JW3-LJCC merger ‘close to collapse’
THE PLANNED merger between JW3, the £50 million London community centre, and the London Jewish Cultural Centre is believed to be on the verge of collapse.
At the announcement of the merger in September both parties stressed that negotiations had been harmonious and that they were near to a conclusion.
But since then they have been unable to agree on the financial arrangements that would underpin the proposed new body.
The LJCC’s financial requirements to meet the obligations of a merger are believed to be far larger than originally anticipated.
An emergency board meeting of JW3 was called for Wednesday afternoon.
The board is thought to have been told that the sale of the LJCC’s home, Ivy House, would not realise the sums expected because of the large mortgage on the building.
According to a source close to the negotiations there has been friction over the attitude of JW3 towards the LJCC.
“JW3 seem to think this is a takeover rather than a merger,” the source said.
“LJCC is not some junior upstart that can be squashed out. Unless JW3 realises that it needs the LJCC as much as the LJCC needs JW3, this deal is dead.”
At Wednesday’s meeting the decision was taken to reject the new, increased financial terms demanded by the LJCC and, in effect, to cancel the merger.
The proposal for a new joint body had been widely welcomed, not least because of the feeling that it made little sense to have two community centres in close proximity, both competing for the same audience and charitable donations.