

“The focus has shifted to Victoria Park but, certainly in our minds, CalgaryNEXT is not dead,” said Burke. “CalgaryNEXT is not just an arena. It’s a project that will change the face of downtown Calgary for the next 100 years.”

“Our view is that the Calgary Flames don’t need a new building. Our view is that the City of Calgary needs a new building.”

Burke told the gathering he is not involved in the negotiations with the City of Calgary but he is it on good accord that there's optimism the two sides will reach an agreement soon. The president of hockey operations says opposition to the proposal caught him by surprise.

“When we put out CalgaryNEXT, I was personally amazed that the City didn’t say ‘Thank you, let’s do it’,” said Burke. “It’s discouraging when other (markets) cheerfully, willingly construct venues – hockey rinks in Manitoba, football stadiums in Manitoba and Saskatchewan, hockey arenas in Alberta – but our city is a little smarter than all of those people and we’re not going to do it.”

Burke’s take was challenged at the luncheon by Chris MacRae, a Calgary Flames season ticket holder for decades, who questioned whether the construction of condominium buildings instead of an arena would garner a better return for taxpayers.

“We do pay a significant rental fee in fact,” said Burke. “I’m not sure what we pay in property taxes.”

“It’s zero,” replied MacRae.

“Well good, because it’s over a couple million dollars in rent,” responded Burke. “What I’d say to you is ‘okay, then build the condos’ and you’re saying you don’t care if the Calgary Flames leave.”

“I’m not necessarily saying that,” said MacRae. “Where would they go?”

“You don’t think we could find a place to go? With a straight face you’re saying that?” questioned Burke before pointing to the fact Quebec City has a brand new building that meets NHL standards.

Following the exchange, Burke made mention of the amount in taxes that the team’s players pay provincially and federally, a figure he pegged at $50 million a year based on the current salary cap and exchange rate between the Canadian and U.S. dollars.

“Say half of that went to the province and city, say $25 million a year, how many years does a team have to stay to pay for half of a new arena? 10,” Burke told the luncheon. “We remain committed to a solution here in Calgary, we’re optimistic that we’ll get one here in Calgary, but keep in mind we’re playing against teams in the U.S. that have their venues built for them almost 100 per cent cost and have favourable leases.”

After the event, MacRae discussed his heated exchange with Burke.

“We’re not supposed to be able to debate it when we’re the ones that are going to be paying it especially when the Flames, it’s my understanding, are paying no property taxes?” said MacRae. “I’m sure they’ll want a full tax break on any new building whatever that is.”

“I do have a problem with a blank cheque being written to five of the richest men in Canada.”

Burke had been invited to speak at the luncheon to discuss the current challenges NHL teams in Canada face and his charity intitiatives.

Ken King, the president and CEO of Calgary Sports and Entertainment Corporation, released the following statement on Wednesday afternoon in response to Brian Burke's comments at the event.

"Brian Burke runs Hockey Operations for the Calgary Flames and he and many Calgarians have strong views about this topic. However, he is not our spokesperson regarding a new events centre for our city.

We remain committed to our dialogue with the City and very optimistic we will get to a positive conclusion. We admire everyone's enthusiasm on this subject."