Everton FC has lined up an agreement with Liverpool City Council ahead of construction of its new £300m stadium at Bramley Moore Dock in Liverpool.
The agreement would see the council form a special purpose vehicle (SPV) company to help bring forward the project within Peel Land and Property’s £5bn Liverpool Waters scheme.
Everton FC would fully fund construction of the stadium but would lease the stadium from the SPV (see box).
Subject to approval being granted by cabinet at a council meeting next week, the council will finalise the agreements over the next three months, allowing the club to progress with the preparation of a planning application.
Everton FC chief executive Robert Elstone said it was vital the club had “clarity on cost” given the scale of the project.
“To ensure the stadium is affordable, we need to confirm stadium design, capacity and configuration,” he said.
“And to do that, we need to talk to fans, partners and all stakeholders in the project. We’re committing to that consultation.
“We’re also committing to keep fans fully informed as the project develops and as other milestones are reached.”
The club had previously considered options for a new stadium at Stanley Park, and in 2001, drew up plans for a 55,000-seat purpose-built arena on the site of the King’s Dock in the city. Everton had also considered redeveloping its existing Goodison Park stadium (pictured).
Mayor of Liverpool Joe Anderson said: “I’m delighted that we have got to a stage where the city and Everton can publicly share the vision for the club’s potential new home at Bramley Moore Dock.
“I understand that creating this financial arrangement is a small step in a long journey for the club, but it is the first step and for that reason it is a special moment in the city’s – and Everton’s – long illustrious history.
“If things progress as we all hope, it marks the beginnings of a new and exciting chapter.
“The proposed new stadium will be a landmark for the city’s spectacular north Liverpool waterfront and a powerful statement of intent for the club and the city of Liverpool that will resonate globally.”
Liverpool Waters development director Lindsey Ashworth added: “It’s important to remember that this is the start of a long process and we will be working very closely with Everton, Liverpool City Council and Historic England to better understand the site and develop the proposals.
“As the current owners, we have a level of knowledge and experience of the site which we believe will help Everton deliver not just a new stadium but a stunning addition to Liverpool’s northern waterfront.”
Last year, Everton’s Merseyside rivals Liverpool unveiled a new redeveloped main stand at Anfield, increasing the stadium’s capacity to 54,000.
Proposed ‘heads of terms’ for the special purpose vehicle
- A funder will acquire a 200-year head-lease of the land for the new stadium from Peel Holdings
- The funder will lease the stadium for 40 years to an special purpose vehicle set up, owned and controlled by Liverpool City Council
- The SPV will sub-lease the stadium to Everton FC for 40 years, less one day
- Everton will provide an annual rent to the SPV, allowing the SPV to pay its rent in full to the funder and to receive an annual fixed security fee on top
- Everton will provide a full security package that will create new bank accounts into which certain Everton incomes will be credited to deal with an eventuality of non-payment of rent
- At the end of the 40-year lease terms, Everton will have an option to acquire the head-lease from the funder.