They’re laughing, but the joke’s on us
From the West Ham United website:
Q: If the Club get relegated, will the Olympic Stadium tenancy agreement impact on the Club financially?
A: The Club will ALWAYS be able to afford its annual rent. Whilst we do not intend to focus on relegation, the deal is structured in such a way that the annual usage fee is reduced should the Club be relegated.
So, there you have it: West Ham will get a rent reduction on the Olympic stadium if they are relegated from the Premier League.
I’m pretty certain that had results gone the other way on Sunday, Arsenal’s mortgage repayments on the Emirates stadium would not have been reduced by their failure to secure Champions League football.
Likewise for Spurs with paying the costs of the new stadium soon to be built just north of White Hart Lane. The club will have to find the money whatever league they’re in.
For some reason West Ham has been granted a sweetheart deal by LLDC and Newham council that enshrines unfair competition. They know their costs will reduce if they are relegated, so they can afford to invest more in players and pay higher wages. The decision has been totally de-risked.
Of course West Ham are not planning on relegation. In fact, quite the opposite. In his speech to Newham council’s AGM last week Sir Robin – a beneficiary of much corporate hospitality at the Boleyn ground – boldly announced that as a result of Newham’s £40 million gift to the club “prudent investment in the Olympic stadium” local people would benefit from “millions of tickets to West Ham United matches, including Champions League Games!”
If West Ham does makes it the Champions League, with the help of a generous leg-up from Newham’s tax payers, will this ‘promotion’ result in an increase in the stadium rent for the club’s multi-millionaire owners? Don’t be so silly.
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