Salford City Council has announced the formal completion of its takeover deal for Salford Community Stadium, while the City of Vienna has said it will pursue a takeover of Generali Arena and Dutch Eredivisie football team NEC Nijmegen has agreed a deal to buy back its Goffertstadion.
Salford City Mayor Paul Dennett announced the closure of the full acquisition of the home of Super League rugby league club Salford Red Devils and Premiership rugby union team Sale Sharks today (Friday) following the initial announcement of the deal completion in September.
The key approval decision at that time was taken following months of negotiations. It means that the Council will take over full ownership of the stadium and associated development plots of land, located in one of the five growth locations of Greater Manchester.
The deal will see the Council buy the remaining 50% of the Peel Group’s shares in Salford Community Stadium Limited – which is currently jointly owned by the two parties. The Council initially agreed to take full ownership in February, stating that the move would allow it to deliver on the initial vision of a “community stadium for the city and its people”.
Dennett today said that since the February decision, a significant amount of legal and financial due diligence has been undertaken and the deal, which has cost £7.7m (€9.27m/$9.72m), which includes assignment of debt and shares, is now complete.
The Red Devils and the Sharks have both played at the 12,000-capacity stadium since it opened in 2012. However, the future of the venue formerly known as AJ Bell Stadium has been shrouded in uncertainty from the time Peel Holdings announced it would sell its stake in the facility.
Dennett said today: “This is great news for the city as it will safeguard jobs, ensure the continued community use of the facility and support the delivery of the council’s Rugby Strategy in 2025. It will enable the council to deliver its aims and aspirations by controlling future redevelopment of the area, a key regeneration site known as the western gateway.
“With full development, the 24.76-acres site has the potential to create hundreds of new jobs, with 6.02 acres already under offer and 1.82 acres to be sold imminently, attract further significant private sector investment and deliver millions of pounds worth of social value.
“The deal brings to fruition the commitment to deliver the initial vision of a community stadium for the city and its people. The future will be grounded in new sports and leisure and rugby strategies, with links to activity, culture and health and wellbeing and fair access and opportunities. It also helps protect the Super League status of Salford Red Devils RLFC and ensure both the Red Devils and Sale Sharks will retain their position playing in Salford.
“Work will now kick off with exciting plans to engage fans, community groups and grassroots rugby clubs, schools, education providers and residents with the city’s Community Stadium and the sport of rugby. The stadium will be at the heart of the city’s Rugby Strategy, with huge potential to increase participation rates in sport and contribute to improving the health and wellbeing of local people of all ages through all forms of the game and the wider activities.”
Vienna seeks to avoid foreign ownership of Generali Arena
Meanwhile, the City of Vienna is making moves to ensure the Generali Arena, home of Bundesliga football club FK Austria Wien, remains in Austrian hands.
Due to the club’s financial situation, its management has said a sale of the stadium is unavoidable, with foreign investors having repeatedly been linked to a takeover. Indeed, back in November 2023, Austria Wien said it was considering selling its home stadium to address its financial issues.
The City has said its Sports Department is now assessing a transfer agreement for the stadium, arguing that it not only plays an important role for the club, but also the city and Viennese sporting events.
In 2016, FK Austria was granted planning permission by the City to build the Generali Arena. The modernisation of the existing infrastructure and the construction of new stands, the underground car park and other construction measures were financed by the club, among other means, through external funding.
The City said: “The stadium should not be dependent on the goodwill of new owners, but should remain under the influence of the City of Vienna. It should remain the Austria Stadium and be used multifunctionally as before, so that as many Viennese people as possible can benefit from it.”
A price tag of €40m (£33.2m/$42m) has been mentioned for a purchase, with Sports Councillor Peter Hacker stating: “The Austria Wien stadium should remain a Viennese stadium – and the emphasis is deliberately on Vienna.
“As the City of Vienna, we want to avoid a third party determining what happens in the stadium in Favoriten and under what conditions, and that neither we nor the club have any influence on this. That is why we secured a right of first refusal in the land register back in 2016.”
Goffertstadion plans spur sale agreement
In the Netherlands, NEC and the Municipality of Nijmegen have reached an agreement on the sale of the Goffertstadion amid the club’s plans for redevelopment.
The sale of the stadium will take place under market conditions, with an independent appraiser having determined the market value of the facility at €4.5m. The land on which the stadium stands will remain the property of the Municipality, while the stadium itself is being sold on the basis of a building right.
In 2003, the then struggling NEC sold the stadium to the Municipality for €12m. The club has made attempts to buy the stadium back since 2009, with 2022 seeing NEC join forces with main sponsor, construction company KlokGroep, to launch a venture for such a purpose.
At the time, this led to the presentation of three concepts for a redeveloped Goffertstadion, including one inspired by Beijing’s National Stadium.
Under the agreement announced this week, NEC will need to secure financing for the purchase, with a view to a sale being completed on July 10 next year. NEC general manager, Wilco van Schaik, said: “This is an incredibly important step for the future of the club. We do not have the money yet and will need the next six months to tap all sources.
“One of the most important goals after promotion was to become financially future-proof and the purchase and development of the stadium is crucial in this. We will now focus on raising the purchase price and further rolling out our existing plans, in order to develop a profitable operation.”
Alderman Noël Vergunst added: “The Goffertstadion is not only the sporting home of NEC, but also a meeting place for our residents. We are pleased that we have finally reached an agreement. This sale offers NEC the opportunity to invest in a future-proof stadium. A great step for both the club and the city.
“We are very curious about NEC’s plans and look forward to what the future holds for the stadium and the region.”
