Everton stadium could hit £800m, costs branded ‘complete nonsense’ as MSP Sports Capital money arrives
The original £500million “fixed” cost of the new Everton stadium development has been branded a “complete nonsense”, with the eventual cost predicted to reach as high as £800million, according to The Athletic’s Matt Slater.
The Everton Stadium website refers to the half-billion figure, and it was reported in April last year that the project was due to cost that as a set price [Independent], before Farhad Moshiri called it a “£760million stadium” in a surprise interview on talkSPORT in the final throws of Frank Lampard’s reign on 12 January this year.
Now, with Moshiri since seeking outside investment to help finance the build, the start of which has reportedly started being put into the club via MSP Sports Capital, the cost is tipped to still rise further and the new partners’ involvement with it.
Slater wrote in The Athletic (5 June) that MSP have already spent £40million of a proposed £100million loan plan that would see them receive 25% of the club in return and seats on the board.
But on The Results Business podcast (6 June) Slater predicted the stadium cost, the money leant by the American company, and their share of the club to eventually increase.
He said (5m): “The MSP plan is to fill a funding gap… if we think about the stadium costing, [Moshiri’s] now admitted, £760million, I actually that might go up a tiny bit more. I think there’s a little bit more to come there, perhaps to £780million, maybe even to £800million when all is said and done. £760million is the current number. He’s done about £400million of it himself in equity, so there’s still a big gap there.”
He went on (14m 25s): “The only things I’d add on the MSP bit, not only will they have these warrants which I think they will exercise for 25% of the club, they get two places on the board, and I think they could actually end up lending the club more because I think the shortfall on the stadium’s going to be a bit more, and Everton have day-to-day costs. It wouldn’t surprise me at all if that ends up being more like £150million, and they might even end up with more therefore than 25% of the club.”
Slater called dealing with Everton “frustrating” and getting answers about the stadium “difficult”, while lamenting the quoted £500million guaranteed cost as a “really stubborn mistake”.
He said (24m 10s): “It’s a complete nonsense that a building firm would guarantee the costs of anything… it’s just nonsense… everyone reported it because that was the steer from the club.”
Head spinning
MSP Sports Capital ending up with a greater share of Everton might not sound too bad in the eyes of plenty of fans who are eager above all to see the back of the current regime.
There is no guarantee that costs will continue to increase, but in light of the increase of over 50% from the originally reported levels it would be foolish to rule it out.
Moshiri has put huge amounts into the club and has said he could cover the whole project in other circumstances, but new money has now reportedly started to flow in to plug apparent gaps, which may have been entirely unforeseen.
Assuming MSP’s presence on the board does follow they will need to demonstrate they can bring about vital improvements if the prospect of their receiving a greater share of the club is to be a comfort to the fanbase.
Whether deliberately or by accident the numbers on the dock-side project, which is said to be ahead of schedule by Slater, look to have changed a great deal over time, and while estimates vary from the outside now it is clear the overall cost is far higher than originally suggested.
While the build continues and movement begins on the investment front it seems the club is set for a summer of change, but developments will need to remain on track for the team to actually move in for the projected 2024/25 season debut.