Graham Calls It Quits as Arena Chief

Peter Graham, whose acerbic style as operator of the Sports Arena brought him continual criticism from city officials and arena tenants, has resigned after 14 years as president of the troubled facility, officials announced Tuesday.

El Cajon investment specialist Vincent R. Ciruzzi, 56, was selected to replace Graham as chief executive officer.

The surprise announcement came only months after Graham, a Canadian investor, started a multimillion-dollar renovation of the arena. The repairs eased criticism from city officials, who had threatened to revoke Graham’s operating franchise because of deteriorating conditions at the 19-year-old facility.

Sour relations with city officials had nothing to do with the decision to leave, Graham said Tuesday from his home in Vancouver. He said he and his son have invested more than $3 million to build a ski resort in northern British Columbia and that he wants to devote more time to the resort.

“I guess everyone runs out of time,” Graham said. “I think my time is better used in British Columbia helping my son.

“There is always a little remorse in leaving, but you have to fight that and say to yourself, ‘It’s time to leave and move on.’ ”

Graham said he made the decision to resign in January but stayed on until the board of directors of San Diego Entertainment, which operates the arena, could find a replacement. The board consists of Graham; his brother, John, and arena general manager Phil Quinn.

Ciruzzi said board members decided they needed a local president who is involved in San Diego and is accessible to city officials.

One of the complaints about Graham was that he lived in another country and could not properly manage the arena from such a distance. Many residents and city officials blamed Graham’s management for the loss of several professional sports teams, including the San Diego Clippers and the San Diego Rockets of the National Basketball Assn.

Graham, however, dismissed the criticism by saying city officials did what they thought was best for the city, and he did what he thought was best for the arena.

“Nobody feels criticism is justified,” he said. “Mainly, city officials don’t know all the facts. They just see their side of the coin, but that comes with the territory.”

Graham said the arena will gross more than $1 million this year, but when he took over it was losing money. Renovations at the arena are paid for with money made by the arena, not a bank loan, he said.

Graham said his decision to leave may have been aided by a $500,000 jury award granted to the Clippers in San Diego County Superior Court. The award was granted after the jury concluded the arena was not reasonably fit for professional basketball.

Ciruzzi said that, unlike Graham, he will devote his full attention to improving the Sports Arena, and one of his major aims will be attracting another professional basketball team to San Diego.

“As you know,” Ciruzzi said, “Peter Graham has spent part of his time here and part of his time in Canada, pursuing his activities there. This is a full-time job. I look forward to this. It’s an exciting opportunity.”

Ciruzzi said Graham was an “absolutely brilliant” businessman and was dedicated to finding another professional basketball team for San Diego.

“Since the Clippers left,” Ciruzzi said, “the staff has not stopped looking for a professional basketball team. Not just any basketball team, but a quality team. San Diego deserves a quality product.”

Ciruzzi said he believes he is qualified to manage the arena because he has spent more than 20 years in management with Sears, Roebuck. A graduate of the University of Arizona, Ciruzzi is owner of Vincent R. Ciruzzi Investments. He also has served on the board of directors for El Cajon Valley Hospital.

Mel Buxbaum, press secretary for Mayor Roger Hedgecock, said the mayor issued a statement saying, “We feel we may have come to the end of a troubled period and look forward to working with new management in the future.”

Councilman Bill Mitchell, who once recommended Graham’s franchise be revoked, said Graham’s resignation came as a surprise to him. Although Graham did a poor job of managing the arena in the past, Mitchell said, he had improved and was working well with city officials.

Sports Arena Vice President Hal Kolker said, “Personally, I am happy for Mr. Graham that he will have time to stop and smell the roses. Professionally, it will mean nothing in the operation of the arena. I think you will see a new and better relationship between the arena and the city and citizens of San Diego.”