The Peterborough Evening Telegraph
Deal for Posh to buy stadium is close says club’s co-owner
Pandemic has delayed landmark purchase from council but it is now ‘nearing endpoint’
A deal for Peterborough United to buy back their London Road stadium is set to be completed in the coming months with just one sticking point said to remain.
The deal between the club’s owners and Peterborough City Council is nearing its end point, according to Posh co-owner Jason Neale after the latest meeting between the two parties.
Mr Neale told the Peterborough Telegraph on Monday: “We had a meeting with Peterborough City Council today with respect to the Weston Homes Stadium.
“We’re still trying to close the transaction.
“It’s down to one issue with both parties trying to close this issue. Our goal is to close this before the end of March, or by early April.
“We’re all working in a friendly, cooperative spirit. We understand where they’re coming from, they understand where we’re coming from and we’re hopeful of reaching an agreement.”
It was announced last March that the two parties had agreed a deal with Posh paying £5.265 million for the Weston Homes Stadium, Allia Future Business Centre and 12 car parking spaces, with the council holding onto much of the surrounding land it bought as part of the original deal, including the London Road car park. The council bought the stadium and land for £8.4 million from a property developer back in 2010. It said including the sale it will have netted taxpayers £12.3 million, with more to follow from council tax collections at the Vista carbon zero homes.
However, the local authority granted a 20 per cent discount (£830,000) to Posh on the sale of the assets in order to “recognise the economic benefit provided to the city by the football club”.
Crucially, though, the first £4.1 million instalment was to be paid by the end of last March which the council was relying on to erase its budget deficit for the 2020/21 financial year which began the month after.
Payments of around £388,333 are also due to be made in the following three years,
The contract also included a clause which means if the value of the land increases from a future development the council will share the uplift.
The council also agreed a £4.7 million grant to Posh to “fund the enhancement of the facilities” at its training ground at Nene Park Academy in Oundle Road and to “increase community use”.
The club recently submitted plans to redevelop the training ground at the school which will include an artificial pitch covered by a dome which will allow the club to achieve Category 2 academy status.
The deal is between the council and Peterborough United Properties Limited which has been set up by Posh co-owners Darragh MacAnthony, Stewart ‘Randy’ Thompson and Mr Neale, who will own the stadium separately to the club.
Last February, council acting director of corporate resources Peter Carpenter revealed that the deal should be completed by March 31 that year.
The council has been contacted for comment.
Meanwhile, Posh’s plans to move into a new 17,500 seater stadium at the Embankment have been delayed due to the coronavirus pandemic.
The club had hoped to move into the new multi-purpose ground in time for the 2022/23 season, but Mr Neale said having it open in 2023 was now a “best case scenario”.
He added: “Like any construction project we’ve been hit by Covid. We took a break in March and have just re-engaged our designers.
“It’s inevitable there will be a one year delay, possibly more, but we’re still progressing well and are engaged with the city for the grand plan in the region.
“It’s almost like time froze still for nine months. We all downed tools in mid-March but we’ve now picked up the tools again.”
Mr Neale said the next stage of the process was getting architecture’s designs completed before progressing to planning permission then breaking ground.
He added: “It is a great project for our club and the community.”