Vanderbeek-Booker-Bettman.JPG

Jeff Vanderbeek at a news conference Saturday. To his right are Mayor Cory Booker and NHL commissioner Gary Bettman.

(David Giambusso/The Star-Ledger)

NEWARK — In 2005 Jeff Vanderbeek came to Newark with a hockey team, an architect's drawing and a vision.

He made his fortune as a Lehman Brothers executive but cashed in a lucrative career on Wall Street to become the face and principal owner of the Devils.

He also built a world-class arena partly responsible for sparking a major redevelopment of Newark's downtown, and during his tenure has overseen one of the best teams in the NHL.

Now the Jersey guy who made it big and spent much of his fortune investing in Newark's downtown could be leaving the stage completely, having accrued $200 million in debt and a few battle scars from his scuffles with partners.

Three officials say Vanderbeek will either sell the team completely or take a much smaller role -- and all this could happen as early as today.

Vanderbeek and Devils officials would not be interviewed yesterday on the potential sale.

"That's something I stay 100 percent away from. It's out of my jurisdiction," general manager Lou Lamoriello said yesterday. "I can't answer any of those questions until there is a change."

But officials with close knowledge of current negotiations say the Devils could be sold within the next several days and almost certainly within the next two months. Vanderbeek will either be bought out or will hold a minority stake in the team, the officials said.

They requested anonymity because they were not authorized to speak publicly about the deal.

The sources said the financially strapped Devils will have to settle on a buyer quickly because several bank payments will soon be due.

Philadelphia attorney Andrew Barroway was one buyer considered close to settling a deal and has already staked as much as $30 million to help the team pay its bills. But at least two other suitors have joined the queue.

Philadelphia 76ers owner Josh Harris is among those looking at the team, sources said. The Associated Press reports that Calgary billionaire Bill Gallacher may also be interested.

A rumored takeover by the NHL is very unlikely, as is bankruptcy, despite news reports yesterday to the contrary. But whoever takes over the team is likely to completely buy out Vanderbeek or take a controlling interest. Multiple investors could also share ownership.

The sale will involve Devils Arena Entertainment, the parent company that runs the team, as well as the Prudential Center Arena. Officials say the lease the company holds with the city of Newark will likely remain intact and there is no talk of the team moving out of Newark.

Still, Vanderbeek's exit marks the end of an era for the city and the arena in which it operates.

Throughout much of the 1990s and early 2000s, Newark's downtown was a desolate landscape of failed attempts at revitalization until Vanderbeek and then-partner Ray Chambers were finally able to get traction on a long-sought arena project.

A complex lease deal was signed in 2005 and in October 2007 Jon Bon Jovi kicked off opening ceremonies for the arena in the heart of Newark's downtown.

Big-name concerts and sold-out sporting events would follow, making the Prudential Center the eighth-largest grossing arena in the world, according to Billboard magazine's 2013 mid-year rankings.

But Devils Arena Entertainment struggled to make money. Vanderbeek spent lavishly on player contracts for the Devils, sparking conflict with Chambers and his son-in-law, Mike Gilfillan, who were more interested in Newark's economic development than in building a championship hockey team.

Chambers' and Gilfillan's company, Brick City Entertainment, was bought out in January and Vanderbeek was left with roughly $190 million in debt.

Since before the arena was opened, Vanderbeek was also battling over a revenue sharing deal with Newark Mayor Cory Booker, who called Vanderbeek a "huckster and hustler" in a public spat last year.

Now Vanderbeek will host Booker's election night celebration at the arena but it is likely to be one of the last events he oversees as the sole franchise owner.

The Devils have been struggling to pay their bills for months, officials said, and rumors of a team sale have been circulating for more than a year. Each time a deal came close to fruition it was scrapped at the last minute.

Now, the team will require a significant influx of cash to meet its debt obligations. Even if Vanderbeek receives assistance, a new owner or group of owners will likely be in place at the start of the season in October.



Staff writer Rich Chere contributed to this report.