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.

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  1. 67Heaven ... I am Neil Lennon..!!.. Ibrox belongs to the creditors on




    20:59 on 26 October, 2012



    We should buy it, from our small change……and bulldoze it …..LOL

  2. 67Heaven ... I am Neil Lennon..!!.. Ibrox belongs to the creditors on

    Hit don misses a penalty …….LLLLOOOOLLLL

  3. Ok, just watched the Channel 4 news report



    Plusses – (1) clear refernces to the intimidation for anyone stepping out of line and (2) the link to Cathkin Park


    Minuses – the omission of that part of the interview with the QC where he very cleverly tears Ally McCoist’s credibility to shreds



    Hibs go 3 up – magic!

  4. 67Heaven ... I am Neil Lennon..!!.. Ibrox belongs to the creditors on




    21:17 on 26 October, 2012



    That was a penalty…!!!!!!!…. DOOO DOOO

  5. MurdochauldandHay, 20:56


    I think as Celtic fans that detail, of the role of the brogue charmer, counts for a lot. But in the great scheme of things to the outside world it’s a small detail.


    And if you are limited by the time constraints of television news you need to present the bigger picture by showing the range of intimidation – and I thought that was well done. There was a lot more that could have been shown but you can end up over-egging the pudding.


    The online piece is a stand alone and says a lot to those who are in anyway familiar with the story in Scotland (and Belfast)

  6. setting free the bears



    I supose it all depends on what you regard as armegedon.



    I think they will go bust again, not being a financial kinda bloke, but even I can see the figures don’t stack up.



    They still have the same staff as they had pre adimin, the playing staff are on much less wages but the income has fallen just as sharply, all the other outgoings are as per, they are running at a loss.



    This is where I reckon the Fife connection will come into play, the ground work has already been put in place.





    Hibs were 5/2 ish earlier, a great bet, wasn’t brave enough.



    As they say…hindsight is the foresight of the gobsh1te :>)

  7. blantyretim



    21:14 on 26 October, 2012




    thanks for the reminder…o((



    week of and 3 appeals on my return on Monday…




    Good luck. I am still waiting for a date for my friend.



    Now every time you see a Fray Bentos pie you will think of appeals.



  8. Oh and while I remember. My dear home town of East Kilbride took an unwarranted battering on CQN this morning. Names were noted for future revenge!

  9. 7 Middle Dig, Burnbank Perm, 70s porn star, early 870s porn star, Stuart McCall, Cleaved head.



    8 Chernobyl, Bikini Atoll, Murray Park



    9 Anton Rogan, Anton Rogan, Mark McInally, Anton Rogan



    10 A French Fancy



    11 Augustus Gloop, Dwight Goodman, Chef Paul Prudhomme, Gilbert Grape’s Mother and Alastair McCoist



    12 The Fenwick Moors

  10. has there ever been a quicker 3 penalties awarded in a game than that?



    there, thats the first and last quiz question

  11. praecepta and TET –



    I took Hibs at 11/4 just before kick off. Just a couple of quid on but should win enough to at least break even this weekend.

  12. Notthebus.



    Cheers for putting things in terms that il use to bury more zombies.



    I’ve nearly got as many kills as my bhoy on cod now.hail hail

  13. TET



    Appreciate the optimistic viewpoint on their troubles.



    I still feel the whole circus would have been better served by letting the name die and acknowledging the club was gone, just like Airdrieonians and just like Gretna.

  14. I though for a second about what Jelavic’s first name is for that last really, really witty post …





    but I honestly can’t remember.



    I gather he’s really famous and well known and hardly dives ever (now).

  15. heh, heh



    the ref has subbed himself



    he must be rushing to willie hills to pick up his ‘3 or more penalties in the 2nd half’ bet




  16. Jobo – I demand to know those names!



    BTW, I remember one of the broadsheets in England had a cookery journalist who said there was no better comfort eating than Fray Bentos pies.

  17. Jobo



    Nice one, love it when the bookies lose a few bob.








    Aye, that would have been the sensible road to take, but, huns being huns, their supremisist delusionment wouldn’t let that happen.

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