Wednesday, April 01, 2009
Hot on the heels of the club announcing the loss of up to 25 staff, in an effort to save on next season's revenue drop, the Shareholders were today told of the plan to sell the Club's training ground, plus other land belonging to Charlton.
This might sound awful, but on reflection, this is not as bad as first might seem.
This is because buyers are in place, and they happen to be current Charlton directors (or their own company's). The club stands to make £1.5m from the sales of these freeholds, and has also received another half a million from Chairman Derek Chappell to help with working capital.
The training ground, plus the former Charlton Park Rugby Ground, is up for sale to Richard Murray and Sir Maurice Hatter for a total of £1m, and Pippenhall Sports Ground (which I don't know) and the two houses in Lansdowne Mews which are owned by the Club are being offered to Bob Whitehand for £500,000. All land is being leased back to Charlton for a minium of 25 years at preferential rates it seems.
It is Pedro45's view that this benefits the club not only from releasing otherwise tied up funds, but could also help in any future eventuality should the club go into administration. This move seems to protect Charlton from having to find another training ground should an administrator wish to sell that currently owned (which would be one sure way an administrator would hope to realise assets).
This move also continues the directors strategy of protecting thier own investments into Charlton, and follows on from the bond issue of last summer which raised £15m. In another good move by the Board, any interest due on the corporate bond issue for this year has been deferred by the directors.
The drop in turnover is going to have a massive impact on everything that Charlton do from now on, with little propect of avoiding relegation finally acknowledged in the shareholders letter. The Board have acted responsibly by proposing these sales, which will be voted on at a shareholders meeting in two weeks time.