Hicks delays Glorypark due to “extreme conditions”
A press release issued in Dallas overnight UK time will add more weight to the claims that Liverpool FC co-owner Tom Hicks will not be able to find suitable finance to purchase the other half of the club from partner George Gillett.
The Glorypark project in Arlington, Texas, is to be delayed due to financial concerns.
The Dallas Morning News quotes Hicks as saying: “We’re in the most difficult credit crunch I’ve seen the last 20 years.”
The press statement, from Hicks Holdings, said that “financing and construction of a proposed mixed use development between Rangers Ballpark and the new Cowboys stadium in Arlington has been put on hold because of ‘extreme conditions’ in the country’s financial and retail markets.”
It goes on to say that “the nation’s economic markets today have made it impossible to come to terms with lenders for Glorypark, a half billion dollar (approx £257m) project.”
Hicks Holdings’ development partners on this project are Steiner +Associates, and the statement says that S+A have “been unable to secure a firm and final commitment from an anchor department store.” It’s reported in the Dallas media that S+A have been in lengthy discussions with Dillard’s department stores.
Now, the statement says, “The developers do not plan to exercise a May 15, 2008 option to extend a letter of commitment to underwrite bonds for roads and parking garages. As a result, construction mobilization will not begin this spring as planned.”
Tom Hicks is quoted in the statement: “We have put an enormous amount of time and money into Glorypark. In the end, the dream can’t become reality without the right financial package. We will pursue alternative funding options and examine our reprogramming options.”
Hicks compared it to another project he was a partner in, the Victory Park project, a similar initiative sighted alongside the American Airlines Center, home of his Dallas Stars NHL side. “This is extremely disappointing to me, personally,” Hicks said. “It’s almost the exact situation we had at Victory when we were ready to go, but the financial markets were in deep trouble after 9/11. That’s when we had to regroup.”
Of the Victory Park project, the statement says: “After two years, Victory did re-emerge although the project has evolved and continues to evolve.” Last week Ross Perot Jr’s company announced their plans to build a 43-storey hotel on the Victory development were being delayed, also due in part to the condition of the financial markets.
Hicks said in the statement that the land between his Texas Rangers baseball stadium and the new Dallas Cowboys stadium would still be developed: “When my family purchased the Rangers, we pledged to invest in a development around the Ballpark. We are still committed to doing that, but we may have to re-examine what should be built and what actually can be built if the market conditions continue.”
Hicks said he contacted Arlington’s mayor, Robert Cluck, about their decision: “These events are in no way related to the City of Arlington. The city did absolutely everything possible to facilitate negotiations while, at the same time, protect the taxpayers’ interests. We all must take the long view for this important piece of real estate between two great sports venues.” The Fort Worth Business Press says: “The city of Arlington has approved several zoning changes to make way for the development and the city had planned to contribute about $135 million through various taxing districts.”
According to Hicks, the developers will now be most likely to concentrate on attracting dining and entertainment businesses to the site: “We have had enormous response from those business segments at Glorypark. I believe reprogramming will produce a plan that is more incremental and includes those elements as well is specialty retail, residential and office components.”
The statement says that Hicks Holdings has invested “almost $50 million into the improvements, design studies, and master planning of the area around the Ballpark.” It also says “plans will continue for the development and opening of the 310-room Westin Hotel and condominium project that was previously announced by Hicks Holdings and Gatehouse Capital. It will be located across Johnson Creek from the new Cowboys stadium.”
Glorypark was due to open in March 2010. The Dallas Morning News talks about how Dallas and the rest of the US have felt the pressures of the current financial environment: “Since last summer, lenders have increased requirements for virtually all types of real estate loans. And some debt sources that previously financed office buildings, hotels, high-rise condos and such have exited the market. The so-called credit crunch is expected to significantly reduce the amount of speculative development this year in Dallas and cities across the nation.”
According to the same paper, this isn’t the first holdup to the project: “The completion of Glorypark, which would have included restaurants, retail, office space and residential, had been delayed at least twice previously.”
As well as needing to raise investment of around £200m (approx $389m) to buy George Gillett’s half of Liverpool FC, Hicks also needs to raise the funds to continue with the building work on the club’s new £300m (approx $584m) stadium, due to open on Stanley Park in 2011. £60m is already in place to commence the work, but the other £240m (approx $467m) still has to be found.
Much can be read into this announcement.
On the one hand it does add weight to the various claims Hicks had been struggling to get finance for his Liverpool FC needs, but on the other hand it suggests the Texan could now be in a stronger position to get the finance for LFC - the total borrowings of the Hicks Holdings group of companies won’t now include this figure in the immediate future.
Again, on the one hand this announcement adds weight to the claims that the US banks Hicks does business with have been looking to call time on his borrowings, but on the other it could be said that recent talk of Hicks approaching hedge funds related to his quest for finance for Glorypark rather than Liverpool FC.
Is it possible Hicks has sacrificed this phase of Glorypark for now in favour of finalising the LFC situation?
The fact remains that Hicks is adamant George Gillett cannot sell without his say-so. This would leave Dubai relying on Hicks hitting financing problems as their only means of getting control of the club. If their assumption turns out to be true then sitting it out could eventually see them take control for the figure they’ve already decided is their top price. But if their assumption is wrong, and they don’t make a substantially higher and tempting bid, George Gillett may just go back on his vow not to sell to his partner rather than sit in this state of limbo for too long.
Further reading:
Star-Telegram - Hicks puts Arlington’s Glorypark development on ice
Fort Worth Business Press - Arlington’s Glorypark development on hold
Dallas Morning News - Arlington will have to wait for Glorypark development near stadiums
further evidence (not assuming the very rosy positive scenarios that jim pointed out) that hicks does not have the financial muscle with the credit markets as tight as they are. but these arent the droids we are looking for, right deputy dog? im moving more towards the very cynical view that hicks and gillett are playing a long-con with DIC, in order to get as much money out of them as possible.
@cory…
…ahh ‘long-con’… a trick Hicks or Gillett probably learned from Sawyer from the lost show…
…then again, why bother… sigh*
LFC once I love is being ‘raped’ vigorously & drags through the mud… make me wonder… should i start ‘paying’ (pun intended) more attention to me missus and kids…
‘read between the lines…’
I do not believe Hicks would sacrifice his Texan developments for Liverpool’s new new stadium, these are his roots don’t forget. He chose to watch the Rangers opening game rather than Liverpool play Arsenal. His loss of face in Texas must be considerable, lets hope it migrates to Liverpool.
jofrad, the guy is a hustler, just on a much bigger scale than the street variety. he makes money, and he loses it too. you have to know, that in the US, its ok to fail as long as you win at least once in a while, which unfortunately hicks does. so dont expect shame to enter into his mental calculus. and i dont think that it is an either/or with Kop Holdings and Glory Park.
Some more updates/quotes on the story here:
Lack of financing puts Arlington’s Glorypark on hold (Dallas Morning News).
What an interesting angle to the story! Are you Alastair Campbell in disguise?
As you would say in Spain, Hoder!!!!
@Jim: On the one hand it does add weight to the various claims Hicks had been struggling to get finance for his Liverpool FC needs, but on the other hand it suggests the Texan could now be in a stronger position to get the finance for LFC - the total borrowings of the Hicks Holdings group of companies won’t now include this figure in the immediate future.
“borrowings” is the right word. Talk about wiping off the debts from LFC by next year!!!
Before I used to be angry and annoyed by Jim ‘writings’. Now they just make me laugh!!!
Cory,
I agree he’s a hustler with absolutley no shame. I’ve said all along he’s a con man but I cannot understand why others don’t see him for what he is. Unfortunately he owns our club and could easily ruin it. No doubt I’ll be accused of being a pessimist but I’m living in the real world.
Thanks for the story and the links Jim.
At last some quotes to get our teeth stuck into _ however worrying.
There are so many lines/exerts in the link above that could relate to our club it’s unbelievable. But like your original story says Jim, it doesn’t mean Hicks is about to cave in to DIC BUT it does mean he’s got an interesting financial and emotional balancing act to perform: cash drying up (to a certain degree) and where to invest (without upsetting those he has ‘promised’ action to).
Can you imagine what his supporters in Dallas - fellow investors, legislators and sports fans - would say if he plumped for LFC over Dallas while leaving a major development - with all its jobs and community issues - in jeopardy. That would take some serious PR to smooth over.
One exert that struck a chord was:
Mr. Hicks said he’ll work on a new, scaled-back version of Glorypark that could be built gradually instead of in large phases. Aside from a 310-room Westin Hotel, it wasn’t clear yet how much of the new Glorypark would be open in time for the 2011 Super Bowl.
This could so easily be our (proposed) stadium. His problem of course is whilst he has so many positive ties in Dallas - due to his long term investment - he has absolutely zero in Liverpool. So if he does try to stitch a deal together for our club - and it will literally be a stitch a time - then it will not be about the Club and the fans as his cosy chat around the fireplace suggested (on Sky Sports News). It will all be about profit and money motivation. The big con - which few believed - will then be over and Mr. Hicks can start having a grown-up conversation with the fans which he has so far failed miserably to do.
Jim, any news from Hicks PR people re. their stance? I would imagine they’ll say nothings changed and Hicks will deliver on his LFC promises. But I’m sure it’s no coincidence that Hicks came out saying LFC stadium work will begin in September (?) knowing full well that this negative news was about to come out. Glad to know the art of spin is still alive and well BUt that the realities of life eventually win out.
So Tom (and friends), thanks for the on-the-record quotes re. your other investments. Now let’s start the big conversation about what you want from our Club.
Love it!!!!!!!!!!!
Uncle toms up shit creek without a paddle as he himself says “these are extreme circumstances” Yet more evidence that uncle tom can’t afford to buy gg out and his other sporting “franchises” are struggling too oh thank you credit crunch praise to you. As i have said all along its just a matter of waiting for dic to step in and buy him/force him out. Interesting to note that the daily mail is reporting we are interested in malouda but it is on the condition we are owned by dic. Does Rafa know something we don’t hence his remarks in the press of late and also the appointment of Sammy Lee would suggest Rafa is planning for the long term.
All we need to do is look at the quotes from your well researched article - thanks for highlighting this to us Jim.
“We have put an enormous amount of time and money into Glorypark. In the end, the dream can’t become reality without the right financial package. We will pursue alternative funding options and examine our reprogramming options.”
Replace GloryPark with New Anfield and we could be three years in the future. Does this man deliver on anything?? Luckily for him with the Stars American Airlines arena he had partners like Perot who obviously knew what they were doing.
“When my family purchased the Rangers, we pledged to invest in a development around the Ballpark. We are still committed to doing that, but we may have to re-examine what should be built and what actually can be built if the market conditions continue.”
Over 10 years ago he took over the Rangers and they promised this development – 10 years ago and still not even close!!
“The completion of Glorypark, which would have included restaurants, retail, office space and residential, had been delayed at least twice previously.”
In those 10 years they have built a new city from the sand in Dubai!!
Is it possible Hicks has sacrificed this phase of Glorypark for now in favour of finalising the LFC situation?
Jim, if this is the case then what kind of a person are we dealing with? Some one who will go back on his promises and leave our club in disarray at the sign of a bigger profit opportunity elsewhere!! I’m sure the people of Texas are delighted that he will sacrifice them in favour of us. And he has ties and roots there. He has none here! He would burn down anfield to get the insurance money.
Calling the Stars arena Victory Park and Rangers arena Glory Park is like Hicks being in control of Coventry for 10 years and calling their arena Triumph Park – talk about hyperbole!!
@midlands-red: The US coverage of this story was at the time of writing limited to the links I put at the end of the article (I wrote it in the early hours of the morning but held it back from being published until around 6.30, just so I could see if any more reaction was forthcoming. The Dallas Stars were playing hockey until around 3.30am UK time, so I figured there could be more quotes a few hours after that). None of it mentioned LFC or the financial issues surrounding LFC. Perhaps by suggesting that this decision is linked to LFC issues it might cause questions to be asked on both sides of the Atlantic - we can hope!
It’s not impossible that scaling down ambitions in Texas could make investment in LFC easier, just like it’s very possible that issues in Texas are going to be mirrored in Liverpool. We don’t know, or won’t know, until a decision one way or other is made here.
They’re talking about ditching retail outlets in favour of entertainment and food outlets, and the hotels still look set to go ahead. LFC’s plans are entertainment, with food and hotels no doubt part of the wider Anfield Plaza aims for a later date. The financial crisis has hit him in two ways on this prject – retailers are seeing themselves in a position where they need to scale down not scale up, and banks aren’t lending as easily as they were. If the retailers were the only issue, he could probably fund incentives to get them to sign up, if banks were the only problem he could probably show them how profitable the retailers will be and get the money! Probably.
Obviously we all know that it’s easy to say one thing and mean another, but the press release suggests that rather than no finance being offered, the finance being offered isn’t at a rate that will be profitable against the likely targets signed up so far. Obviously the percentage of take-up you need in a project like this is tied in with the cost of financing a project like this. It seems those two levels haven’t met each other.
I’m sure that the Hicks camp would say nothing’s changed and that everything’s still on target. I’m sure they’d say that until the very minute either they took GG’s half or sold their own. To be fair, I wouldn’t expect them to reveal now that bottoms were getting squeaky.
Re the claims of the stadium work starting in September or thereabouts, that has actually been the plan since the early spring from what I can tell (and from sources outside of the Hicks camp too). It sticks in my mind because I remember thinking how the construction will have to be done in just under three years, to allow for the various test events and so on that will need to precede the mid-August start of the league season. I think he only mentioned this recently because of the numerous claims the stadium wouldn’t start anytime soon.
But that still doesn’t mean the finance is in place. But at the same time Hicks really has only two choices from what I can see. Find the backers he needs to take control of LFC, including getting the stadium built, or sell to Hicks. Sooner or later one of those decisions needs to be taken (if it hasn’t been already).
Hopefully there’ll be some more quotes today!
Hopefully the start of the end for Hicks at Liverpool but I still cant see him going without the banks forcing him to do so.
Hicks must have know for sometime now that it wasnt looking likely he was going to get the necessary finance for the Glorypark project in Arlington. Yet last week he still announced plans to start work on Liverpools stadium in the autumn.
That to me suggests that he is choosing Liverpool over the Glorypark project. More money to be made from Liverpool. If anything I think Jims point about putting him in a stronger position with regards Liverpool is probably most likley.
And if he is choosing Liverpool over Glorypark I think it would give us a further insight of the type of person he is, if willing to screw his own people for the sake of his investment abroad.
The farce continues…….
The most interesting quote is surely:
“The completion of Glorypark, which would have included restaurants, retail, office space and residential, had been delayed at least twice previously.”
In those 10 years they have built a new city from the sand in Dubai!!
Thus highlighting the financial might of Dubai. No one will touch hicks. This is all playing into dic’s hands and perhaps their plan of sitting and waiting is going to come to fruition.
Quote
“Is it possible Hicks has sacrificed this phase of Glorypark for now in favour of finalising the LFC situation?”
No chance. Since when did soccer become the biggest sport in the US. I can only speak for myself but on my regular trips to the US I can put my hand on my heart and say that the NFL, NBA, MLB are the three most prominent sports. Apart from those you have their Ice Hockey, their silly motorsport where the cars go round and round like a scalextric set (Nascar/Indy series). Soccer comes way way way down the list in their agenda. Just couldn’t forsee the Texas Tycoon elevating LFC’s interests over his other so called franchises in order to appease the Liverpool fans. Looks like DIC are just biding their time till the pressure is too much for Hicks to bear forcing him to come back to the table for discussions.
@Fred: I read the Malouda Mail story as far as the words “But reports in The Sun” before clicking “back”. A search shows that the BBC and other site’s gossip columns are claiming the story came from that rag.
Remember - Don’t buy The Sun!
If it’s mentioned elsewhere without referencing back to that particular piece of filfth then I’ll be interested, but for now I’d rather just ignore it completely.
And if it turns out to be true, I hope whoever told that rag about the story is not one of those who actually expects to be involved at Anfield in the future. I hope whoever they are dealing with at Anfield puts them right.
It’s quite an important boycott, and not too difficult to stick to really.
(I was browsing the comments on here recently and noticed a poster had actually linked to that rag. I hope that people read the link above and understand why we still stick so rigidly to the boycott after all these years).
@Gurdeep: I see your point Gurdeep but does it still apply if Hicks is the mainly profit-driven soul he’s painted as? If sport is just a way of making money, would it be a surprise if he chose the most profitable one if forced to ditch one? (That’s assuming LFC would be the most profitable.) Does it have to be purely to appease Liverpool fans?
I’m not saying what’s right or wrong, I’m trying to say what’s possible or otherwise.
And DIC biding their time until Hicks has used up all his options is of course a very likely scenario. If their top price is literally their final immovable price, they might as well wait and see how close he gets to getting the finance. If they’ve a little more to offer then they might as well wait until they think it’s the prime time to offer it.
It certainly makes business sense to sell some of his other interests to fund his bid for LFC if the net result would be more profit than selling LFC.
I’m not saying he’s doing that by the way.
pretty damning quote:
“Dr. Cluck said that despite a long history of talk – and no action – about a major retail development around the ballpark, he’s confident that Mr. Hicks will make this project work.”
see chris bascombes prescient article from last year before the season started:
Turn the clock back – we’ve got to move on
Jun 9 2007
by Chris Bascombe, Liverpool Echo
NARCOTIC experts will be required to maintain a careful watch over Melwood and Anfield for the
next two months.
It’s rumoured a consignment of chill pills are heading this way. How badly they’re needed. The
tetchiness epidemic has spread since the end of the season.
While those charged with running our clubs talk about working tirelessly to make the signings to
compete for the Premiership, the manager and supporters anxiously wait news of the delivery of
promises.
Pre-season often feels like nothing more than a series of cut and paste jobs of interviews and
stories which have been read many summers before.
Liverpool are undoubtedly at another crossroads.
If they don’t act to strengthen the squad with world class players, you can predict how the next
12 months will go.
The trend at this time of the year is to review how the last campaign has gone. Instead, how
about a preview of what we can expect in the next few months if the proverbial fingers don’t
come out?
June/ July: Liverpool continue to pursue several top-class targets, working tirelessly behind the
scenes to make the deals happen, while manager Rafa Benitez’s mood switches from deeply
frustrated to content depending on the levels of reassurance following phone calls from the
owners. Thierry Henry and Samuel Eto’o are spotted touring the club museum. Harry Kewell
picks up a niggling injury. A key council meeting is held to discuss Liverpool’s new stadium
plans.
August: Concerns are raised about why Liverpool have jetted to Hong Kong a week before a
crucial Champions League qualifier. Meanwhile, as the transfer deadline approaches Benitez is
still waiting for the arrival of a key player. He ends up working until midnight on August 31
trying to negotiate a deal, but it doesn’t happen.
Elsewhere, it goes unnoticed in the small print regarding Champions League ticket allocation
that fans must have attended at least four reserve games at Wrexham’s Racecourse in order to
qualify for a cup final seat should the Reds get that far. A key council meeting is held to discuss
Liverpool’s new stadium plans.
September: After a slow start to the Premiership campaign, the first in a series of articles
appears complaining that the previous summer was a ‘missed opportunity’ as Liverpool already
trail Manchester United and Chelsea by ten points. A key council meeting is held to discuss
icLiverpool http://icliverpool.icnetwork.co.uk/printable_version.cfm?objectid=1...
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Liverpool’s new stadium plans.
October: Rafa Benitez is condemned for playing an under-strength team in the Carling Cup. The
Daily Mail describes the club’s performance as ‘the worst in 40 years’ and asks what Benitez has
ever done other than win the Champions League and the FA Cup in his first two seasons. Two
days later the Reds beat Real Madrid in the Bernabeu. A key council meeting is held to discuss
Liverpool’s new stadium plans.
November: Liverpool qualify for the knockout stages of the Champions League with a game to
spare prompting UEFA spokesman William Gaillard to describe this year’s competition as
undoubtedly the worst ever, listing 25 incidents of poor ball control in the last three weeks.
Gaillard is sacked by Michel Platini and replaced with someone who’ll be less insulting about
Liverpool. Neville Neville says he’s deeply honoured to accept the job. A key council meeting is
held to discuss Liverpool’s new stadium plans.
December: Tom Hicks tells Liverpool fans they’ll be ‘very excited’ by the signings the club will
be making when the January transfer window opens. Benitez signs an Eastern European on a
pre-contract Bosman deal ahead of next season, but doesn’t make much fuss about it because
he ain’t much good. Thierry Henry and Samuel Eto’o are spotted touring the club museum. A
key council meeting is held to discuss Liverpool’s new stadium plans.
January: Liverpool sign a full back for £2.5m. He’ll be sold in January, 2009 for the same price.
Fans demanding new faces are urged to be more patient. Benitez works until midnight on
January 31 trying to sign his prime target but negotiations stall. A key council meeting is held to
discuss Liverpool’s new stadium plans.
February: Real Madrid sack their manager and make an official approach for Benitez.
The Liverpool boss is known to be increasingly frustrated by the lack of progress and funds. A
key council meeting is held to discuss Liverpool’s new stadium plans.
March: The FA Cup and Champions League continues to offer hope Liverpool will win silverware
this season. After another heroic European night at Anfield, the 12th man of The Kop is praised
as being the difference. UEFA announces a generous 10,000 tickets each for this year’s finalists.
A key council meeting is held to discuss Liverpool’s new stadium plans.
April: Liverpool secure their top four place, qualifying for next season’s Champions League.
Harry Kewell makes his return from injury. A team bonding session in La Manga ends in
acrimony when a stray golfer hits John Arne Riise with a football. Executive box holders are
assured they won’t be put into a ballot for cup final tickets because they’ve paid £40,000 more
than season ticket holders for priority so are therefore proven to be more loyal.
May: Tom Hicks tells Liverpool fans they’ll be ‘very excited’ by the signings the club will be
making in the summer. Benitez announces with deepest regret he’ll be joining Real Madrid. A
Liverpool website asks the club whether it is possible to hoist aloft a Kop mosaic during the final
home game, but instead of organising an emotional farewell to Benitez they choose to thank
former director Terry Smith for his long service to the club. A key council meeting is held to
discuss Liverpool’s new stadium plans.
June: Thierry Henry and Samuel Eto’o can’t even be bothered to visit the club museum. It
emerges Liverpool’s new stadium plans are considered out of date and a fresh planning
application will be made. It’s now scheduled to open in 2015. Liverpool fans are told to be
patient as they yearn for new signings.
“There’s a lot of hard work going on behind the scenes,” says a club statement.
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A nightmare prediction of the 2007/08 campaign? Or an abbreviation of sorts of the last 12
months?
Either way, we all need a holiday to let a season’s cynicism to drip out. See you in a few
weeks.
Top
sound familiar?
“Mr. Hicks said he’ll work on a new, scaled-back version of Glorypark that could be built gradually instead of in large phases. Aside from a 310-room Westin Hotel, it wasn’t clear yet how much of the new Glorypark would be open in time for the 2011 Super Bowl.”
Jim - I do not think that it has put Hicks in a stronger position, I think his position is much weaker. Today Barclays have written of 1 billion and yesterday I think it was HSBC written of about 1.3 billion. It just said on radio city that this could be extremely bad new for LFC’s new stadium plans. I do not think that anyone is in a strong position at the moment. I think that time is running out for Hick’s. We will probably hear in the news over the next couple of days how this might affect the LFC situation.
Some of you guys don’t realise that whoever takes over will do so via funding. DIC will not be any different then Hicks … in the business world, very little personal money is ever invested, its always via loans … thats business.
I have no favourite regarding who owns the club … as long as the new anfield gets built and our manager gets decent transfer funds … I’m happy!
I do think we need to be careful about wishing bad on Hicks and forcing him out could have a very negative effect on the club, so be careful what you guys wish for
I work hard to see the positive and for me I see this as nothing more then an issue in america regarding the another project and the effects of the credit cruch which they are feeling a lot more then we are …. what happens in the US does not mean it will have a direct effect on this project, and when you consider the banks expect us to be worth 800 million after the new ground is built, they will loan the money as the return will be secured!!! my comments are part assumptions but so are everyone elses …. why we take so much time to diss our owners i don’t understand …. they gave rafa everything he wanted last summer/january (rafa’s words) the ground is going ahead …. so far we are going in the right direct, if things do start to go wrong, then we can make every effort to remove the problem then, right now the only problem is peoples opinions …… lets chill and if Hicks is to go, he will go naturally, if he stays and provides us with a new ground and funds to challenge the top 3 … what have we got to complain about?
my priority over the last 40 years has always been the team and success ….. if Hicks gets in the way of that, then out he goes … but right now he has done a fair bit to help Rafa succeed!
I suggest we wait and see what sort of money rafa gets to spend …. if its not reasonable then we have a right to demand Hicks sells up and there are ways for us to help that happen, until then this all feels more like a witch-hunt … lots of stories being made up etc …
reikirebel
” At the weekend, and despite his ongoing civil war with co-owner George Gillett, Hicks insisted work on Liverpool’s new £300m stadium will get under way this autumn. But one leading city source told the ECHO this now seems highly unlikely.
He said: “If anything, it is now harder to get this kind of project off the ground in this country than it would be in the USA.
“For a start, interest rates in the UK are currently double what they are in the USA – they stand at 2.5% there compared to 5% here.
“That makes borrowing money much more expensive on this side of the Atlantic, particularly for large scale capital projects such as building a new stadium.
“Also, lenders are asking borrowers to put down substantially more in terms of equity than they were a year ago. That is one of the main reasons why borrowing has become more difficult.
“Finally, you also have to factor in the rising price of commodities which will inevitably have an impact on the cost of a new stadium.”
A London based spokesman for Hicks today said of the situation at Anfield: “The stadium proceeds to plan.” ”
This is a reason why he will not be able to fund the stadium or will not want to fund the stadium because of the interest rates he will be charged.
Here’s the link
http://www.liverpoolecho.co.uk/liverpool-fc/liverpool-fc-news/2008/05/15/liverpool-fc-co-owner-tom-hicks-hit-by-credit-crunch-blow-100252-20914232/
Turn the clock back – we’ve got to move on
Jun 9 2007
by Chris Bascombe, Liverpool Echo
NARCOTIC experts will be required to maintain a careful watch over Melwood and Anfield for the next two months. It’s rumoured a consignment of chill pills are heading this way. How badly they’re needed. The tetchiness epidemic has spread since the end of the season. While those charged with running our clubs talk about working tirelessly to make the signings to compete for the Premiership, the manager and supporters anxiously wait news of the delivery of promises.
Pre-season often feels like nothing more than a series of cut and paste jobs of interviews and stories which have been read many summers before.
Liverpool are undoubtedly at another crossroads.
If they don’t act to strengthen the squad with world class players, you can predict how the next 12 months will go.
The trend at this time of the year is to review how the last campaign has gone. Instead, how about a preview of what we can expect in the next few months if the proverbial fingers don’t come out?
June/ July: Liverpool continue to pursue several top-class targets, working tirelessly behind the scenes to make the deals happen, while manager Rafa Benitez’s mood switches from deeply frustrated to content depending on the levels of reassurance following phone calls from the owners. Thierry Henry and Samuel Eto’o are spotted touring the club museum. Harry Kewell picks up a niggling injury. A key council meeting is held to discuss Liverpool’s new stadium plans.
August: Concerns are raised about why Liverpool have jetted to Hong Kong a week before a crucial Champions League qualifier. Meanwhile, as the transfer deadline approaches Benitez is still waiting for the arrival of a key player. He ends up working until midnight on August 31 trying to negotiate a deal, but it doesn’t happen.
Elsewhere, it goes unnoticed in the small print regarding Champions League ticket allocation that fans must have attended at least four reserve games at Wrexham’s Racecourse in order to qualify for a cup final seat should the Reds get that far. A key council meeting is held to discuss Liverpool’s new stadium plans.
September: After a slow start to the Premiership campaign, the first in a series of articles appears complaining that the previous summer was a ‘missed opportunity’ as Liverpool already trail Manchester United and Chelsea by ten points. A key council meeting is held to discuss Liverpool’s new stadium plans.
October: Rafa Benitez is condemned for playing an under-strength team in the Carling Cup. The Daily Mail describes the club’s performance as ‘the worst in 40 years’ and asks what Benitez has ever done other than win the Champions League and the FA Cup in his first two seasons. Two days later the Reds beat Real Madrid in the Bernabeu. A key council meeting is held to discuss Liverpool’s new stadium plans.
November: Liverpool qualify for the knockout stages of the Champions League with a game to spare prompting UEFA spokesman William Gaillard to describe this year’s competition as undoubtedly the worst ever, listing 25 incidents of poor ball control in the last three weeks. Gaillard is sacked by Michel Platini and replaced with someone who’ll be less insulting about Liverpool. Neville Neville says he’s deeply honoured to accept the job. A key council meeting is held to discuss Liverpool’s new stadium plans.
December: Tom Hicks tells Liverpool fans they’ll be ‘very excited’ by the signings the club will be making when the January transfer window opens. Benitez signs an Eastern European on a pre-contract Bosman deal ahead of next season, but doesn’t make much fuss about it because he ain’t much good. Thierry Henry and Samuel Eto’o are spotted touring the club museum. A key council meeting is held to discuss Liverpool’s new stadium plans.
January: Liverpool sign a full back for £2.5m. He’ll be sold in January, 2009 for the same price. Fans demanding new faces are urged to be more patient. Benitez works until midnight on January 31 trying to sign his prime target but negotiations stall. A key council meeting is held to discuss Liverpool’s new stadium plans.
February: Real Madrid sack their manager and make an official approach for Benitez.
The Liverpool boss is known to be increasingly frustrated by the lack of progress and funds. A key council meeting is held to discuss Liverpool’s new stadium plans.
March: The FA Cup and Champions League continues to offer hope Liverpool will win silverware this season. After another heroic European night at Anfield, the 12th man of The Kop is praised as being the difference. UEFA announces a generous 10,000 tickets each for this year’s finalists. A key council meeting is held to discuss Liverpool’s new stadium plans.
April: Liverpool secure their top four place, qualifying for next season’s Champions League. Harry Kewell makes his return from injury. A team bonding session in La Manga ends in acrimony when a stray golfer hits John Arne Riise with a football. Executive box holders are assured they won’t be put into a ballot for cup final tickets because they’ve paid £40,000 more than season ticket holders for priority so are therefore proven to be more loyal.
May: Tom Hicks tells Liverpool fans they’ll be ‘very excited’ by the signings the club will be making in the summer. Benitez announces with deepest regret he’ll be joining Real Madrid. A Liverpool website asks the club whether it is possible to hoist aloft a Kop mosaic during the final home game, but instead of organising an emotional farewell to Benitez they choose to thank former director Terry Smith for his long service to the club. A key council meeting is held to discuss Liverpool’s new stadium plans.
June: Thierry Henry and Samuel Eto’o can’t even be bothered to visit the club museum. It emerges Liverpool’s new stadium plans are considered out of date and a fresh planning application will be made. It’s now scheduled to open in 2015. Liverpool fans are told to be patient as they yearn for new signings.
“There’s a lot of hard work going on behind the scenes,” says a club statement.
A nightmare prediction of the 2007/08 campaign? Or an abbreviation of sorts of the last 12
months?
Either way, we all need a holiday to let a season’s cynicism to drip out. See you in a few
weeks.
Jim, as you know, I have said for some time that there is little or no funding or lender trust left in the present market.
Perhaps Hicks is trying his best but not getting anywhere - credit to him for effort and endeavour. Unfortunately there is a liquidity squeeze and unless he is able or prepared to dip into his own pockets to back up his words to, lenders/financiers are just not interested. The lenders do not trust each other let own private entities looking to borrow.
The Bank of England is reasonably concerned so much that they have offered funding backed up against securities which the lenders have (shocking that we tax payers will end up paying for the high risk table dealings of Northern Rock et al).
Merv King has said for some time that there would be market correction and recently stated that the pendulum had swung too far the other way (this appears to my favourite phrase for some reason!) in that from a position where lenders were openly lending, they are not lending at all/sparingly. He has now come out and said that the situation will get worse.
If you are ever in possession of some spare time and wish to suffer chronic tedium just read the monthly board minutes from the Monetary Committee which sets/deals with interest rates.
In all, I really can not see him prioritising on LFC over his long term interests back in the US.
@ reikirebel - I praise your efforts at trying to see positives but due to the following, amongst other reasons, I do not agree with you:
1. It is a well known and fully practicised mantra that when America sneeze the rest catch a cold” In today’s market we really cannot view each economy in isolation.
2. There continue to misgivings with our current owners both jointly and individually. I would not do any justice to the countless points made and perhaps you would kindly read up from the archives on this blog.
Great posts Midland Red @ 9.49am and Cory @ 11.29am
reikirebel - have you been on a desert island for the last 12 months?? Talk about not having a clue about what is going on!!
” I work hard to see the positive and for me I see this as nothing more then an issue in america regarding the another project and the effects of the credit cruch which they are feeling a lot more then we are …. what happens in the US does not mean it will have a direct effect on this project, and when you consider the banks expect us to be worth 800 million after the new ground is built, they will loan the money as the return will be secured!!! my comments are part assumptions but so are everyone elses …. ”
reikirebel - The banks are not lending people money out of choice, there is a liquidity crises which is meaning that it is very dificult to come by the money to lend. Banks are on an almost daily basis writting off billions of pounds sterling. The Bank of England is pumping money into the banks to help with the liquidity crisis and both the Bank of England and the Chancellor of the Excheqor are both predicting that the country is going into a recession. Also you only need to have a very basic knowledge of economics to know that whatever happens in th USA affects everyone else in the world such is the size of the American Economy. The American Economy is the powerhouse for the worlds economy. The saying goes ‘if America sneezes then the rest of the world gets a cold’.
Despite all the uncertainty, we’ve all got to be pleased that sooner (and hopefully not later) it’s all coming to a head.
Hicks will know that this news will create ructions with journos, fans and of course Gillett and DIC. He will also know that he’ll need a response that does not jeopardise his franchise investment - sorry, the club.
If you’re DIC - who will have ties in the US as well as leaked news from Gillett - they will have a pretty good idea of how Hicks is doing. But of course, IF it’s bad the time is approaching where they will have to put up or call it all off.
If you’re Gillett - it’s simply a win-win IF, and i accept Jim’s points, Hicks is in financial difficulty because we’re led to believe Gillett is not. He’ll bargain for a better deal, should DIC still be really interested. And I believe they are.
If you’re Hicks, you play hardball and claim that all’s well in the garden. Although he has a few timelines to keep to in order to see how much cash and/or new investors he has.
Jim, any ideas on what the key timelines actually are? Ie September - stadium. When does he need to show us/the bankers the money?
The only people who seem to be doing well out of the current world economic conditions are the oil states such as Dubai. As a result of the high price of oil the oil rich states are rolling in money. ‘Swimming in it’.
In light of the questions and issues raised by the Glorypark delay, I wonder if the other parties to exert new pressures on Hicks and Kop Holdings will be the Liverpool municipal government/councils and any national agencies who are signed on to contribute grants and tax incentives for the New Anfield. Surely Kop Holdings will need to demonstrate the financial capacity to complete the project before receiving public money. If Hicks is reneging on major development commitments in Texas (where the bulk of his empire sits), he’s either truly squeezed or else blackmailing the Arlington and Texas state governments to contribute more financial “assistance” (much like the auto manufacturers do – hey, government, give us millions of dollars/pounds or we’ll close our doors and throw all those poor people out of work).
Also, if Gillett is punching above his weight, and trying to bully DIC into paying more for his shares, this will put him in the same position (that is, needing to prove that he can provide stable collateral to support Kop Holdings’s growing debt) as he will be equally affected by the credit crunch – though that being said, I don’t think his greed has him extending his real estate empire to near the same extent as Hicks. Gillett was the one rumoured to be stretched the tightest when the Kop Holdings debt was refinanced the beginning of this year, and that alone may give DIC extra leverage if he’s now playing tough guy.
@Reikirebel
“Some of you guys don’t realise that whoever takes over will do so via funding. DIC will not be any different then Hicks … in the business world, very little personal money is ever invested, its always via loans … thats business.”
“if things do start to go wrong, then we can make every effort to remove the problem then, right now the only problem is peoples opinions”
I’m sorry reikerebel but i agree with Stephen, your 365 day adventure in Mongolia has certainly left you out of the loop.
Fans are more concerned with the general running of the club and it’s reputation than the type of investment, Tom Hicks has certainly had his chance, he rode in on a white horse, i pray he’s going to be on his way out via a boot up the arse.
This is how I’ve taken this news…the bad scenario is particularly chilling!
This is bad and good news for LFC.
Good: Hicks may have to sell up to DIC or other investors, and surely no one will be worse than Tom.
Bad: Hicks doesn’t have enough money to build anything, but has enough money to keep LFC, Meaning we’re stuck in this situation for even longer. As it’s been proven, fan pressure certainly doesn’t affect this man, he cares about the pot of golf at the end of the rainbow and not for the poor leprechauns he’s stealing it off.
Julie,
I don’t belive that Gillett is playing the tough guy with DIC at the same time hosting them as his chosen guests at Liverpool’s matches. I think the deal is waiting to be done between Gillett and DIC. Hicks is the problem, lets hope this credit crunch finishes him with Liverpool.
You’re right, however, about the public finances for the regeneration of the Anfield area, surely the powers that be should be at least asking a few questions now.
Jofrad: you’re right – I’d forgotten about Gillett inviting DIC as his guests to the CL semi-finals.
Here’s a question for the business/money/legal minds out there…
Put aside for a moment the issues of how much it would cost for one partner to buy out the shares of the other, and also how much debt is currently on the books for Kop Holdings. Also assume that the cost of the New Anfield is £300m and that there really is a bag of money sitting in the Anfield boardroom filled with 60 million one-pound coins for the stadium start-up.
Okay. Exactly how much money would Hicks or Gillett need from their own empires to secure enough borrowed money to start the stadium? Figuring that this borrowed money would be further secured as work on the stadium proceded (as a rolling form of capital, from the limited amount of this I understand), and factoring in the nervousness of lending institutions both in the UK and US, what is the minimum that either would have to demonstrate that they could bring to the table to ensure that the project could proceed without interruption?
Just a couple of very quick responses…
The grants - off the top of my head, weren’t they all for the non-stadium work? Obviously the stadium got planning permission on condition the non-stadium work was done in the park, so we needed those grants, but we didn’t get the money for the grants as such. I may be wrong on this, I’m going off memory and at my age that’s not a wise thing to do. I may be wrong on this, I’m going off memory and at my age that’s not a wise thing to do.
I seriously can’t see Hicks sticking around if he can’t get the stadium built.
Naming rights are rarely mentioned. Obviously anyone can predict a top-end figure and a low-end figure for such a deal depending on how they want to use that figure. Trying to get finance for a new ground? Go high. Trying to be cautious as to how much you lend out for a new ground? Go low.
Arsenal’s Emirate’s deal was inclusive of shirt sponsorship, figures up to £100m, I think over 20 years were quoted. New York Mets got 400m dollars over 20 years. The New York Giants / New York Jets deal could be worth up to 600m dollars over 20 years.
Different markets, different financial climates, obviously we can sit here all day listing reasons why LFC naming rights wouldn’t be so good, but who can genuinely be sure, unless they’ve already gone out looking for those deals? Is the credit crunch going to go on for 3 years? If Hicks can find a way to afford the finance now until opening time, can he then get a deal that will cover the biggest part of the stadium finance?
Some links I found earlier…
http://www.karen-earl.co.uk/insideinfo.cfm?action=view&id=318
http://www.registerguard.com/csp/cms/sites/dt.cms.support.viewStory.cls?cid=63386&sid=2&fid=1
I have just heard on the channel 4 news a statement by the FSA (financal services authority) that the credit crunch for the banks (which was described as phase 2 of the credit crunch) has passed i.e. we are through that. we are no into phase three. The man from the FSA expained that what this stage was an end to all cheap credit. There would be no more 100% mortgages and the so on so fourth and the such like. So I do not think that banks will be writting of more money. Tom Hicks may not be able to get a loan at a rate which will be attractive to him or even financily feasable for him to accept. A difference between 2.5% and 5% is a big difference. For example:
If you have mortgage and you pay back 400 per month at an interest rate of 4%, and then there is an increase in the interest of 1% that you have to pay. 1% of the £400 at 4% interest means that you will have to pay an extra £100 per month. So your monthly repayments increase to £500 per month.
Julie; First of all, the boardroom would have to be very big to accomodate £60m £1.00 coins….;)
The figures that I keep coming across time and again is upto 80% lending maximum. The better deals are at 70% with 30% personal funding. This applies to both residential as well as commercial lending. I hasten to add that these are based on the documents that come my way rather than me making enquiries or applications for clients (which I am not legally authorised to do).
waters are muddied when you try and quantify what the value is of the purchase is. It will be less if you just count brick and mortar but probably more if you capitalise on the non-property aspect.
erm…I don’t think I have answered your question have I? sorry.
Arsenal are looking at Kroenke again!
http://www.guardian.co.uk/football/2008/may/15/arsenal
Hicks as a minority shareholder (25%) as a solution?
Julie (Toronto) - The man from the FSA said that the would be no more cheap credit as a result of the credit crunch, he also said that there would not be any more 100% mortgages. So I think the very least that a bank would give you is 90% according to what the man from the FSA said. Raju has said that he is hearing reports of 80% and 90% be banded around. I think also which will be a major factor in the matter is the interest rate that will come with the loan, it may work out to be far to high to be financially feasable.
” Raju has said that he is hearing reports of 80% and 90% be banded around. ”
Should read-
” Raju has said that he is hearing reports of 80% and 70% be banded around. ”
Edward - Is that a fact about Hicks or a question?
Based on todays news what would be the consequences for Liverpool FC if DIC were to say that they had waited long enough and had decided not to pursue any further interest in buying the club?
I know its hypotethical but the way things have gone to date its a scenario I would not be surprised to see us in.
Would it possibly have any major effect on Hicks / Gillett and or dealings with the banks?
Anthony,
I was just floating the idea! A compromise solution !
Juan, I am amazed that DIC are still interested in us after all the shit that has gone on. Unless us fans can manage to take the club over we would be in a very serious position if DIC pulled out.
We can forget about competing with the top four as it is obvious we will have no money to pay for new players. The teams below us such as Spurs, Villa Newcastle etc can put all their TV money etc into their teams where as all our money, judging on the last 18months, will go into financing the stadium and H&G’s interest.
I really think we are in a very bleak position. Hedge funds, short term loans, high interest rates no cashflow etc.
I think the fact that we have all become financial experts shows us what a disaster the last 18 months have been.
Absolutely bang on Stephen, DIC must really want to own the club to be still interested. To repeat myself I think they have a real feeling for Liverpool and I for one will be delighted if they succeed in their efforts. I think they will prove to be ideal owners .
I’m also delighted that all Tom Hicks’ chickens appear to be coming home to roost. Cluck cluck !
One for Deputy Dawg when he reappears.
“Hicks in stadium vow
New ground to be ready for 2011.
Last updated: 11th May 2008
Hicks: Stadium plans on track
Liverpool co-owner Tom Hicks has assured fans that work on the club’s new Stanley Park stadium will go ahead as planned.
There have been constant doubts surrounding the proposed move to a new 60,000 - seat stadium at Stanley Park because of finances and the unrest in the Anfield boardroom between Hicks and co-owner George Gillett.
Liverpool City Council gave the green light for the new ground last week after granting planning permission and Hicks says work will begin in September and be open for 2011.
“Site work will start in September and actual construction in late October/early November, with completion in time for the season starting in August 2011,” Hicks told the Sunday Mirror.”
AND THREE DAYS LATER:-
“Hicks hit by credit blow
May 15 2008 Liverpool Echo
LIVERPOOL co-owner Tom Hicks was today forced to abandon plans for a multi million dollar development in Dallas because of the credit crunch – sparking major concerns over his finances and ambitions for Anfield.
Hicks had been planning to build “Glorypark”, a mixed used development in Dallas featuring retail, residential and office space due to open in March 2010 at a cost of £257m.
But early today the Texan released a statement confirming fears that his ambitious plans are not sustainable in the current market.
The move will inevitably increase fears that Hicks will not be able to put the funding in place to build a new stadium on Stanley Park for Liverpool, particularly with the UK currently enduring increasingly tough economic conditions which Bank of England chief Mervyn King has admitted could even turn into a recession.
Official Liverpool Supporters Club secretary Les Lawson told the ECHO today’s developments will be of concern to all Reds fans.
He said: “When Hicks took over at Anfield he said a spade would go into the ground at Stanley Park within 60 days – 18 months on we are still waiting.”
I totally agree with Jofrad.
Surely with DIC still interested it puts more and more pressure on hicks and gg as the banks will want them to sell to DIC. DIC are the ones making money at the moment with the oil prices rocketing where as hicks and gg are losing money on interest payments etc. Do we want owners with no money and a begging bowl or owners with money. I don’t think anyone who is pro DIC expects them to be a sugar daddy but they do have the financial muscle to ensure our future and to build a stadium. hicks and gg simply do not have that.
Very true Fred.
If Hicks or Gilette had the type of money Liverpool needs this whole situation wouldnt exist in the first place
GLORYPARK TIMELINE
1991 — Arlington voters approve a half-cent sales tax to build a baseball stadium; supporters say the stadium will spur development on nearby property.
1998 — Tom Hicks purchases the Texas Rangers and puts together plans for nearby development.
May 2006 — The project is unveiled as Glorypark, a town center expected to open in fall 2008.
May 2007 — Arlington City Council approves $135 million in bonds to pay for parking garages and road improvements for the project; the agreement creates a tax-increment finance zone that will repay the bonds.
January 2008 — Glorypark announces its first tenant, iPic Entertainment, a combination movie theater, bowling alley, restaurant, bar and live-act venue.
May 2008 — Glorypark is put on indefinite hold.
Says it all really - Am I a pessimist or a realist ?
Jofrad - You are definitely a rapist!
LOL
Can you imagine what his supporters in Dallas - fellow investors, legislators and sports fans - would say if he plumped for LFC over Dallas while leaving a major development - with all its jobs and community issues - in jeopardy. That would take some serious PR to smooth over.
LOL!
Midlands… this won’t mean much to you, but: it’s Arlington. Maybe Cory can fill you in.
@Texas_Dawg is that all you’ve got to say!?
You and your friends must be feeling the pressure
Ridiculous.
When all is said and done we just can’t trust this man to deliver on the promises he made and the things that LFC need to be better.
I fear that this could be dragged out for a while longer. If no 90 day clause exists and assuming Hicks fights until the bitter end then it won’t be resolved anytime soon.
sigh.
Irrespective of their own negative attributes… DIC in.
No chance. Since when did soccer become the biggest sport in the US. I can only speak for myself but on my regular trips to the US I can put my hand on my heart and say that the NFL, NBA, MLB are the three most prominent sports. Apart from those you have their Ice Hockey, their silly motorsport where the cars go round and round like a scalextric set (Nascar/Indy series). Soccer comes way way way down the list in their agenda. Just couldn’t forsee the Texas Tycoon elevating LFC’s interests over his other so called franchises in order to appease the Liverpool fans. Looks like DIC are just biding their time till the pressure is too much for Hicks to bear forcing him to come back to the table for discussions.
Gurdeep,
I’ve been a Texas Rangers fan all my life. I couldn’t care less if GloryPark is built or not. No Texas Rangers fans care one bit about this. It’s a commercial development in the middle of a field near the stadium. The only people that care are the people that stand to benefit from it financially. It has nothing to do with the state of the team.
C’mon Dawg, what’s going on?!? (not rhetorical). If Hicks can’t guarantee to deliver on what we need, then he needs to get out of here.
Dawg - Isn’t Arlington where all the presidents get burried?
Reading Texas Dowg’s posts gives us into look into the world of fans of Hicks’ sports teams. Passionless drones who spirit has been broken by years of mismanagement. God help us if we ever reach those levels.
Stephen - Or brain dead idiots who don’t know what they are talking about and just follow Hick’s blindly.
raju/Anthony: The reason I posed the question is that if we’re debating the consequences of Hicks being unable to progress with one of his other developments, and coming to the conclusion that the start of new stadium construction will be in peril, I wondered just how much money he’d need to have in his pocket and put on the table to prove he could follow through on the Fall 2008 start date. It’s easy to say, oh, well, he obviously doesn’t have the money to build the New Anfield if the credit crunch is squeezing him that badly, but it occurred to me that I don’t know just how much money he would need to come with on his own to trigger the ground being broken.
If lending institutions are willing to ante up around 80% (by raju’s informed estimation) or thereabouts, and the stadium will cost £300m, then he would have to chip in 20% of £300m – £60m or roughly $120m US. This number assumes that he would be sole owner, and to realize that he would also need to come up with another $400m US for Gillett’s shares. By these very rough calculations, in Hicks’s own model of ownership, then, he needs to supply $520m US of debt-free assets – over half a billion dollars – out of his own holdings for building of the stadium to proceed.
Excuse my lack of manners while I snort in skepticism.
raju: I kind of like the image of the Anfield boardroom stuffed to the rafters with canvas bags full of 60 million one-pound coins. If nothing else, it certainly brings into perspective just how much money that number really represents.
Julie (Toronto) - You are also missing the £200 million to buy out GG. So altogether it would be about £500 million. He may have to find either £50 million or £100 million. The banks are also asking for more colateral than they usualy would so your estimate of $520 is also to low. On top of that he would also have to pay a high APR on the loan. I think in the current climate it will not be financially feasable for LFC to operate in a competitve manner with the debts Hicks will put on the club.
Julie (Toronto) - You did include the money to buy out GG, but the security that he would have to provide to the banks will be alot more than usual.
C’mon Dawg, what’s going on?!? (not rhetorical). If Hicks can’t guarantee to deliver on what we need, then he needs to get out of here.
Let me put it to you this way, Martin…
I was on the Dallas Morning News website this morning reading about the Rangers game yesterday. I was also reading the local news while there. The first I learned of this GloryPark news was here. It’s not even front-page news in Dallas. If you asked the first 100 fans walking into the Rangers game tomorrow night was “Glory Park” is… you might get one who knew what you were talking about.
LFC’s stadium is directly tied to its financial status. LFC is a highly valuable asset, in good times and bad. There are all kinds of groups that would be interested in such a project. This? It’s Arlington, Texas. A glorified shopping mall, irrelevant to the team’s finances, next to a stadium built in the middle of a cow pasture. In the middle of a market downturn.
Hicks has deals come and go all the time. But this Arlington deal and LFC’s stadium are apples and oranges.
Dawg - Isn’t Arlington where all the presidents get burried?
No, Anthony. That’s Arlington, Virginia.
Reading Texas Dowg’s posts gives us into look into the world of fans of Hicks’ sports teams. Passionless drones who spirit has been broken by years of mismanagement. God help us if we ever reach those levels.
Stephen,
Why should a Texas Rangers fans care one bit about the owner’s plans for a shopping mall next to where the team plays?
Dawg - Because the UK is so small we only have one of each name over here i.e. there is only one Liverpool in the UK. How many Liverpools are their in the USA? More than one. Did you know that the state Virginia was named after Queen Elizabeth the First? She was called the virgin queen so someone decided to name the state after her! Fascinating or what, she was Henry the Eigths daughter. Where are you decended from.
Dawg - Also how old r u?
I know, Anthony.
And I’m 30; descended from immigrants to the US in the 1700s, from Germany, Scotland, and Northern Ireland.
Absolutely bang on Stephen, DIC must really want to own the club to be still interested.
Can’t the same be said of Hicks then, Jofrad?
Dawg - They probably left for the USA via Liverpool. I’m 30 as well.
Dawg - I used to go to the same school as John Lennon and I live opposite Ringo stars old school.
” Jofrad // May 15, 2008 at 4:18 pm
One for Deputy Dawg when he reappears.
“Hicks in stadium vow
New ground to be ready for 2011.
Last updated: 11th May 2008
Hicks: Stadium plans on track
Liverpool co-owner Tom Hicks has assured fans that work on the club’s new Stanley Park stadium will go ahead as planned.
There have been constant doubts surrounding the proposed move to a new 60,000 - seat stadium at Stanley Park because of finances and the unrest in the Anfield boardroom between Hicks and co-owner George Gillett.
Liverpool City Council gave the green light for the new ground last week after granting planning permission and Hicks says work will begin in September and be open for 2011.
“Site work will start in September and actual construction in late October/early November, with completion in time for the season starting in August 2011,” Hicks told the Sunday Mirror.” ”
Jofrad - We are also still waiting for Snoogy Doogy to sign for us. He sounds like a good player, he might be the difference between first and second next season.
Seems Mr. Dawg’s on the defensive.
Just hang-in there Texas_Dawg, your hero may yet get the cash together to buy the club. Wouldn’t be in our interests but at least Hicks can enjoy making money. At least he’ll be happy, if not us.
Should he not get the cash together, good riddance to all the drama!
Back to transfers I think. The ownership saga looks set to drag on for another while. Here’s ITVs take:
“But Gillett, having made it clear he will not sell his 50% stake in the club to his partner, significantly flew to London last week for informal talks with DIC.
It has emerged that are unlikely to test the validity in court of Hicks’ veto over any move by Gillett to sell his stake. Problems over certain clauses in the original contracts have arisen which make such a move difficult.
However, few observers now expect the troubled ownership of Liverpool to be resolved this summer, with the saga likely to drag on into the autumn.
Under the current proposals, the stadium work should have started by then. ”
*http://www.itv-football.co.uk/story/0,19239,6145_3568818,00.html
@Julie (Toronto): The first £60m for the stadium is in place already. If I’m not mistaken it’s enough to clear the area of trees and so on, and to start digging that swimming pool.
So I suppose that answers your question as to how much money he needs on his own to trigger the ground being broken - none!
Raising the remaining £240m is the more difficult task.
But Jim, if the £60m is already there why hasn’t he/they begun work yet? Can they only do so if they have the rest of the finance in place? I would have thought IF he had the cash or felt he had the cash coming he’d have started by now to make that all important statement: I’m in Charge!
Jim - I think she was asking how much money Hicks would have to put on he table to be able to get a loan of the bank as they are not giing 100% mortages and loans.
midlands-red - There is a bit of time allowed before work starts for the government to call in the plans.
Jim: I can likely look this up online but maybe you’ve got it at your fingertips…what, ultimately, made Hicks bail out of Corinthians?
Seems Mr. Dawg’s on the defensive.
Just hang-in there Texas_Dawg, your hero may yet get the cash together to buy the club. Wouldn’t be in our interests but at least Hicks can enjoy making money. At least he’ll be happy, if not us.
Should he not get the cash together, good riddance to all the drama!
Defensive? Just explaining to you why GloryPark and the LFC stadium aren’t even comparable.
And Hicks has the financing to buy 100%, midlands. Gillett just doesn’t want to sell to him for now.
‘…Or brain dead idiots who don’t know what they are talking about…’
Quote of the day
why is a 30 year old hanging out with tom o hicks DD? i mean, i dont believe that you do, but if you could make up at least something entertaining, if not plausible….
PS- What “GloryPark” and the new Anfield have in common is the ability of tom o to finance their construction. not anything else. the matter has either been confused, or DD is trying to muddy the waters. and what evidence, which tom o would by any measure of logic want to have out there, is there of tom o having the finance to buy out gillett? why would he keep that a secret?
@midlands-red: (Don’t laugh, I checked this and it’s true!) The first obstacle is you can’t fell trees with nests in until the birds have cleared off again, which I think is usually sometime in June, but varies depending on something Bill Oddie could tell us about.
There’s also the wait for any judicial review, but if that decision is as quick as the last one it’s likely to be early-mid July.
After that the only reason that comes to mind is getting the equipment in place to do the work. I only say this after reading it somewhere or other. I can’t find where at the moment though. I did find an estimate made last July that the excavation phase for that version of the stadium would take 26 weeks based on 5-days-a-week working. That was in a document discussing the impact on traffic of the actual construction work.
@Julie: The Corinthians story is one of those issues I’ve been meaning to go back and look at.