Jump to content
IGNORED

Finch Farm for sale (£15.3m)


Louis

Recommended Posts

Most of the media misreported it. Even the official statement that come out was misleading, read it and see if you get the impression that it's Everton that have sold Finch Farm.

 

ToffeeWeb had the facts right last night.

 

Finch Farm was owned by Hudson Capital Properties and sold to Liverpool City Council on May 10, 2013. At no point 'til last night did it become public knowledge. ToffeeWeb published a document from the Land Registry showing that Liverpool City Council were the owners. That forced people into action, Everton and the Council acknowledged it - despite being a month after the event, and the media has caught up and published it. Unfortunately, most use Press Association and they didn't give details as well as they could have and misreported things.

 

It isn't a new year forty year deal, it's the existing fifty year lease. Liverpool City Council are able to borrow at below market rates, they have acquired Finch Farm using a 25 year old loan and it'll pay for itself as the rent is higher than their repayments on the loan.

 

For example if Liverpool borrowed £13m at 3% and pay it in one lump sum, it'll cost £750k a year. They'd need to charge Everton more than that to cover their own back. For the Everton rent to be £500k, the Council would need to be borrowing at less than 0.01%. I think those rumours are nonsense. The Council told the BBC they will make "tens of millions" out of it.

 

Joe Anderson, the Mayor of Liverpool and leader of the City Council has refused to make the details public and says it is a confidential commercial agreement between Everton and Liverpool City Council. What he did say was that Everton approached him to buy it for the Council and Liverpool City Council will benefit from it financially, even after reducing rent payments. I wouldn't trust Twitter rumours as a source (unless it's @ToffeeTalk!), there's all kind of nonsense out there.

Link to comment
Share on other sites

So, we're in the same position as we were pretty much but it's the council making money off us rather than that group?

No. We are now paying less rent.

This, rather than paying £1.5million per year, we are now paying an undisclosed amount and instead of it going to a private company, it's going to Liverpool City Council.
Link to comment
Share on other sites

It's just another example of the club only having a short-term plan and only thinking of short-term gain.

 

Sad really, but predictable.

or its another example of the club doing the best they can at the current time.

 

The logic of buying it outright is the most sensible move, and if we had 15m to splash out, they probably would have bought it. But if they had done, then there'd no money for transfers. It's the state we're in unfortunately. I'm glad the council got it and not someone else who might've put the rent up

Link to comment
Share on other sites

or its another example of the club doing the best they can at the current time.

 

The logic of buying it outright is the most sensible move, and if we had 15m to splash out, they probably would have bought it. But if they had done, then there'd no money for transfers. It's the state we're in unfortunately. I'm glad the council got it and not someone else who might've put the rent up

We're each on opposite sides of the fence when it comes to the board so best to just agree to disagree and leave it there, rather than do the same tired dance.

Link to comment
Share on other sites

or its another example of the club doing the best they can at the current time.

 

The logic of buying it outright is the most sensible move, and if we had 15m to splash out, they probably would have bought it. But if they had done, then there'd no money for transfers. It's the state we're in unfortunately. I'm glad the council got it and not someone else who might've put the rent up

This is what I would have said a few years ago, but the three upcoming seasons guarantee Everton at least £25m more per season than the previous three seasons. If Everton were interested, now would be the time to buy. Even if it's secured against 2014/15 parachute payments (should Everton be relegated in the worst case scenario), it'd be enough to cover the cost of buying Finch Farm. Also, the board have a combined 9 figured sum of wealth, they just don't want to be held personally liable.

Link to comment
Share on other sites

Louis do you remember the original set up? Who paid to build it and what cost? And the old rent and that?

It's all here: http://www.scribd.com/doc/69456072/Everton-Training-Complex

 

Are you going to the EGM StevO?

 

I'm not sure yet, I live and work further away now. Working until 5:30 will make it tough to get there for 6. So if my boss is feeling helpful, he's a Wigan fan so doubtful.

My Dad will be there so he'll fill me in if I don't make it.

Link to comment
Share on other sites

This is what the Echo are saying about the payment:

 

Everton is in a long-term lease deal with the council and will have to pay the deal’s value – and more – back to the council in the long term. The ECHO understands they will end up paying double the amount borrowed by the council, but in smaller instalments over a longer period than under the deal with Finch Farm Ltd.

The Liberal Democrats' Liverpool leader seems to be unhappy with the situation: "If we are to make a profit from it, then we need to see report and there needs to be proper scrutiny of how the council thinks it can make a success of this."

 

I'm inclined to agree with him, it seems strange that the Council had a tenant in waiting paying £1.5m a year and decided to lower the rent by two thirds (that's if the "Echo understands" theory is right), eating into their own profits - the reason they bought the site in the first place.

 

http://www.liverpoolecho.co.uk/incoming/liverpool-council-bought-finch-farm-4307879

Link to comment
Share on other sites

Probably.

 

Robert Elstone's not happy with how the press reported it;

 

"Not for the first time, the Club was dismayed when reading our local papers earlier in the week," said Mr Elstone. "The Echo and Post's write-ups of our new rental arrangements for Finch Farm were badly wrong.

 

"The clarifications and corrections provided by our media team were ignored by the reporter and the copy published was factually incorrect and grossly misleading.

 

"The deal had been in the offing for several months. It was not distressed in any way. It was a well-thought through arrangement, supported by professional advice, which helps the Club cut its cost base. The Council was delighted to support the scheme.

 

"We have made our views clear to the newspaper."

http://www.evertonfc.com/news/archive/2013/06/14/ceo-angered-by-report

Link to comment
Share on other sites

There would be no journalists left!

They have banned a few in the past though.

 

Am I wrong to think the echo got banned for a short time not long ago?

 

 

Yeah, not for printing misleading info though, but just because the club didn't like them reporting negative things that painted the club in a bad light :rofl: .

Edited by Romey 1878
Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...