So reading the report it seems E20 LLP (currently owned by London Legacy Corporation and Newham Borough Council) has been granted the Mayor's approval to change it's ownership.
Newham is bailing out - presumably as they can't justify nobodies bins getting collected whilst they stump up £10m each year to a PL football club they've already 'loaned' £40m to - and a new partner is to join.
Whom exactly has not yet been made clear, nor is it clear whether they will buy in to this £500m asset or simply 'join'. Will it be West Ham? Are they legally obligated to pay for half it's value? The politics of them being given it after the losses made you'd think would be unacceptable to Khan after making suhc an issue of it.
Will UK Athletics buy in? Will it just be transferred to another public body, central government, or the City of London?
It's all a bit of a mess, but I'm pretty sure whatever happens West Ham's contribution one way or the other will be going up.
As long as the operation is still loosing £20m each year - partly owing to the change over costs for Athletics - it's clearly not a viable investment for the private sector.
One UK Athletics or West Ham would have to leave, and surely neither will relinquish their contract with E20 - so the only option would be for LLC to put it into administration - then have it's assets sold on the open market without it's concession agreements.
West Ham will either have to pay more to stop this from happening - or somehow give UK Athletics a carrot to move somewhere else, which in itself isn't going to be cheap.
Tbh it's not him being an idiot. He's a very smart guy who acts a bit of the bufoon to gets votes. It's that he will do anything no matter the cost to gain power. He knew this would be a shit storm but didn't give a shit.
Much like Qatar being given the World Cup, this is one of those situations where everybody knew it was completely farcical the second it was announced and yet it's cost millions of pounds more in taxpayers money to produce a report that any one of us could've written. The whole thing is just such a joke.
Regarding the original deal, the thing I just flat out don't understand is how anyone negotiated a deal that didn't at least cover the costs of the stadium? Surely the absolute base price for any tennant should be the operating costs etc. If you're a landlord and your mortgage payment is 1000/month you don't rent the flat out for 200/month do you. But that's basically what the OC have done
I hope (although I won't hold my breath) that somebody finally sees sense and tears up the original deal and make West Ham pay a proper amount of rent so that the taxpayers can finally get their money back. The whole thing is a complete farce
E20
A fictional postcode for a fictional area - Walford - in East Enders. Flipping Mockneys.
West Ham's contribution doesn't cover 1/4 the cost of moving the seats about to accommodate them. Let alone everything else.
I just can't see a solution to this. West Ham have a 99 year lease so it's going to be very difficult to kick them out. To get rid of them you'd need to prove corruption. In the bidding process. The most likely scenario is that the government will throw more money at the stadium.
I have played there, it used to be the Ford sports and social club. I worked for Ford and played for the team for a while.Just went past their training ground. When you look at it, the gulf in quality between ours and theirs is ridiculous. Without the signs on the outside, you wouldn't question it if you were told it was Dagenham & Redbridge's, who play just down the road
Too many threads on KUMB Literally can’t keep up
Full report, which I suspect we could have written for free in 2011
https://www.london.gov.uk/sites/default/files/olympic-stadium-review.pdf
On the whole the accountants blame the LLDC. Khan doesn't say that once though does he? Cant score political points that way.