Nassau County asked for and received proposals from different development groups regarding how to renovate and build up the coliseum and surrounding area.

Islanders owner Charles Wang proposed a plan to develop the area surrounding the arena; his plan originally included a renovation of the Coliseum, a 60-story tower designed to look like a lighthouse, housing, athletic facilities, a new minor league baseball stadium, restaurants, and a new hotel, at a projected overall cost of approximately $200 million.

[4] On August 14, 2007, Charles Wang and the Lighthouse Development Group, partnered with Rexcorp, created a new plan downsizing the entire project.

In February 2009, local media speculated that Charles Wang, frustrated with the slow pace of obtaining approval for the project from the Town of Hempstead, would consider relocating the team.

[5] Wang had said that he wanted the team to remain where it is, but also said that he would be forced to explore other options if significant steps were not made by the Town of Hempstead in regard to approving the project by October 2009.

[15] On July 12, 2010, Town Supervisor Kate Murray (R-Hempstead) announced an “alternate zone” created for the Nassau Veterans Memorial Coliseum property, downsizing the original Lighthouse Project to half its proposed size and making the project, according to Nassau County Executive Ed Mangano and the developers, "economically unviable for both the developer and owner of the site."

[19][20] and split their schedule between Barclays Center and a recently renovated Nassau Coliseum on an interim basis until the completion of their new home, UBS Arena, in November 2021.