New Kings Park Stadium

If and when we get a new stadium, I would like it to be as our stadium now in relation to pitch and the fans.

Think this generates a much better atmosphere as well as good viwing for all concerned.
 
SlowDownDerek said:
It would take well over 20 years to pay off - with the best will in the world we're not going to stay up that long. Hopefully he fancies the legacy aspect of it or comes up with some way of finding it not solely reliant on matchday revenue.
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I don't agree that there is NO WAY will we stay in this league 20 years. It's not inconceivable is it ? Would you have said in that first season that we'd stay up for five seasons ? Together anything is possible ! The key to everything is Eddie though. If he isn't secured for the full term of the investment, I wouldn't fancy it myself. Sign him up for as long as it takes to finance the stadium, but with a release penalty clause which is high enough that it would pay the stadium off if the FA or some top six club were to come in for him during that time.

Also for an investor the stadium doesn't have to be 100% paid off for there to be no risk. As soon as the debt is smaller than the achievable value of the asset, there is no more risk. If it all goes to pot, you liquidate your asset and you're debt free with a few quid left over. So it's conceivable that the risk element of the investment could be gone in as little as ten years. And then of course, with Eddie at the helm, we could also generate a lot of additional income in that time by selling players we've developed for a very decent profit.

As you mention, there is also the vanity aspect of having a stadium which you built, which is probably worth a few quid of their own money to some owners.

Once the training ground is built and paid for, I think Max will be in a better position to assess the risk of investing in a new stadium.

Until then, if we could stretch to improving capacity at DC whilst going ahead with the training complex, I think that would be a decent stopgap solution ( and relatively low risk ) for all parties.
 
thegazzyb said:
I don't agree that there is NO WAY will we stay in this league 20 years. It's not inconceivable is it ? Would you have said in that first season that we'd stay up for five seasons ? Together anything is possible ! The key to everything is Eddie though. If he isn't secured for the full term of the investment, I wouldn't fancy it myself. Sign him up for as long as it takes to finance the stadium, but with a release penalty clause which is high enough that it would pay the stadium off if the FA or some top six club were to come in for him during that time.

Also for an investor the stadium doesn't have to be 100% paid off for there to be no risk. As soon as the debt is smaller than the achievable value of the asset, there is no more risk. If it all goes to pot, you liquidate your asset and you're debt free with a few quid left over. So it's conceivable that the risk element of the investment could be gone in as little as ten years. And then of course, with Eddie at the helm, we could also generate a lot of additional income in that time by selling players we've developed for a very decent profit.

As you mention, there is also the vanity aspect of having a stadium which you built, which is probably worth a few quid of their own money to some owners.

Once the training ground is built and paid for, I think Max will be in a better position to assess the risk of investing in a new stadium.

Until then, if we could stretch to improving capacity at DC whilst going ahead with the training complex, I think that would be a decent stopgap solution ( and relatively low risk ) for all parties.
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It might not be impossible but it would certainly be unprecedented. How many clubs have stayed up for 20 years? How many can keep a manager for 20 years? Would people wish that on Eddie?

I don't understand your point about waiting for the debt to be worth less than the asset. Normally you'd never build something if the debt was worth more than the asset because nobody would lend you the money. You need to cover your whole investment not just the risk element of it. It's the same as any other investment - calculate the internal rate of return and compare to other forms of investment. The return in this one would probably be lower than investing in 'risk free' bonds... and betting on AFCB being in the top flight for 20 years, whilst admittedly not impossible, is obviously not risk free.
 
SlowDownDerek said:
I don't understand your point about waiting for the debt to be worth less than the asset. Normally you'd never build something if the debt was worth more than the asset because nobody would lend you the money. You need to cover your whole investment not just the risk element of it. It's the same as any other investment - calculate the internal rate of return and compare to other forms of investment. The return in this one would probably be lower than investing in 'risk free' bonds
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It will never be risk free but as time passes and as we continue to comfortably avoid relegation that risk will be assessed to be ever smaller. I would imagine the financing of the stadium would have to be funded by profits from the club, so I was referring to Max signing on the dotted line with some bank or other as guarantor for an "up front" loan. His risk is that the club at some point can no longer service the agreed loan and only then would he have to dip his hand into his own pocket. If that never happens, he is just putting some of his/the club's profits back into building the stadium, which at the end, will be his/the club's. So I don't think the risk is as big as you think. His personal risk is the amount of the loan, minus the amount we manage to pay back before (if) we default. Of course these are big numbers and we shouldn't be flippant about it but as time passes and we continue to hold our own in the PL the decision will become easier to make.

Whether or not a new stadium is necessary from Max's point of view is another matter entirely.
 
I haven’t been on here for a while so please could some update me as to what (if anything) is happening with us getting a new stadium. Thanks.
 
Same as when you last came on pal

and

if you leave the same gap before your next visit I can give you the news now...

Same as when you last came on pal.
 
Thanks everyone. As depressing as I expected. AFC Bournemouth Ltd must be the only business of any type on Earth that doesn’t expand to meet customer demand.
What’s the hold up? Club, council? What?
 
nimzo said:
Thanks everyone. As depressing as I expected. AFC Bournemouth Ltd must be the only business of any type on Earth that doesn’t expand to meet customer demand.
What’s the hold up? Club, council? What?
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There was this ambitious idea to build a new stadium across Kings Park where the club's training ground and the athletics club currently are. It would all cost a great deal, it would mean first moving the training ground (seems to be starting at least), but there's nowhere obvious to build a new athletics ground. And since then all news has died a death.
 
Business was the very reason we heard so little initially. Negotiations for the stadium were in progress, telling the other party all our plans by divulging them to the public would have been a very very unusual business practise
 
1. We are broke
2. There is a shortage of skilled labour and engineers
3. When Labour gets elected they will implement a "Build new Homes before Football Stadia policy" and requisition all the bricks.
 
Northstand Mark has summed it up quite clearly although I disagree about relocating the athletics stadium. It could easily go onto the site of the two football pitches between Kings Park school and the indoor bowls centre.

That was earmarked for an Ice Rink that is clearly never going to happen so there is precedence for building/change of use for the plot. It also keeps the west to east orientation for the home straight which is an important consideration for athletics.
 
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