Giants Park Community Stadium & Sports
/ Educational Village
Potential for community shares issue?
Proposal; of Crusaders FC and Newington FC
Crusaders FC Background
• Established 1898, proud
working class institution
• Became senior club 1949,
replacing Belfast Celtic
• League Winners 4 times,
Irish Cup 3 times
• Current Manager, 7
trophies in 7 years,
• This Year: 3rd Irish Cup Final in
4 yrs, League Cup Winners, SF
Setanta Cup, UEFA qualification
• Owned, run by fans,
affiliated to Supporters
Direct
What’s the problem (1)
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Meet rising Standards: 2007-08 League moves to
Licencing. Initial applicants ranked by points;
Crusaders in 15th place (12 team League)
Debt: Owed £470,000 – much to HMRC, Bank,
Brewery
No credit: At limits of borrowing with Bank (Bank a
“zombie” bank)
Needed an immediate £30k to meet licencing criteria
Needed around £100,000 to take advantage of (to
‘match’) available grant aid
What’s the problem (2)
Football is popular, but doesn’t pay: Except
Linfield, barely a financially sustainable club in N.
Ireland! Not an investable business
 Island wide,“80% technically insolvent” , Drury 2008
 Standards Rising: IFA, UEFA, (AIPL?).
 Requires new model. MODEL NEEDS TO
- Generate (non football) income & be sustainable
- Embrace all communities, welcoming leisure venue
- Local authority involvement / “buy in”
- Community “buy in” - Sports development approach
Crues / Newington proposal is that model !
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What’s been done?
Bond Scheme
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Bond scheme
Base rate + 2.5%
Units of £250, no limit
Payable within 3 years
Bondholders unsecured
46 Bondholders
Range £250 to £23,000
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- 28: amounts less than £1000
- 9 x £1000 or above
- 3 x £5000 or above
- 3 x £10,000 or above
• Ring Fenced to Ground
Development
Development
 New 4g artificial surface –
opens stadium 7 days
 New floodlights
 New changing rooms
 2 new 830 seat stands
(modular, moveable)
 Renovated North Stand
 New pitchside fencing
Means
 Welcoming, open
 Better community club
 Better Youth Academy
 New Womens section
 Better income streams
Progress, but Still Problems
The Good
• Technically Solvent:
Debts still @ £470k, Asset
net book value of £1.4m
• Profitable for last 3 years
• Shifted debt from “hard”
creditors to “soft” creditors
• Grant £400k with
Newington FC for “Mes
Que un Club”
• Aim at Survival for 3
years, then “New
Stadium”
The Bad & Ugly
• Financially Precarious
• Not Solvent, based on
ability to meet liabilities as
they arise
• Cash Flow nightmare
• Still over-paying players,
based on basic trading
• Still “footballers first” in
creditor priority
• Cash culture prevails
• Still some dangerous
“lights out” creditors
• Still gambling on success
Giants Park
Community Stadium &
Sports/Educational Village
A sustainable, shared sports ‘Hub’ in
North Belfast
Proposal of Crusaders FC and Newington FC with Belfast City Council
North Belfast
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Most segregated part of N Ireland
22 of 42 NIO “Peace Walls”
Highest “Troubles” related deaths
Poor access to leisure facilities
High levels deprivation
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4000 - 8000 Stadium (UEFA, DDA Eco compliant)
3500 seat Indoor “Pro-Basket” arena & public ice-rink
Sports Village: 100,000 sq ft rental space
Tertiary Education Block / “Hub”
Belfast Met. Football Academy
Signature Youthzone
Soccer Dome / MUGAs
Hotel & Retail
International Centre of Excellence (?)
GAA 3G pitch
Adventure Golf
PLUS - Global level media interest, 2000+ jobs
Main Features
Sports Educational Village
“A business park with a
pitch in the middle”
• 100,000 – 120,000 sq ft
let space
• Anchor Tenant: 3rd level
Educational)
• Sports Medical Unit
• Sports Retail Unit
• Sports Consultancy Unit
• College Coaching Unit
• Scope for Council play,
sport, leisure depts rental
SUSTAINABLE BUSINESS MODEL*
Permanent Tenant (s)
Stadium Company
Balanced Revenue Streams
Sports
Events
(10%)
Concerts/
Exhibitions
(5%)
Community
Involvement
and Events
(5%)
Business & Property –
Leasing & Rental
(80%)
* This model stems from a ‘Global Model of Best Practice’ from research by University of Ulster
Overtly
Cross
Community
ESSENCE OF
THIS PROPOSAL
Social
Employment
Enhancement
Economic
Sustainability
Key Club Benefits
Sports Development “Hub” :
• Great playing/training facilities
• Competitive advantage
• A welcoming stadium to be
proud of, DDA, UEFA
compliant, Eco-friendly
• Improve attendances.
• Wider usage for school,
community, events
• Create great media offices &
hospitality space.
• Commercial income - match
day facilities and let rental units
secures long term clubs’ future.
• Sports Apprenticeships, on site
Sports medicine
• Governed by “Stadia Co” separate from Clubs !!!!!!
Community Shares ?
• Developer to build
whole scheme
• £200m total
• Clubs can be
“sweetheart” tenants,
or
• Clubs can “buy equity”
• Crusaders can
redevelop Seaview to
clear debts
• Clubs can now
fundraise for equity
• Community Shares,
could lever in
significant North
Belfast “ownership”
• Issued through clubs
to maintain communal
balance, eg
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X shares Crusaders
X shares, Newington
Y shares, independent
• Could lever access to
stadia grant funding as
part of equity
Next Steps
Expression of Interest
 Development Brief
 Currently, due diligence
 Council decision by September
 Funding, Financing, Planning, Tendering & Build!
 Quick decision and momentum important.
THEN
 Set up Stadia Co.
 Community Shares issue
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