Stadium update/Lateral statement

[classysupercas]

sounds to me that it will get started but could be 6 months away. nevermind enjoy darne lane you will never get a better atmosphere in rugby league folks

[HuddsTigers]

Are we just looking for one more big retailer to sign up or are we still quite a few retailers short of what would be needed to get this done

In terms of the development being built, as the piece I've quoted above states, it will forward funded by the pension fund. So in terms of getting it built - we don't need anything.

In terms of Lateral filling the site, the maximum number of retailers the site can hold is 18 (I believe from the planning application - don't hold me to that). Presumably that's with them all letting the minimum retail sizes. But I also think this will be flexible so if a store wants to take up more quantum space, this will reduce the retailers needed.

Either way, I expect it will be an agreement that the pension fund will invest in the site with the aim of recouping their money from rent agreements.

[Dez]

The pension fund are funding the site build but the ground is funded via retail unit take up .

[The Firm]

All that tells me is that the funding still isn't in place and until it is they'll be no stadium. Hopefully more retsil will sign up soon or it will be getting pushed back again.

Retailers and funding two separate things.

Funding is coming from a investment pension fund, which is why it is complex. They will underwrite the entire project. This project will happen. You can't invest that much money for no return.

We already have key retailers signed up and now they have changed the large supermarket, it is about working to tie up the rest. If retailers have signed up they must be confident. That speaks volumes to me.

And as it clearly states the funding is coming from the retail aspect NOT the pension fund, don't get that and them underwriting it confused. Not enough retail = no stadium. I'm confident it will happen as the will appears to be there but when that will be is still very much up in the air.

I've read the statement. It says they are completing the funding agreements. "The necessary funding agreement over the coming months."

As per the planning applications, the funding agreement is coming from a pension fund. I've taken that from their own application

Here's the letter from Cushman and Wakefield:

We are instructed by Lateral (Castleford) Limited to act as their funding advisor in securing capital investment for the
Five Towns Park Development and it is a project for which I have direct responsibility. I have been involved in the
project for just over 2 years and have been engaged in active funding discussions for the last 6 months with a number
of major funds and Public property companies.

After several months of discussions we are now in negotiations with a major Pension Fund, for them to forward fund
the entire project cost and I am confident we will be exchanging a funding transaction by the calendar year end.
However, there are a number of Conditions Precedent within the commercial terms which need to be discharged prior
to completion of the funding agreement.

As the letter clearly state, a number of conditions need to be discharged before the completion of a funding agreement. This is alluded to in Lateral's statement.

They have worked tirelessly to discharge all of the conditions so that the above funding agreement can be agreed and finalised.

Link here: http://cominoweb.wakefield.gov.uk/Plann ... nt=obj.pdf

Lateral are quite obviously not willing to proceed without further ink on paper, the fact we have 3 already signed up is great but it obviously isn't yet enough to proceed. The pension fund may put the cash up front but the developer would take a hit if the units are not filled as they still have to pay them back with money (with interest) they haven't yet got. This would destroy their profits and make no commercial sense. Ergo the funding isn't there until the retail is in place as the development won't start without it.

[onetiger]

as i been saying pipe dream -reading statement i thought things was looking good but reading posts on diffrent media
platforms does not look like there will be a ground not in 2020 or even 203o-2035 so at jungle we will stay

[Scoopage]

as i been saying pipe dream -reading statement i thought things was looking good but reading posts on diffrent media
platforms does not look like there will be a ground not in 2020 or even 203o-2035 so at jungle we will stay

We know you've said it about 7 times now.you will believe it when first ball is kicked in new stadium blah blah blah

[HuddsTigers]

as i been saying pipe dream -reading statement i thought things was looking good but reading posts on diffrent media
platforms does not look like there will be a ground not in 2020 or even 203o-2035 so at jungle we will stay

I'm confused. You read the statement and thought things were looking good?

They are. And it will happen.

[tigerfeat]

as i been saying pipe dream -reading statement i thought things was looking good but reading posts on diffrent media
platforms does not look like there will be a ground not in 2020 or even 203o-2035 so at jungle we will stay

We know you've said it about 7 times now.you will believe it when first ball is kicked in new stadium blah blah blah

Hes trying the old reverse phycyology

[onetiger]

as i been saying pipe dream -reading statement i thought things was looking good but reading posts on diffrent media
platforms does not look like there will be a ground not in 2020 or even 203o-2035 so at jungle we will stay

We know you've said it about 7 times now.you will believe it when first ball is kicked in new stadium blah blah blah

Hes trying the old reverse phycyology

[Robbo]

Are we just looking for one more big retailer to sign up or are we still quite a few retailers short of what would be needed to get this done

In terms of the development being built, as the piece I've quoted above states, it will forward funded by the pension fund. So in terms of getting it built - we don't need anything.

In terms of Lateral filling the site, the maximum number of retailers the site can hold is 18 (I believe from the planning application - don't hold me to that). Presumably that's with them all letting the minimum retail sizes. But I also think this will be flexible so if a store wants to take up more quantum space, this will reduce the retailers needed.

Either way, I expect it will be an agreement that the pension fund will invest in the site with the aim of recouping their money from rent agreements.

You are getting carried away mate.
they will not build this without Heads of terms signed. You are suggesting a speculative build??

goodness glad you are not looking after my pension.
robbo

[Nu Shooze]

I think it's worth bearing in mind that whilst a substantial amount of money has already been spent, a £10m loss is far less than a £130m loss if retailers don't fill the site.

It is often the case with private investment that it ceases when it becomes clear they're not going to recoup the final costs.

Would it be a loss though? There was private investment to secure the site initially, for quite a modest sum as well given the size of it. It's now a development site with planning; what's its value now? I doubt anyone would lose anything if they were to sell on, which I understand was considered as an option last year when the retail economy started to go TU.

[mart0042]

The good thing is that the units can't open until the ground is built and handed over to the club.

Let's hope that one of the things to be discharged isn't the 106 agreement to build the ground. Are we looking to ensure that is isn't happening or are the council ensuring that? Add they have to discharge the matters.

[Mysterio]

Think HT you are reading into things in the way we'd all want to read into them.
I know it's difficult for you (all of us!) but it's better to be absolutely clear and concise with folk instead of pull the wool over their eyes in terms of the magnitude of hurdles we still need to jump. It's far from certain mate.

I think you should keep your Feet on the ground but I understand how excited you are along with the rest of us, chill mate,

[HuddsTigers]

Not pulling the wool over anyone's eyes or trying to mislead anyone. The information is all available in the public domain.

People can read what they want into it but what I do know is that I trust and believe in Lateral. There's also a real valid reason for them to be cautious in order to temper expectations that it will be built next week. There's a lot to do, I know fans will have their doubts.

But I think it is a case that our fans will a) always look to poke holes in any statement and b) have a half glass empty mentality. I don't.

Don't appreciate the patronising tone either fella really.

[HuddsTigers]

Are we just looking for one more big retailer to sign up or are we still quite a few retailers short of what would be needed to get this done

In terms of the development being built, as the piece I've quoted above states, it will forward funded by the pension fund. So in terms of getting it built - we don't need anything.

In terms of Lateral filling the site, the maximum number of retailers the site can hold is 18 (I believe from the planning application - don't hold me to that). Presumably that's with them all letting the minimum retail sizes. But I also think this will be flexible so if a store wants to take up more quantum space, this will reduce the retailers needed.

Either way, I expect it will be an agreement that the pension fund will invest in the site with the aim of recouping their money from rent agreements.

You are getting carried away mate.
they will not build this without Heads of terms signed. You are suggesting a speculative build??

goodness glad you are not looking after my pension.
robbo

No im not suggesting a speculative build. I'm saying that it is being forward funded.

I've also seen enough developments to know that retailers wouldn't agree to occupy the site unless they believed it was going to happen. We have 3 retailers signed up (that have been announced) and more will follow im sure. Once all the planning hurdles are out the way and the site work begins, im sure all of the expressions of interest will be converted into legal agreements.

[Dez]

You trust lateral. On what grounds can you trust them .you don't know them . As for retailers signed up already . They can pull out when they want . They project there building plans 3yrs in front . Do you honestly believe Primark will just wait for when lateral decide to build . Trust me they don't work that way

[HuddsTigers]

A signed legal agreement. Can't just pull out - there will be some penalty.

And I trust them because of the fact they have invested loads, gone to loads of effort to get everything through and the club are also very supportive of them. I trust the club and those in charge now and by extension, if they trust them so do I.

[onetiger]

A signed legal agreement. Can't just pull out - there will be some penalty.

And I trust them because of the fact they have invested loads, gone to loads of effort to get everything through and the club are also very supportive of them. I trust the club and those in charge now and by extension, if they trust them so do I.

lose 10 million and just pull out and lose 131 million i know what i would do
what me and other are waiting for is the next statement and see what date its been put back to at a guess summer of 2022

[Robbo]

Hudd tiger

You are out of your depth here pal. How many leases have you signed?
The retailers may have signed an option agreement and as "anchor " tenants they will be getting a deal either as reverse premium or a longish rent free period.

When you say forward funding please explain what you think it means.
A letter of intent is just that but will have clauses for both sides.

The funding is still to be sought and as the project is not fully let yet there will be a trigger point.
The forward funding you refer to will be triggered once all numbers are done and that money may well build the stadium and start up costs.
The costs in excess of 25 million will not leave a great deal for Lateral in fact there are those still doubting the build because its so tight.
we remain ever hopefully.
robbo

[HuddsTigers]

Robbo.

As I put on the other thread, I may be wrong, I may be right. Either way, I'm passing on the info that is out there. People can read what they want to read and take it how they please.

I hardly doubt that there will be a rent-free period for any leasing company as that wouldn't make commercial sense. How would Lateral, the pension fund, or maybe a future buyer get their money from it? There may be a brief sweetener rental period but they will still be making money from the development.

Forward-funding means they will stump up the cash to build it in the first place to enable development and construction to start and that Lateral will pay the money back at the end of it, no doubt with some interest payments. Lateral as a developer may even sell it on to someone like Jones Lang Lasalle. You can read more here (and so can anyone else): https://www.wrighthassall.co.uk/knowled ... d-funding/

We don't know how much the 3 companies are taking up but as Next are an anchor tenant I can't see that being a small amount of retail. You may be right in that retailers are still required but then Lateral may be holding their cards close to their chests. None of us know, and until we do, we're working with the info that is already out there.