The Rent (6 Viewers)

[Bennets Afro]

I'm a little confused about some comments on here about tax payers money and the rent of the Ricoh.

A couple of questions:
1, how is the tax payers money CT affecting the day to day running of the Ricoh?
2, How does reducing the rent affect the tax payer?
3, Why should the tax payers of Coventry have a say in how much the rent is when it is not paid to the council, but to ACL?

My understanding:
- £1.2m pa rent is paid to ACL?
- ACL is made up of 50% Council and 50% Higgs
- ACL is a self sufficent company and no money passes between council and ACL as all profits are reinvested into ACL/ pay off the £20m loan that was taken out

If i am wrong, can someone please correct me and explain the situation, but it seems that as the council or Mutton seem to be the voice of ACL then people are getting confused between who we pay rent to and what it is used for.

 

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[dgm]

If as you state ACL is 50% council then they will stand to lose 600k -this deficit would then need to be made up elsewhere -with an. assumption being the tax payer-i can only guess that is the link -similarly should the council then go on to sell their half of the Ricoh the money made from exhibitions, concerts, hotel etc would all leave a substancial hole in the council coffers -again money that will need to be found through tax or loss of services and jobs -this is the reason i believe we will never own the place as less than 15% of the city are interested enough to go up to games and the other 85% of residents would hang any council that sold the cash cow

 

[Bennets Afro]

Wasn't it stated though not long back that to get money out of ACL then dividends need to be paid and at the minute none are as it all goes on the loan and reinvesting within ACL.
So how are the council gonna lose 600k if it isn't receiving anything at the minute?

 

[theprince]

I am certain the rent is being used as a lever to rid us of our owners, just hope it's successful

 

[PWKH]

BA
You are right when you say:
My understanding:
- £1.2m pa rent is paid to ACL?
- ACL is made up of 50% Council and 50% Higgs
- ACL is a self sufficent company and no money passes between council and ACL as all profits are reinvested into ACL/ pay off the £20m loan that was taken out

The Council has no say in the rent: that is for the Company, ACL to negotiate with CCFC just as it does with the other tenants at the Ricoh. Neither the Council nor the Charity have (or could have) taken anything our of ACL. There are no dividends until the mortgage is paid off.

 

[Bennets Afro]

That's what I thought. Cheers for clearing that up

 

[Nonleagueherewecome]

I am certain the rent is being used as a lever to rid us of our owners, just hope it's successful

Or a lever by SISU to rid themselves of the football club for good, by destroying it!