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West Ham going into administration after buying stadium


jere_d
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Playing as west ham in an online game got to the end of the 4th season and asked board to buy the stadium.

They agreed and bought the stadium using the club accounts!!!!!!! No mortgage or external funding!!!!! On top of that the stadium cost over 1Billion pounds!!!!! leaving accounts in the red!!!!! by 900mil!!! After spending the summer selling players the chairman tells me we are now in administration. Well sell the club you fool!!!!

 

I want to know how I get ridiculous amounts of pushback on feeder clubs, improving facilities, improving youth but i can get a request to buy stadium accepted that cripples the club???

How come no mortgage or loan is used to purchase the club???

Why Gold isnt selling up when he cant pay wages???

Why the Olympic stadium is over 3 times the initial cost to build?

 

Our online save has been ruined by this there shouldn't be this kind of option available if it cripples a club!!!!!!

Very disappointed once again with FM

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To be fair, spending 400 times the annual rent to buy the stadium DOES sound like something Gold and Sullivan would be stupid enough to do. But joking aside, this definitely belongs in the bugs forum. There need to be sanity checks in place for both a) can the club afford it? and b) is the rent large enough for this to make sense? Additionally, it should clearly have been taken as a loan rather than up-front.

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On 17/09/2019 at 20:11, Spurs08 said:

To be fair, spending 400 times the annual rent to buy the stadium DOES sound like something Gold and Sullivan would be stupid enough to do. But joking aside, this definitely belongs in the bugs forum. There need to be sanity checks in place for both a) can the club afford it? and b) is the rent large enough for this to make sense? Additionally, it should clearly have been taken as a loan rather than up-front.

This.

But also the other thing too I guess.

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On 17/09/2019 at 20:00, jere_d said:

Playing as west ham in an online game got to the end of the 4th season and asked board to buy the stadium.

They agreed and bought the stadium using the club accounts!!!!!!! No mortgage or external funding!!!!! On top of that the stadium cost over 1Billion pounds!!!!! leaving accounts in the red!!!!! by 900mil!!! After spending the summer selling players the chairman tells me we are now in administration. Well sell the club you fool!!!!

 

I want to know how I get ridiculous amounts of pushback on feeder clubs, improving facilities, improving youth but i can get a request to buy stadium accepted that cripples the club???

How come no mortgage or loan is used to purchase the club???

Why Gold isnt selling up when he cant pay wages???

Why the Olympic stadium is over 3 times the initial cost to build?

 

Our online save has been ruined by this there shouldn't be this kind of option available if it cripples a club!!!!!!

Very disappointed once again with FM

I need you to explain why you wanted the club to buy the stadium. I can't fathom what you would have gained and surely the rent was of little issue. At the moment, I see this as more your own fault rather than somebody else's.  

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18 hours ago, Things Could Get Messi said:

I need you to explain why you wanted the club to buy the stadium. I can't fathom what you would have gained and surely the rent was of little issue. At the moment, I see this as more your own fault rather than somebody else's.  

Is this football manager or is this business manager?

The option says (I paraphrase since its no longer an option) "Buy the stadium to increase revenue." How am i supposed to know that in FM you dont buy stadiums with mortgages. Especially when both arsenal and spurs took out loans to pay for their stadiums in real life.

Explain how it can possibly be my fault that the board accepted a request which puts them in crippling debt??????????
Especially when they will flat out deny request for upgrading training facilities or even cancel them halfway through if it puts a strain on the accounts.

If you can't, please keep your asinine views to yourself, cheers.

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16 minutes ago, jere_d said:

If you can't, please keep your asinine views to yourself, cheers.

tbf it's a valid point being made, not asinine at all.  If the stadium rental is just £2.5m pa, why spend the best part of £1bn to buy it?  To keep that £2.5m (aka the "revenue increase") instead of paying rent?  But then what about the increase in running costs you'd swallow?  That's a helluva pay back period to turn a profit on a £1bn investment.  So yeh, just because you can do something doesn't mean you should.

However, there is also a valid point about how the stadium purchase was funded (weird) and whether the Board should have even allowed the purchase in the first place - they're the business professionals after all (and should have laughed you out of the office when you suggested it).

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2 minutes ago, herne79 said:

tbf it's a valid point being made, not asinine at all.  If the stadium rental is just £2.5m pa, why spend the best part of £1bn to buy it?  To keep that £2.5m (aka the "revenue increase") instead of paying rent?  But then what about the increase in running costs you'd swallow?  That's a helluva pay back period to turn a profit on a £1bn investment.  So yeh, just because you can do something doesn't mean you should.

 

as I said it's not "finance manager" or "Business manager" if it doesn't make financial sense to buy the stadium then the request should be rejected. If i ask the board to buy a player and they cant afford him they will come back and tell you he's too expensive, yet somehow it's down to me to judge the finances. Going 900M into overdraft is just a joke in itself.

Also It NEVER tells you how much the stadium is going to cost.

The way hes talking is like saying blame the bury and Bolton managers for not keeping an eye on the accounts.

Does that not sound ridiculous to you?

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2 hours ago, jere_d said:

Does that not sound ridiculous to you?

My second paragraph that you didn't quote answers that :thup:.

So yeh, the game shouldn't really have let you buy the stadium (or at least not in the manner that you did) and is possibly a bug that it let you, but come on be honest, you have some responsibility here too.  You know the annual rent is only £2.5m, and I know it doesn't tell you, but how much do you think the London Olympic Stadium is going to cost to buy?  (It cost £700m to build).  Whatever cost the stadium is going to be, it's going to be a really bad deal if all you get is an extra £2.5m gross pa before stadium running costs.

And as it turns out it cost near £1bn.  Yes bad game for letting you do it, but also (sorry) bad decision to ask for it.

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