Social Club to close

[malkyboy]

Aw come on now, 2.50 for cheese buger and chips, its not exactly expensive. You get what you pay for!!!

The caley club is the place to be before matches, and after, especially if we win!!!

?1.41 for a vodka and coke is no bad at all, but this VAT increase might price me out of buying another 1

[Alex MacLeod]

The story is here

[givmeaccccc]

There is no chance that this story can be true. No business person, (ICT,) in their right mind would do an internal deal before putting the asset on the open market, would they? Even although the valuation, which they must have received, was well below the offered price, you would still test the market. There are lots of cash rich business folk around who would welcome a good return on an investment like this.

Furthermore the lease aspect would have to be very carefully looked at. A 20 to 25 year lease would not be uncommon. The potential purchaser(s) wouldn't be thinking of a short, say 5 year lease, then bulldoze and build commercial or residential property..................synical old me.

[dougal]

I'm hearing very loud whispers that the Caley Club is on its last legs and is to be sold possibly for flats . Anyone else hear this ?

Not heard a peep but in my opinion it would be no great loss i steer clear of this establishment mainly due to some of the numpties who drink in it(the types that have an expert opinion about everthing but in reality no very very little)

ICT should sell up now and re-invest in drinking/eating facilities at the ground

dougal

[DanielMacBean]

the social club is excellent! cheap, food served, games from ESPN/sky sports shown, entry for non members on matchdays, bus to and from game.

PERFECT!

[mainstander]

(the types that have an expert opinion about everthing but in reality no very very little)

Yes well thats something you would be very familier with isnt it?

[Shorty]

Papers this week reporting it has been sold to a club director for an undisclosed amount.

Does that mean ICT has now been stripped of all assets? No wonder the Tullochs guy wants out.

[PullMyFinger]

Is it closed yet DC?

[Council Juice]

I'm hearing very loud whispers that the Caley Club is on its last legs and is to be sold possibly for flats . Anyone else hear this ?

Not heard a peep but in my opinion it would be no great loss i steer clear of this establishment mainly due to some of the numpties who drink in it (the types that have an expert opinion about everthing but in reality no very very little)

ICT should sell up now and re-invest in drinking/eating facilities at the ground

dougal

Are you sure you don't go there Dougal?

Having a social club for fans is never a bad thing. And unless it's replaced with something else it will be loss.

Edited February 8, 2011 by iamthecaptain1

[DALNEIGHCALEY]

Is it closed yet DC?

Edited February 8, 2011 by DALNEIGHCALEY

[PullMyFinger]

What's the timetable?

[+The_Sponge]

EGM this Thursday evening

[Shorty]

Football Club or Caley Club EGM?

[IMMORTAL HOWDEN ENDER]

Radio Scotland this morning claims its Vice chairman Graham Bennett that is attempting to buy the club and lease it back to ICT, price supposed to be in the region of ?250k, no comment from anyone at ICT at this time.

Why? unless he keeps it open for a while then flatens it to make flats.

Feck me - is that UK sterling or Euros ?

[CaleyD]

It's impossible to know what his future intentions are, but I note that the Social Club has actually been purchased by Grassa's pension fund.

Aside from the fact that he's obviously been well advised on how he can save himself a shed load of tax, it also hints at the fact that there's no plans to flip the property for a quick profit as it wouldn't make sense to pay the additional costs of putting it in to the pension and any profit would also find itself tied up in the pension fund.

Given annuity rates it's likely that the investment in the Social Club would produce more income by way of rent than it would from purchasing a "standard" annuity. On that basis it would make sense that the pension fund hold the property when he retires as opposed to selling it to buy a "standard" annuity. The income from the rental could also be passed on "in-perpetuity" to his family/beneficiaries, unlike a standard annuity which might give a reduced income or lump sum on death. It doesn't entirely remove the risk of the property being sold off or turned into flats or whatever, but it does push it more towards the "more hassle than it's worth" side of things.

What's more, and again this is just supposition, there's every chance that as the property has been purchased by his pension fund then their will be no attached borrowing and, as a result, no need for any income from the investment at the moment....any income would go to the pension fund in any case. This means that it's entirely feasible that any rent being charged is being done at a more favourable rate than might have been the case if the club had chosen to re-mortgage the property directly themselves.

It doesn't get away from the fact that the club have now disposed of their final asset, and as was the case when the Stadium was sold on, it's a "one time deal"...although I'm assuming that there's some profit for the club in the ?2000/month "donation" they are seeking from the Social Club (I believe this is less than what the Social Club have been donating in the past).

Only time will tell, but with a few more facts at hand then it certainly makes more sense of the whole deal.

[Alex MacLeod]

I dont know, nor am I interested in, the ins and outs of how Grassa raised the funds for this purchase. I do know, from the horses mouth, however, that there is no intention to change the uses of the building and that, as long as there remains a strong membership, the Caley Thistle Social Club will continue to run the business as it is. I could be wrong but it is my understanding that any profit made from the Social goes to the Football Club and that in previous years this has been in the region of ?30k a year.

This could actually turn out a shrewd move for the Football club. If they can convince Adam Rooney to sign a decent deal, using the funds raised, they may then be able to sell him on at a good profit.

[CaleyD]

This is what happens when you act on blind faith