The stadium WILL be built. We will NOT be relegated. We WILL be successful.
ALL work completed
ALL supporters happy
ALL pigs fed and ready to fly
ALL work completed
ALL supporters happy
ALL pigs fed and ready to fly
BlueStevie35
Player Valuation: £70m
They won’t, they’ll just knock the local housing down again to extend the Kop, if they really wanted the dock site they’d have bought it years ago
My worry is the can of worms that I reckon will get opened very shortly re. BMD/finances, something doesn't stack. It looks like best case scenario is we become tenants at present. Someone will want their money back very soon and if we were to go down then I cannot for the life of me see a way out.
gwladysnight
Player Valuation: £10m
The numbers simply don't add up though. If Moshiri pays for the ground to be finished his total investment will be well north of a billion pounds. Even if someone was prepared to pay say £500m for the ground to even service that debt without paying off the capital you are looking at least £50m per annum. So for it to be a worthwhile investment for a buyer they would need to charge the club £75m+ a season or more realistically £100m a season.
Those numbers simply aren't viable for the club to repay every season. So why would anyone want to buy the ground?
suave 1878
Player Valuation: £500k
You have to copy and paste link but interesting video of the stadium and I didn’t know they’ve moved the car park from the other side of the canal
suave 1878
Player Valuation: £500k
You have to copy and paste link but interesting video of the stadium and I didn’t know they’ve moved the car park from the other side of the canal
The link works now
Yep, does Moshiri/whoever owns us sell the club and BMD together? Who in the world would give them anything like their money back?
Does he sell the club complete with Goodison? It'd be cheaper to buy and he/they would get a slab of cash back. If so then who would buy BMD if we were in the championship?
It's becoming mind boggling stuff when you turn the issue in to basics. Something has got to give shortly and there's nobody batting on Everton's side in all of this.
The numbers can be crunched in such a way that the rent per annum and the length of the contract that binds Everton to play there make sense. Not sure where you get the £50m per annum figure from. Moshiri (or whoever ends up owning the contract) also gets to keep all non-match day revenue too, money from conferences, exhibitions, concerts, weddings etc. I wouldn't rule it out, that's all I'm saying.
Tom Hughes
Player Valuation: £10m
The financial model for the stadium was always a very sketchy finger in the air effort. Most turned a blind eye because we knew we had a rich backer who was prepared to sponsor fresh air to make the sums work. Without USM sponsorship and with potential relegation and the increased costs, there is no obvious way that the equation balances itself. Unless it is the ultimate act of philanthropy from Moshiri to gift us it or a large chunk of it.
gwladysnight
Player Valuation: £10m
Whoever bought the Stadium for say £500m would almost certainly need to borrow the money to buy it. The cost of corporate borrowing has rocketed over the last few years. You are looking at a minimum of 10% probably higher given how risky the investment would be. So just to service the debt would cost £50m a year.
All will be revealed. It's certainly a head-scratcher. One thing's for certain, a sporting institution like Everton FC going out of business means nobody makes money out of it.
PS Why would they necessarily have to borrow the money? Plenty of individuals, banks, pension funds, corporations are cash rich, I'd guess, aren't they?
Absolutely my thoughts too. Now compound that with being relegated, it'll be no straightforward relegation normal teams have. It'll be war. It is bleaker than many realise.
Tom Hughes
Player Valuation: £10m
The club makes a staggering loss each year just treading water in the top flight....
Yes, we might be able to spread the cost over the life of the stadium and our matchday and other incomes should increase... but if relegated that income (which is dwarfed by the big boys) soon drops sharply.
I agree,Tom. The reason we make a loss each year is because we are spectacularly badly run. We buy average players for far too much money, put them on contracts which are far too long and pay them far too much. Our academy turns out few saleable assets, too. Without stating the obvious, it doesn't have to be this way and maybe if we replaced the current board with people who know how to run a sporting business we might be able to turn things around and live within our means again. I mean that's not impossible, is it?
