Everton stadium development deal leaves rival Premier League executives ‘gobsmacked’
The stadium development deal between Everton and contractor Laing O’Rourke has left rival club executives “gobsmacked” according to Liverpool Business News.
The club’s chief executive Professor Denise Barret-Baxendale secured the deal with the Bramley-Moore Dock developers last week, to complete the construction and to protect the club against rising costs.
Amid rising inflation and material costs the deal should prevent the price of the project spiralling out of control, and appears so beneficial to the club that it has caused shock at other clubs.
Tony McDonough writes in Liverpool Business News: “It is believed Laing O’Rourke is keen to use the project as a global showcase, a demonstration how it can deliver schemes of scale and prestige.
“LBN has learned that executives of other Premier League clubs are gobsmacked at the deal, secured by Everton chief executive Professor Denise Barrett-Baxendale.
“One executive, who recently oversaw the building of his club’s own new stadium, was reported to have asked “how did you do it?”.
“It is almost a given that the cost of football stadiums always goes higher than the original estimate – just ask Tottenham Hotspur. Everton may be about to buck that trend.”
Leadership, finally
There hasn’t been much at boardroom level in the last few years that would make anyone at other Premier League teams jealous.
Prof. Barrett-Baxendale looks to have pulled a master stroke at the key moment with this deal.
According to Goal, Tottenham’s stadium ballooned from a projected £400million, to £750million, and eventually ended up costing £1billion.
Similarly the same report notes that new Wembley Stadium development went hugely over budget as well, from £450million to around £830million.
With the Toffees already in a financial perilous position, having posted major losses again, lost their main sponsor, and at risk of Premier League relegation, they can ill afford the same thing happening to them.
But it looks like the chief exec. has leveraged what Laing O’Rourke are set to gain from a successful project in order to potentially save millions.
If owner Farhad Moshiri could follow her lead then perhaps the money that he does spend could get more of a beneficial return.
In other Everton news, the club are set to make a £350,000 payment to Liverpool City Council amid “appalling” developments in local government.
Be sure to follow Goodison News on Facebook for 24/7 updates on Everton plus more exclusive interviews with Kevin Campbell.