Liverpool FC Forum

[Redrider]

Investment by Steve Morgan is being hindered by the Cost of the new Stadium, which has risen from £80m to over £100m perhaps up to £120m. Morgan is also concerned by the current funding arrangements and the possibility that some of the grant aid may not materialise. Where do we go from here:
    No New Stadium?
    Groundshare with Everton?
    No funding from Morgan ?
     

[Leonmc0708]

Rider, where did you hear/read this, lets have a source please buddy.

[Redrider]

Daily Telegraph today.
www.telegraph.co.uk

[ivor_the_injun]

How the f*ck does the cost of these things rise so much? It's risen by 50%, for christ's sake!

Could LFC not have got a quote in writing, like Joe Public would if they were having a conservatory built?

[Redrider]

Ivor, I think that is probably Morgan's point. The new Stadium plan is probably out of control. As a business man, he is probably concened about an open ended venture with no apparent financial cap and a set of finances where costs exceed expected returns.
Perhaps we have a major problem on the horizon here !!

[Leonmc0708]

It is all paper talk about the costs.

[Redrider]

Leon, the Telegraph normally sticks to the facts. There is likely to be some core of truth in this article.
Morgan, could be playing 'hard ball' in his bid to take control of the club and making more of this than it deserves. However, I suspect that all is not well with the cost of the Stadium and the amount of finance currently available.
After all Rafa, must be putting in a bid for some serious funds, for players.

[Paul C]

Man thats a LOT of money

I just want us to improve the squad and win the title, grounds are at the back of my mind at the moment

[azriahmad]

Don't believe everything you read in the papers as the journalists and especially the editors will take "journalistic liberties" to fill in the gaps of information or just simply to spice up the story to make them more sensational for the sake of selling their products. There may be some thruths and there mey be some speculation, take it with a pinch of salt and discount some of the stories.

This so called cost escalation may be an excuse from Morgan as he decised to pull out due to some reasons - perhaps he cannot really raise the full amount of 73million pounds and decides to project this as being the reason for his pulling out. We don't know the detailed designs of the new stadium, so we don't know the real estimated cost. We also don't know if Morgan actually did not table a plausible offer to Moores.

It is inconceivable for a staduim to cost by more then 50% of the original cost unless there is some fundamental changes in the design.

[Leonmc0708]

No journalist will ever let the truth get in the way of a good story.

Anyway, have you ever heard of a building project that never went over budget or got behind on the work?

[Redrider]

Morgan is maybe using the cost of the Stadium as a ploy to ask for a greater share of the club ownership.

[Redrider]

Everton are still looking for a Ground Share. see tonights Echo !!
Could they afford £60m ?  What would this do for the Morgan deal ?   

[Storm]

Just read in mornings paper that John Prescot has given the go ahead for the stadium in Stanley Park.

From what Parry has said most of it will be financed from loans which answers one of your previous questions I think Redrider.

Again it seems in the modern game its the financial skill in buying and selling players is where most money is made and lost.

If Raf is buying from Spain then he may not be using agents and so the bung is less expensive.

[addicted norwegian]

According to lfc.tv it seems that Rick Perry is happy with the ruling allowing Liverpool to start building the stadium. But in the same interview he seems very clear on the budget-issue, saying that the stadium won`t be built at all costs, and most certainly not if it would mean a possibility of going bankrupt in the process.

[Storm]

And it will be at all costs if the budget according to the reports is £120m you can bet your rear end on an LFC seat that it will come in over cos it will be designed to £120m and when the contractor prices it it will be over.

As for an explanation well its difficult but basically the initial stage will be how much and can we afford it, then it moves into the planning stage (no of seats etc), and then the designers start to design to that budget (still with it?) which will have no slack and then when the contractor prices it prices have moved on since the budget.

Also if the budget tries to reflect the true cost then nothing would get built cos its too costly eg the Channel Tunnel is an example.

Not too boring I hope!!