New Everton Stadium


Will the lenders be happy to lend 100% of the stadium costs or will they expect EFC to stump up some cash? Not sure how commercial loans work, but a 300m loan doesn't necessarily mean a 300m stadium.
 

Will the lenders be happy to lend 100% of the stadium costs or will they expect EFC to stump up some cash? Not sure how commercial loans work, but a 300m loan doesn't necessarily mean a 300m stadium.

The way that SVP or SPV or whatever it is is structured, it would be an ideal, and attractive way for an Insurance company, or companies, to effectively finance it, then receive copper bottomed guaranteed annual returns for 40 years.

I used to be pretty up to speed on commercial property finance/investment in a previous life, and stable, non voiding yields are the grail for them. In some ways, the more boring the better, which is the only difference here. But the result is identical.

And there could be other investors sitting outside the SPV, looking at it in a slightly different way, cos they could charge higher interest rates because of the non guarantee status they would "enjoy".

Time, as ever, will tell.
 

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