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West Ham buy £600M Stadium for £15M

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Replies: 59
By:
kellydamo
When: 24 Mar 13 00:59

Mar 24, 2013 -- 12:36AM, themover wrote:


City's stadium cost £112 million, slightly less than the Olympic Stadium Manchester city council still owns the stadium, on which it spent £22m of council tax payers’ money to have the running track removed and convert it for City to occupy as tenants after the Commonwealth Games. City handed their former Maine Road home to the council, and spent £20m installing bars, restaurants and corporate entertaining areas. The terms of the rent were for City to pay the council a proportion of ticket income above Maine Road’s 32,000 capacity, which has produced around £2m for the council annually since 2003 – £16m in total.The council’s income from the stadium goes into other sports facilities on the site, according to the original agreement with Sport England, which provided £90m in lottery funds to build the stadium.Read more: http://www.dailymail.co.uk/sport/football/article-2045532/Manchester-City-fr...  Follow us: @MailOnline on Twitter | DailyMail on Facebook


cheers

By:
Hamsterdam
When: 24 Mar 13 03:02
West Ham got lucky but it's in the interest of the tax payer to let them have it. Not sure if their fanbase is big enough to exceed their current capacity but if not there's not much advantage other then having the kudos of a big stadium.

And bigger isn't always better, just ask Juventus Wink
By:
jajabink
When: 24 Mar 13 16:21
west hams chairman has a deluded idea that ham are gonna make the champions league within a couple of years,also how on  earth are they gonna fill 54,000 seats spurs wouldve of been a far better choice ,ham playing championship soccer within the next few years more likely
By:
tobermory
When: 24 Mar 13 18:57
West Ham would do 54,000 for Arsenal,Spurs,Chelsea & United.

Liverpool? maybe. City? doubt it

And that would be all, but it won't even be those if they are in The Championship.

Only way they would be selling out regularly would be if they were a Top 4/Title Challenging/Champion's League side themselves .But given the huge advantage this deal has given them over other clubs that have to pay their own way maybe that's not so far fetched.
By:
superports1
When: 24 Mar 13 19:07
tobermory 23 Mar 13 22:13 Joined: 01 Mar 08 | Topic/replies: 32,148 | Blogger: tobermory's blog
£2M a year for 99 years ,not even half of Andy Caroll's salary


Lol, talksport radio reading the forum!
By:
Ovalman.
When: 24 Mar 13 20:13
£50,000 rent for every home game isn't exactly value. West Ham might struggle to pay it when they drop a division or 2.
By:
johnboy85
When: 24 Mar 13 20:20
at the end of the day its not west hams thought that the Government do not want the stadium sat idle apart form a couple of weekends a year


and to that c**t barry hearn, just have us at home alternate weekends
By:
brngtwt
When: 24 Mar 13 20:23
What stuck in my throat was David Sullivan saying on the radio they wanted the stadium to make it "affordable for all" to go to watch football.
While at Birmingham they tried to create a "members" scheme that was compulsory to buy an away ticket- cost £50.
They also cranked the ticket prices up so high that unless they ran kids for a quid promotions they couldn't fill the ground.
By:
johnboy85
When: 24 Mar 13 20:28
they are both west ham fans which is why i think they have probably put themselves out alot more than before
By:
brngtwt
When: 24 Mar 13 20:58
Sullivan is a Cardiff fan, he was winking at them for years talking of taking over.
I don't believe the Gold's are West Ham fans in any other way than it suits them to say it.
My team Wolves were taken over by a so called lifelong supporter, funny how he only emerged to buy the club when the Prem big bucks appeared.
when we were skint in the 80's he wasn't interested at all.
By:
PBK
When: 24 Mar 13 21:51
Laughing my wotsits off this will be the death nell of WHU the thing that makes West Ham West Ham is the small intimidating ground which puts the wind up teams and away fans alike, all that will be needed to highlight the half empty stadium is some tumbleweed !
By:
tobermory
When: 17 Sep 15 03:06
Campaigners for transparency over West Ham United’s move to the Olympic Stadium have scored a major victory after the information commissioner ruled the terms of the deal should be made public, the Guardian can reveal.

Both the London Legacy Development Corporation and West Ham had long argued that the deal for the largely-taxpayer-funded stadium should remain buried beneath a sea of black ink for reasons of commercial confidentiality. The decision could be embarrassing for the London mayor, Boris Johnson, who was desperate to conclude a deal with a football club to give the stadium a sustainable future, and West Ham, battling to convince the public the terms do not amount to a taxpayers’ subsidy for a rich football club.

It may also reopen the argument over whether the LLDC broke European state-aid rules, after the Guardian revealed earlier this year that it had failed to apply to the European Commission for an exemption.


Following a convoluted freedom of information process started last September by the Charlton Athletic Supporters’ Trust, the information commissioner has ruled that the commercial terms under which the east London club will become the stadium’s anchor tenants next summer must be published.

It is already known that West Ham will pay only £15m of the £272m needed to make the 54,000-capacity stadium suitable for Premier League football, athletics and other events. The annual rental agreement on the 99-year lease is believed to be around £2.5m, although the true figure has never been confirmed.

A host of other details around the proportion of the naming rights, catering, merchandising and hospitality revenues taken by West Ham have remained secret, meanwhile.

The LLDC will also be obliged to reveal which costs it is meeting, on matchdays and elsewhere, and which are being met by West Ham. The exact terms of the lease, including a negotiated discount if West Ham are relegated, will also have to be revealed for the first time. During a long game of legal ping pong with those who sought more transparency, the LLDC would reveal only that West Ham retained all the money from ticket sales and that the annual usage fee covers matchday costs.

Unless it is successful with an appeal, the LLDC will be forced to reveal the terms of the deal in its entirety, giving rise to a new wave of scrutiny over whether the taxpayer is getting value for money.

West Ham had argued in its submission that it was “deeply concerned that the disclosure of the commercially confidential and sensitive information will inevitably have an adverse impact on the stadium partnership”.

It was also concerned that full transparency around the terms had “the very real potential to damage the perception of WHUFC in relation to the stadium”. They said it could affect their ability to sell tickets and prejudice their negotiating position with customers and suppliers.

The LLDC argued that it would have an impact on its search for a naming-rights partner and prejudice future negotiations between the stadium operator, Vinci, and other potential users of the stadium. It also revealed that West Ham had threatened to sue for breach of confidence if confidentiality clauses were broken.

But the commissioner ruled that neither the LLDC nor West Ham had been able to demonstrate how the information could be exploited by competitors or how its release would place them at a commercial disadvantage.

A coalition of 14 club supporters’ trusts, formed to campaign on the issue, will now call on Johnson not to appeal against the decision and to publish the contract immediately. A spokesman for the coalition said: “The information commissioner’s decision could not have been clearer, and it is equally clear to us that publication must follow. This campaign is publicly backed by 25,000 individuals, football supporters’ trusts from around the country, and the public interest in the issue is there for all to see. We call on the mayor not to use the appeal system to delay publication of this document further. If he does it will open him up to the suspicion that he has something to hide.”

The largest chunk of funding for the transformation comes from a one-off settlement of £148.8m from the exchequer in 2010. Newham council has provided £40m, West Ham £15m, almost £40m comes from the original £9.3bn budget for the Olympics, and a further £25m from the government.

The cost of the conversion soared from the original estimate of £160m when the decision was taken to award West Ham a 99-year lease after an earlier process had collapsed amid acrimony and legal challenge.

West Ham and the LLDC have argued that without the upfront costs to convert and kit out the stadium to make it suitable for football, it would be a continuing drain on the public purse. The LLDC board was formerly chaired by Johnson, who quietly resigned from the post shortly before the general election, and is now headed by his long time Olympics adviser, Neale Coleman.

“We are disappointed by the information commissioner’s decision, which we believe will damage our ability to secure the best deal for the taxpayer in future. The stadium will have many users and publishing the contractual details will undermine our ability to deliver the best financial outcome from numerous future negotiations. We always strive to balance transparency while protecting the taxpayers’ financial interest and we are considering the ruling carefully as we decide what action to take.”

It is believed that the LLDC will come to a decision in the next 10 days over whether to appeal. If it decides against, it has 35 days from 3 September, the date the information commission sent the letter, to make the information public.
By:
tobermory
When: 17 Sep 15 03:07
West Ham had argued in its submission that it was “deeply concerned that the disclosure of the commercially confidential and sensitive information will inevitably have an adverse impact on the stadium partnership”.

It was also concerned that full transparency around the terms had “the very real potential to damage the perception of WHUFC in relation to the stadium”. They said it could affect their ability to sell tickets and prejudice their negotiating position with customers and suppliers.



lol i bet it does Laugh
By:
lurka
When: 17 Sep 15 09:31
regardless of cost price, the stadium is in reality worth only a fraction of that. Full cost should be ignored, it is an historic figure at this stage and not relevant today. The market value is what someone would be willing to pay for it on the open market and demand is scant. WHU may still be getting looked after financially but anyone would have to be to move there.

Looks to me like it will be a bad move for WHU, another ground fans won't like, half empty most of the time. Probably best for the club that it only takes a lease but not sure the best interests of the club are the reason for the move.
By:
Westender
When: 17 Sep 15 10:16
Demand is scant - Spuds and Orient may disagree on that Laugh

The Olympic Stadium in Barcelona was occupied by Espanyol for a number of years and the atmosphere in an Athletics stadium was non existent.

West Ham will be no different in the London Olympic Waste of Taxpayers Money Stadium
By:
mesmerised
When: 17 Sep 15 10:28
Tottenham should merge with West Ham and save a fortune on redevelopment/rent costs for their new stadium, it's simply a win/win situation, Tottenham United.
By:
Westender
When: 17 Sep 15 10:42
North Ham United sounds better
By:
tobermory
When: 14 Apr 16 20:33
disgraceful , Boris Johnson mainly to blame seemingly
By:
Ibrahima Sonko
When: 14 Apr 16 20:54
Even thou i dont agree with west ham getting it so cheaply but really lazy to say they are getting a £600m stadium, it cost £600m to build for a purpose but is virtually worthless or it would had been sold for more. Im sure the venue will still get money in from other events.
By:
Captain Christy
When: 14 Apr 16 21:13
Hard to believe a Wolves fan slagging off Hayward who bankrolled the club for years when their 'fans' had deserted them only to re-appear of course when they made the premier.
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