HUDDERSFIELD GIANTS’ stadium issue looks clearer as the Super League club and Huddersfield Town look set to be given increased shares by Kirklees council.
The current managing company Kirklees Stadium Development Limited (KSDL), is said to be in millions of pounds in debt and facing administration, potentially causing repercussions for both the Giants and Town.
The local authority and Huddersfield Town both own 40 percent and the Giants 20 percent of KSDL, the company which was set up to run the stadium in 1993, but it has been experiencing ‘severe cashflow difficulties’ for a number of years.
The stadium needs £8 million to £10 million of investment within a decade to deal with maintenance issues and extend its life beyond 2050.
But, when the previous plan of detailing a community trust to take over the management of the stadium and receive a £13 million bailout from the council fell through, other avenues have been now taken.
Now, Kirklees council has agreed to hand over their 40 percent share of John Smith’s Stadium to Huddersfield Town and Huddersfield Giants, according to the Yorkshire Examiner.
It is hoped that the increased shares would allow both the rugby league and football club to attract investors.
In a statement, Kirklees council said: “Kirklees Council’s Cabinet has approved plans to open up negotiations to secure the future of the town’s John Smith’s Stadium. Since it opened in 1993, the stadium has been managed by Kirklees Stadium Development Limited (KSDL), with shares held in the company by the council and the town’s two professional sports clubs, Huddersfield Town Association Football Club (HTAFC) and Huddersfield Giants Rugby League Football Club (HGRFLC).
“In recent years, KSDL has faced challenging trading conditions and partners have been in discussions about putting the stadium on a firmer financial footing. A recommendation to the cabinet proposed that a new ownership model – where the council transfers its stake to the clubs – could bring much-needed investment to the facility as well as giving the stadium a more sustainable business model for the future.
“In any of the proposed scenarios, the council would retain ownership of the stadium site. Now that councillors have agreed the recommendation, Kirklees Council will explore a new ownership model with its partners.”
Kirklees Council’s Cabinet Member for Regeneration, Councillor Graham Turner, stated: “The station to stadium corridor in Huddersfield has huge economic potential. The masterplan gives shape to our ambition and sets out how we can bring high quality jobs and economic opportunities to the town. At the heart of those plans is the stadium. A new ownership model could secure its future as well as going a long way to unlocking the wider economic potential of the surrounding area.”
In a joint statement, the Giants, Huddersfield Town and the council had previously said: “The stadium is at the heart of our community. Our clubs mean so much to people across Huddersfield and well beyond.
“But if the stadium is going to serve the community for the future, it needs investment and a financial platform that’s sustainable in the long term.
“All partners are working closely together to find a way forward that suits everyone, especially supporters and future generations of fans.
“There’s a lot of detailed and complex issues to consider and a range of options open to us. But all partners are committed to maintaining the stadium as the heart and soul of Huddersfield’s sporting heritage.”
