Sale and leaseback of Ibrox, Murray Park, Heads of Terms


I have a Heads of Terms document for the sale and leaseback of Ibrox, Murray Park and the Albion Car Park.

The purchase price for all three assets is £7.285m.  In addition to this there is a £6.9m loan provision with 15% interest payable monthly (£985.5k annually).  Initial rent for all three properties is £1.8m.  The 20-year lease provides for upwards-only reviews every five years by either 2% p.a. or RPI, whatever is greater (so assuming RPI is less than 2% each year, after five years, rent would be £1.987m).

Annual costs for rent and interest would be £2.835m.  Current season ticket sales are reported to be approximately 36,000 with a standard adult price of £286, income net of vat will be around £8.5m.

Although the top line figure for both sale and loan is £13.835, “the initial payment will be less 3 years rent [£5.4m] to compensate for the lack of guarantee covering the rental payments”, so monies paid would be £8.435m as the first three years rent is deducted from the total.

Crucially, rent is to be securitised against ticket receipts and the new landlord is to be granted “first charge on the season tickets”, so, just as Craig Whyte planned with Rangers, Sports Direct FC would collect ticket money before passing it on to the security holder.

If the buyer attains planning permission for residential properties at Murray Park, a provision releases the seller from having to repay the £6.55m loan and cancels future interest payments.  This speculative clause would release the club from punitive interest repayments but would require them to find a reasonably priced ash park to train on.  Perhaps the Albion Car and Training Park.

“The tenant” will be able to buyback the stadium.  In year one the price would be £10m (they would still owe the £6.55m loan).  The set price increases by 12% p.a. for 10 years, so the year-10 price would be £27.7m.  Thereafter “price will revert to Market Value but will not be less than £20m”.  The market value of Celtic Park is around £50m.  There is no buyback provision for Murray Park or the Albion Car Park.

The deal is on the table but will not be signed before the share issue, or if “the tenant” wins the Euromillions Jackpot (that’s not a euphemism for Champions League money, I mean the actual lottery), or finds some magic beans.

Click here to read the fabulous CQN Magazine for free, or strain your eyes squinting below. You can also buy a hard copy of the magazine here from Magcloud.

[calameo code=000390171a36dad35d58c lang=en page=60 hidelinks=1 width=100% height=500]
Click Here for Comments >

About Author

  1. Pages:
  2. 1
  3. 2
  4. 3
  5. 4
  6. 5
  7. 6
  8. 7
  9. 8
  10. 9
  11. ...
  12. 21

  1. Lennon n Mc....Mjallby on




    Eye opener,great scoop,lets hope they’re scrapin’ about paying the rent on their own mad house for years to come.

  2. Lennon n Mc....Mjallby on

    “How much warchest do you have Ally?”




    “Well after the rent’s paid,no’ very much.”




  3. buddy morrisey-



    I also heard and emailed them stating I do not wish to subjected to that and others are banned for less.



    Hail hail



  4. The Boy Jinky.



    Sorry. Your e-mail address is one of the many that disappeared from my computer when it crashed.

  5. Murdochauldandhay


    The problem is they have NOT had their degradation reported widely, therefore are escaping natural justice.




  6. EC67






    Completely different tack taken had it been us…………..



    Down-play or blatantly ignore is the hun apologist order of the day.




  7. I recorded the Ch 4 news earlier. Can anyone tell me, roughly, when ‘their’ story was on?

  8. If I grow a beard get a good tan and look at a policeman cross eyed I will no doubt get arrested



    If I rip off the taxpayer for millions appear on TV as the victim I will no doubt in most cases get off with it



    Looking forward to TV new media



    So the punter can get the same airtime. csc

  9. The Boy Jinky.



    You better believe it.


    I sent a mail to BT,(no, not the phone co),the other one,if you had any goodness in your heart you would call him and get my e-mail address from him.

  10. i will email you two bhoys..



    tooting tim is was a pleasure..



    also great to meet up with the croyden supporters club who lurk daily..

  11. tommytwiststommyturns on

    CRC reports that unfortunately, there will be no CQN quiz tonight.


    He’s a busy bhoy with family stuff, so can I suggest that we have an ole Pablo Friday music night instead?!






  12. tommytwiststommyturns


    20:25 on


    26 October, 2012


    CRC reports that unfortunately, there will be no CQN quiz tonight.


    He’s a busy bhoy with family stuff, so can I suggest that we have an ole Pablo Friday music night instead?!



    who made you bus convener ?



    och ok then, your right

  13. The Spirit of Arthur Lee on




    Suits me Sir as i have the bhoy to pick up at the disco at half nine

  14. If Rangers go bust again, I realise that it will cause even more and prolonged financial harm to their prospects of clawing their way back to the top level in Scotland.



    However, what really changes?



    Since the SFA have already set the precedent that you can go bust but buy back your history, they can repeat this trick ad infinitum or until they get it right.



    I fully expect them to play the victim card next. They will say:- “Criminals have conspired to kill our club. We have shown we want a Rangers to support and will do so in large numbers. We can enhance Scottish fitba so let us start again. Go ahead and remove any titles you like- we’ll still claim them. Oh! and can we rent Hampden cheap while we recover- SFA needs the money and we are the only team that can give you a fair return”.



    So start again, debt free and build up for 5 or 6 years. Ibrox cannot earn a return for its owner and they are forced into a cheap sale back to the reformed Sevco, after a few years.



    Can anyone else re-assure me they will suffer more than this.

  15. sixtaeseven: £94M: Permanent Embarrassment & Disgrace Forever on

    The Big Hoose must stay open…



    … for sale and leaseback!



    What a shambles – you almost feel sorry for the ordinary hun punter.



    Almost – mais pas tout à fait !!!

  16. Evening folks,



    Think someone already posted about the interview on Alex Thomson’s blog re the Gary Allan QC intimidation. If you’ve not seen I strongly recommend you have a view.



    Listening to the ordeal and truly frightening experience this family has gone through, I can’t begin to imagine what Neil Lennon and his family must have gone through and probably still going through to a degree.



    Respect to all.




  17. setting free the bears –



    Worst case scenario is that they are in the SPL with no debt in a few years.



    Considering they got up to all kinds of financial shenanigans to pip us for titles by a single point or whatever, I would guess they would be lucky to win one title in 5.



    Again, worst case scenario (for us),

  18. Noticed Sevcos Google entries are dropping off



    Looks like bad stories are disappearing and the ones they want the world to see are gaining prominence



    Must be costing Green a fortune to bury bad news

  19. Oldtim



    Im blooming well in shock hee



    ” if i had any goodness in my heart ”



    Thats a terrible thing to say ….when you already know that I AINT GOT A HEART ….. lmfao

  20. Half time Motherwell 0 Hibs 1 which is nice. better still, Motherwell manged to get a header a foot over the line but missed by the linesman, a certain Frances Andrews? Sir Cardigan will be shouting ‘ah telt yies…’

  21. the spirit of arthur lee



    20:27 on 26 October, 2012





    Suits me Sir as i have the bhoy to pick up at the disco at half nine



    Your picking a boy up at the disco?


    Did I read that right?

  22. Jobo



    Frances Andrews?



    I think Sevco fans have visited a terrible punishment on the lad/lass




    Pete the Beat



    What factors would determine the 1 in 5 titles prediction and for how long would they be limited to this ratio?

  23. The boy jinky.



    Don’t no how to go about getting your email address of Paul.



    Msm will do the usual tomorrow and blank everything and opiate the hun with how great they are.



    Should be angry but we no theyr deid.hh

  1. Pages:
  2. 1
  3. 2
  4. 3
  5. 4
  6. 5
  7. 6
  8. 7
  9. 8
  10. 9
  11. ...
  12. 21