Balmain Leagues Club Receivership

[wtfl1981]

The Australian article:
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Wests Tigers Chief Executive Grant Mayer has rejected suggestions the joint venture club is at risk, following fresh concerns surrounding the Balmain side of the organisation.
A NSW Supreme Court judge has rejected an application to have the Balmain Leagues Club placed into receivership.

Justice Paul Brereton today continued to an allow an injunction that stopped a receiving being appointed to the club, which bankrolls the NRL Wests Tigers.

“The conclusion seems to me less injustice will be done by granting an injunction than by declining one,” Justice Brereton said.

The matter will return to court later next week with a hearing date on whether the club should be placed into receivership likely to be heard in the coming months.

While it is a reprieve for the club, which supports the Balmain football club and the Wests Tigers, still stands on the precipice of failure with mounting debts and a decision today by the NSW government to reject the new planning proposal for the club site.
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In what could be a final death knell for the Balmain Tigers Football Club and its involvement with the Wests Tigers NRL franchise, the department of planning announced today that it would reject the proposal put forward by developers Rozelle Village to redevelop the club site into a high rise retail and residential building.

“Based on the advice of key NSW Government transport agencies about traffic impacts, Planning & Infrastructure (P&I) has recommended that the proposal for a retail and residential development on the site of the vacant Balmain Tigers Club in Rozelle could not be supported in its current form,” the department said in a statement.

The department has rejected the application citing increasing traffic congestion on the road network surrounding the site, delays to bus services in Rozelle and no safe or convenient access from the Balmain Tigers site onto Victoria Road.

The leagues club has moved to two new sites in Sydney but still owes Rozelle Village a total of about $8 million, including an individual loan of $4m.

The Balmain Tigers Leagues Club is one of the main financial backers of Balmain Tigers Football Club, one of the few remaining foundation clubs still involved in the National Rugby League.

Representing the club yesterday barrister Robert Newlinds SC told the court if a receiver were appointed it could mean the demise of a football club with over 100 years of history, as well as damage “the social fabric of the inner-west.”

Balmain Football Club is negotiating with the ARL Commission for a $4m rescue package to finance its part in the Wests Tigers venture, which it runs with the Western Suburbs Magpies.

The joint venture club will receive a $4m cash injection which will have to be repaid by both partners within three years.

If Balmain is unable to pay its $2m share of the loan - all the more difficult without the Balmain Leagues Club - then the wealthier Wests Group would have the opportunity to step in and take full control.

_Posted using RoarFEED 2013_

 

[innsaneink]

good news

 

[Ric_Sissons]

This is from Australian today at 3.57pm

Judge rejects receivership application for Balmain Tigers Leagues Club

A NSW Supreme Court judge has rejected an application to have the Balmain Leagues Club placed into receivership.

Justice Paul Brereton today continued to an allow an injunction that stopped a receiving being appointed to the club, which bankrolls the NRL Wests Tigers.

“The conclusion seems to me less injustice will be done by granting an injunction than by declining one,” Justice Brereton said.

The matter will return to court later next week with a hearing date on whether the club should be placed into receivership likely to be heard in the coming months.

While it is a reprieve for the club, which supports the Balmain football club and the Wests Tigers, still stands on the precipice of failure with mounting debts and a decision today by the NSW government to reject the new planning proposal for the club site.

In what could be a final death knell for the Balmain Tigers Football Club and its involvement with the Wests Tigers NRL franchise, the department of planning announced today that it would reject the proposal put forward by developers Rozelle Village to redevelop the club site into a high rise retail and residential building.

“Based on the advice of key NSW Government transport agencies about traffic impacts, Planning & Infrastructure (P&I) has recommended that the proposal for a retail and residential development on the site of the vacant Balmain Tigers Club in Rozelle could not be supported in its current form,” the department said in a statement.

The department has rejected the application citing increasing traffic congestion on the road network surrounding the site, delays to bus services in Rozelle and no safe or convenient access from the Balmain Tigers site onto Victoria Road.

The leagues club has moved to two new sites in Sydney but still owes Rozelle Village a total of about $8 million, including an individual loan of $4m.

The Balmain Tigers Leagues Club is one of the main financial backers of Balmain Tigers Football Club, one of the few remaining foundation clubs still involved in the National Rugby League.

Representing the club yesterday barrister Robert Newlinds SC told the court if a receiver were appointed it could mean the demise of a football club with over 100 years of history, as well as damage “the social fabric of the inner-west.”

Balmain Football Club is negotiating with the ARL Commission for a $4m rescue package to finance its part in the Wests Tigers venture, which it runs with the Western Suburbs Magpies.

The joint venture club will receive a $4m cash injection which will have to be repaid by both partners within three years.

If Balmain is unable to pay its $2m share of the loan - all the more difficult without the Balmain Leagues Club - then the wealthier Wests Group would have the opportunity to step in and take full control.

 

[Ric_Sissons]

Need to keep getting more signatures for the online petition and likes on Facebook. Adds pressure on the developers. We have got 2500 signatures on the petition in 24 hours and 3700 likes on Facebook.

 

[GNR4LIFE]

Need to keep getting more signatures for the online petition and likes on Facebook. Adds pressure on the developers. We have got 2500 signatures on the petition in 24 hours and 3700 likes on Facebook.

Whats a petition going to do, seriously? you need money for a leagues club, not signatures.

 

[Ric_Sissons]

The point of the petition is to put pressure on the developers not to put the club into receivership and also to raise awareness on social media that this is happening.

 

[happy_tiger]

The point of the petition is to put pressure on the developers not to put the club into receivership and also to raise awareness on social media that this is happening.

Unfortunately its out of the hands of the developers and in the courts

Far too little ,far too late in my opinion

 

[Squaddy]

Press Release from the NRL:

NRL MOVES TO SECURE WESTS TIGERS’ FUTURE

The NRL is working to secure the future of the Wests Tigers.

NRL Head of Club and State Services, Mr Tony Crawford, said the current Supreme Court proceedings have no bearing on the NRL’s restructure package to return the Wests Tigers to a sound financial position.

Mr Crawford said the NRL had been working with the Wests Tigers for several months to restructure the club’s business.

“We are working on improvements to both the club’s governance and financial performance,” Mr Crawford said.

“Our discussions are well advanced and, if they are concluded successfully, the Wests Tigers’ financial future will be secured.

“Those negotiations could be completed as early as the end of the month.

“The parties to those restructure negotiations are the NRL, the Wests Tigers and its shareholders, Western Suburbs Rugby League Football Club and Balmain Tigers Rugby League Football Club.

“The Balmain Leagues Club, the party involved in today’s Supreme Court proceedings, is not a party to the negotiations and plays no role in the restructure.

“So today’s developments relating to the Balmain Leagues Club have no impact on the Wests Tigers restructure.”

The NRL said there were no plans to relocate Wests Tigers to another base, such as Perth.

 

[GNR4LIFE]

The point of the petition is to put pressure on the developers not to put the club into receivership and also to raise awareness on social media that this is happening.

Don't think its gonna make any difference. The only thing that will is a benefactor coming in and saving it. Its out of everyone elses hands. You don't have a voice.

 

[Squaddy]

The club owes $8 million, right?

Why not release the clubs ownership from the Balmain Leagues Board, and sell 80,000 shares at $100 each? I would like to think that this would be an awesome way of crowdsourcing, whereby the club will get some sort of capital injection and everyone feels apart of the club.

I pay $400 for a season membership, but simply because I don't live near the Leagues club I don't give any money to Balmain, and hence I don't contribute to a club that I really love in that respect.

I'm sure you could fill at like a quarter of that $8 million via crowdfunding, and it's a modern way of deal with the problems of a historic club.

 

[Abraham]

Unfortunately its out of the hands of the developers and in the courts
Far too little ,far too late in my opinion

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Don't think its gonna make any difference. The only thing that will is a benefactor coming in and saving it. Its out of everyone elses hands. You don't have a voice.

It's in the hands of the developer as to whether they proceed with their legal proceedings against the club, or not.

Petitions and a media coverage might make the developer think twice about proceeding with their action if there is a loud enough public outcry, and if they think it will damage their brand/product significantly.

I say good on Ric and everyone else involved.

It may have an impact, or it may not. However at least they are trying to do something proactive, which is always better than doing nothing.

 

[seanm]

If the Balmain leagues club has millions of dollars of debt and possibly making a loss each year. I don't see how it is in a position to subsidise the football club.

It seems like it was a financial mess for the past few seasons. And could not afford to give millions of dollars to the football club.

Is there any financial advantage to the Tigers whether the development goes ahead or not? Even if the development was built in several years time. Then doesn't it mean the Tigers are just paying rent to lease a space from ruthless developers?
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Also I am sympathetic to the local residents. I would not want an unsuitable 20-30 story highrise built near my house. It was a ridiculous proposal. Developers are greedy scum. If they are not opposed, they would just build high density apartments everywhere. They don't care about the impact on the suburb. They just want to build as many levels as they can.

 

[Cultured_Bogan]

Need to keep getting more signatures for the online petition and likes on Facebook. Adds pressure on the developers. We have got 2500 signatures on the petition in 24 hours and 3700 likes on Facebook.

I admire your fight Ric, and as a former Balmain fan I understand the hurt that will come about because of this but let me pose a simple question: Do you honestly think the developer gives a tinker's cuss about 10,000 facebook signatures when there's millions to be made on this land?

I'll give two hints:

1\. It's not "yes"
2\. It's the opposite of "yes"

 

[Citizen_Tiger]

Some years ago there was an opportunity to buy the former APIA site for $5mill. A site, that once re developed, would have provided not just great commercial potential, but one that might have consolidated a connection with a rapidly changing community. The Leagues Club on the water, adjacent to Leichhardt Oval and in a position to build a relationship with a significantly upgraded Aquatic Centre. Consider the Bay Walk's proximity and you have a fantastic entertainment/activity precinct. Longer term there may have been a case for a River Cat service. Alas, the proposal did not get off the gound

 

[Guest]

Wests Tigers Statement

Wed 19th March, 04:50PM
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15 Year Logo

Wests Tigers is sympathetic to the situation that Balmain Tigers Leagues Club currently finds itself in and, as a historic contributor to the game of Rugby League, Wests Tigers is hopeful the issue is resolved quickly.

First and foremost, it is important that Wests Tigers clarifies that Balmain Tigers Leagues Club is two steps removed from the NRL Club.

Wests Tigers does not rely on Balmain Leagues Club funding, and has not for some time.

The Balmain Tigers Leagues Club is owned outright by the Balmain Tigers Football Club.

Wests Tigers is a joint-venture between Balmain Tigers Rugby League Football Club (Balmain Tigers) and Western Suburbs Rugby League Football Group (Wests Group), with funding shortfalls historically covered with a 50/50 split between the two shareholders.

Due to a range of circumstances for the past three seasons this shareholder funding has not occurred to a sufficient level. On the basis of this, Wests Tigers sought assistance, direction and leadership from the NRL, which over time has evolved into a complete governance and financial reform of Wests Tigers.

It became clear that the financial position of Wests Tigers could not be estabilised without governance reform, a process which has been going on for the past six months and is drawing to a conclusion. The result of this governance reform will be a change in Wests Tigers’ structure at board level, with two representatives from Wests Group, two from Balmain Tigers and three Independent Directors. Representation by the shareholders on the reformed board is subject to meeting shareholder funding obligations.

Wests Tigers CEO Grant Mayer said that despite the difficulties facing Balmain Tigers Leagues Club it is business as usual for the NRL side.

"The emotion surrounding the recent Balmain Tigers Leagues Club issues has created increased concern and confusion amongst Wests Tigers Members, fans and corporate supporter base," said Mayer. "Put simply, there is no need for anyone from Wests Tigers point of view to be concerned."

"Wests Tigers have undergone a rigorous process with the NRL to secure the future of the club and would like to ease the concern of our extended family," he said.

"Wests Tigers will represent our supporters proudly on Friday night against the South Sydney Rabbitohs and for seasons to come."

Part of the reform process will ensure that the Wests Tigers logo and brand will remain in place over the long term. The club and the game has spent the last 15 years building equity in the Wests Tigers brand which is strong, vibrant, and with ongoing support will continue to grow in the future.

"Despite an ongoing media campaign linking Wests Tigers with relocation to Perth I once again would like to confirm that this club is remaining where it is – providing rugby league entertainment and opportunities in western and south-western Sydney," said Mayer.

"It’s an irresponsible claim and one built on self-interest and misinformation.

"At a time when we are busily chasing Members and corporate partners, as well as attempting to shore up our playing ranks, emotional claims are unhelpful in the extreme.

"The best way to ensure that Wests Tigers remains strong is for the club’s casual fans to become Members immediately,” he said.

 

[Newtown]

I wonder who made the irresponsible claim, built on self-interest and misinformation, that West Tigers would be relocated to Perth?

 

[tottie]

Some years ago there was an opportunity to buy the former APIA site for $5mill. A site, that once re developed, would have provided not just great commercial potential, but one that might have consolidated a connection with a rapidly changing community. The Leagues Club on the water, adjacent to Leichhardt Oval and in a position to build a relationship with a significantly upgraded Aquatic Centre. Consider the Bay Walk's proximity and you have a fantastic entertainment/activity precinct. Longer term there may have been a case for a River Cat service. Alas, the proposal did not get off the gound

Mid 2005 Quote the then tigers chairman David Trodden to myself and another football club member " we stuffed up re the apia club, we didnt see the le montage group coming". Another example of how the Balmain club has been run and why we are where we are today. Regardless the current proposal was knocked back again so we are min 3yrs off generating income let alone enough to pay back any current debts or those incurred over the next few yrs. the JV is now between wests and the NRL

_Posted using RoarFEED 2013_

 

[Tiger_Watto]

Some years ago there was an opportunity to buy the former APIA site for $5mill. A site, that once re developed, would have provided not just great commercial potential, but one that might have consolidated a connection with a rapidly changing community. The Leagues Club on the water, adjacent to Leichhardt Oval and in a position to build a relationship with a significantly upgraded Aquatic Centre. Consider the Bay Walk's proximity and you have a fantastic entertainment/activity precinct. Longer term there may have been a case for a River Cat service. Alas, the proposal did not get off the gound

I've heard this story a few times, but I'm not convinced it would be the mirage it potentially looks like.

While it is visually on a high traffic corridor, access is somewhat limited and negates its potential. Obviously it would be well patroned by locals and game day patrons, but the real traffic will come from a greater distance. Convenient access is vital!

Interesting scenario though considering they knocked it back… I've never been to the club at Five Dock or the Markets. What are the challenges out in these 2 locations?

 

[GoldXR50Leroy]

I wonder who made the irresponsible claim, built on self-interest and misinformation, that West Tigers would be relocated to Perth?

Smells's like a Rat with Rottsmell from the Telecrap being the Instigator!~.

 

[GoldXR50Leroy]

Some years ago there was an opportunity to buy the former APIA site for $5mill. A site, that once re developed, would have provided not just great commercial potential, but one that might have consolidated a connection with a rapidly changing community. The Leagues Club on the water, adjacent to Leichhardt Oval and in a position to build a relationship with a significantly upgraded Aquatic Centre. Consider the Bay Walk's proximity and you have a fantastic entertainment/activity precinct. Longer term there may have been a case for a River Cat service. Alas, the proposal did not get off the gound

Sounds great but where would the 5 Mill have come from, I still don't get it why Harry was never involved instead of the Silver Tongued Devil who has now distanced himself from the debacle.