The All Whites midfielder first linked with the Phoenix in June but has been unable to play an official match with them, as his contractual status has been under dispute.
Two weeks ago, an independent arbitrator ruled that McGlinchey remained contracted to the Central Coast Mariners, despite the ownership situation at the Australian club being unclear.
That decision was under appeal, with the Professional Footballers' Association presenting a case that will be heard by a three-man panel, including a former A-League player and an FFA representative, who will make a binding decision.
However last night Mariners coach Phil Moss told the Sydney Morning Herald that they had decided to let McGlinchey go.
"Obviously we have a very special culture in the Mariners' and that culture doesn't allow for anyone that doesn't want to be here. Nor am I the type of coach that caters for players who don't want to be here," Moss told the Australian newspaper.
"We had some great times with Mikey at the club but he made it clear to us he wanted to leave, under different financial terms." The decision is a massive fillip for the Phoenix.
McGlinchey is the creative midfielder the team desperately need -- he's like Carlos Hernandez but without the baggage -- and has consistently been at the top of the A-League assists charts in recent seasons.
The 27-year-old is also coming into his prime as a player and offers versatility in midfield.
