Apologies if this is already out there (MUST BE) but WTF?

Companies House

Not sure exactly what it means but someone out there is bound to - looks like Short sold off 85m of the debt to someone called "Security Benefit Corporation" and this debt appears to include the stadium?

(As I say I'm no exper in these but if anyone is I'd liker to know more about it - also, if it's been poster before just point me in the right direction)

 

That is very worrying, the f a will be straight in on this. They will most likely use the SOL for concerts, boxing etc and will loan it out to the new owner for matches if allowed.

 

And the opinion of someone with an idea would be nice.

The FA don't have any rights to the Stadium if it's used as collateral for a debt. So stop spouting ****e and making stuff up if you know nothing about it

 

I would guess that he has not sold the debt but has sold the Stadium, IF your story is correct.
The £85mil would be used to repay a large part of the debt.
(I thought the debt was supposed to be to Mr Short but I'll ignore this).

Some sort of Sale and Leaseback could have been done but £85mil would suggest a straight sale.

IF I'm right this would not concern The FA.
Not every Club owns their own Stadium. (Think West Ham and N/C).

Part of any agreement would have been the Club having a lease for Football but that may not necessarily include other activities which may revert to the owners.

Overall, selling the Clubs main asset is a big step.
The main, (ONLY) advantage I can see is that SAFC will no longer have any substantial asset to borrow against in the future.
So the Management Style of recent years that got us into this mess can not be repeated.

 

The SBC side of things is an £85m loan that was put in place a couple of years ago and if I remember right is due to be completed by 2019. The ground is bit of a security blanket against that loan, given our current financial position it could be brought into play if we don't manage to re-negotiate or clear the loan by the deadline.

Bit like the bailiffs coming round and taking a TV worth £300 off you because you haven't kept up with your car re-payments.

 

Edit, This post was in response to Poly's post...

My immediate reaction was, oh ****, we're another Coventry. But that was just a gut reaction and I don't even know if it's a comparable situation or not.

My first question would be, does this make the sale of the club more likely or not?

If it is true, why would this make our club any more an attractive proposition to any buyer than it would be with the stadium as part of the deal?

 

No that agreement in the OP is from 2014 so guess it doesn't mean much other than the club has used it's main asset to secure the loan. Much like my mortgage - if I don't pay it the repossess my house - if SAFC don't pay their loan they repossess our stadium!

 

You might fill Darlos stadium if you did ground share!

 

That's the Yank Bank I've been going on about for last couple of years who will call the debt in by 2019, I've been going on about it but folk just ignored me. They can put our lights out and put us into administration if they think for one second we can't pay them back.

They are the only people who can put us into administration, and Short of course but that would never happen as he'd stand to lose too much.

 

Ah cheers fella. Just never eeen it referred to in this way (thought you may have known the answer mind)

 

Problem is that accounts are published so far behind it's impossible for the joe public to work out if we're actually in danger or not, hence the recent rumours now the penny has dropped about this debt. Need some proper assurances from the club. Not the waffle Bain came out with last interview which told us nothing at all about the real problems.

 

So here's the question. Would administration, in the long run, be a good thing? Surely it would get rid of the main issue at the club (Short)

 

Ten point deduction and likely another relegation which will represent another massive drop in revenue which would almost certainly lead to the sale of the ground, undeveloped land and AOL. No mate it would be disastrous. The point deduction rule has always made administration more dangerous for football clubs, an extra kick while they're down making it harder for clubs to get up.

The best thing for the club imo is for short to sell at a loss to give the new owners extra cash to sink into the club so we can honor our debts. It's down to Shorts greed ultimately. With him not willing to take a loss means this debt may be covered and there's nothing to worry about. This his bread and butter, stripping companies back to make them profitable again then selling the company on for profit. Obviously the margines and **** up mean he can forget his profit, but hopefully he can clear the debt and get shot. I have zero confidence that he can grow the club if he sorts the debt. His never grown a company in his life apart from the one which profits from cost cutting other companies, he's tried to grow us and made a right mess of it, really don't want him to have another crack at it.

But no, I don't think administration would be a good thing, but I don't think it's an issue just yet, think Short would have sold at a loss in the summer if it was more imminent. If it's to come it will come in 2019 or back end of 2018.

 

If they wanna have the stadium for £85million let them have the ****er, clear the debt that way and start from scratch.

On no mans planet is that land and building worth even a quarter of that, and frankly we haven’t made memories there have we? Let the ****s have it and build a new stadium start from scratch.

Be a fcking hoot.

 

How about follow the ladies to Marriners Park ....no its a silly thought

 

Nah, the amount stadiums cost these days we'd need a sugar daddy to buy us out in order to build a new one and fund a team. I'd love the new owner to reduce the stadium back to how it was though, shouldn't be too expensive given it was designed to be extended without big structural changes. Our stadium is essentially just a big set of meccano isn't.

 

Why would you love to reduce it ?