Breaking News Latest news on the sale of the club.

[Yorkshire Blue]

I don’t believe it’s been missed.

Like all the other creditors they apparently agreed to keep their powder dry until the sale completed or accept a reduced settlement.

They’ve now done a complete u-turn and want to take the club to court. The same club which they apparently made some form of representation v HMRC and stated what an important community asset we are etc.

Bizarre to say the least. Nothing more than a bit of dick waving I’m sure.

Won’t it have been a barrister who pleaded our case rather than a firm of solicitors?

 

[Holy Joe]

My understanding is that COSU will take a 25-year lease on RH while Fossett's is still in the planning stage.

When work begins on site, i.e. tangible evidence of building the bloody thing, begins then CBRE will lift the charge in RH and POSU will then acquire the land and stadium.

Ta - was wondering where Ron was going to get the cash to pay off the mortgage.

So for a period of time Ron/Jack will continue to own RH whilst consortium will own the club? That's new info isn't it?

Strikes me also that CBRE could give formal agreement to all of this without the need for the council leasing agreement to be finalised?

 

[Richard Hearn]

The way things are going, by the time FF is completed he will be wearing pom poms on his slippers, have a beard growing out of his nose & ears, & reeking of TCP & Cabbage?.

You say that as if it's a bad thing.

I'll have you know I have been cultivating that look (and aroma) for years.

 

[LBBlue]

A reminder of a few facts in all of this:

• Ron Martin separated the club from its assets when he took over. Roots Hall Ltd and Thames Plaza PLC own the stadium and the training ground respectively, Jack Martin owns both companies;
• Roots Hall Ltd and Thames Plaza PLC both have charges against them. This is, effectively, a mortgage from a company called CBRE who have lent The Martins money against the value of the land. That value has fluctuated over the years as planning permission has been and gone. CBRE are "the Martins' finance partner" as per COSU's statement yesterday;
• COSU have put £2.5-3m into operational costs since October, they do not own the club yet, but put more money into SUFC when Ron and the council agreed HoTs on a deal in December. That deal saw the council agree a split on housing at a new Fossett's development that was solely a housing estate (no new stadium);
• The council are conducting a due diligence process on this deal, they have instructed lawyers to examine the agreement to make sure that the Southend City Council (SCC) and Southend as a city don't lose out financially because of a deal with the Martins. We (as a fanbase) have been told by multiple people that this is a formality and indeed COSU were so confident that they paid to lift the embargo and start signing players and book out a big night at the Cliffs Pavillion etc.

What's happening is that COSU and SCC are close to prizing the club and its (rightful) assets away from Ron & Jack. But it is a complicated and difficult process because Ron has borrowed money from a lot of people over the years and they all now have a vested interest in this property deal going ahead so that Ron can pay everyone back. The council can't rush because they have to take into account their finances and their responsibilities to all the taxpayers in the area and COSU will be getting ****ed off because in all the time this drags on they're being asked to put their hands in their pockets again. Not least because some creditors (THAT ACTUALLY ADVOCATED FOR THE SURVIVAL OF THE CLUB) want paying and can't be arsed to wait.

This entire situation exists because of the greed of one family. The Martins knew that they could utilise the public affinity for football and Southend to line their own pockets, even if their incompetence got them up to their eyeballs in debt in the process. The Martins are cartoonishly greedy, selfish and opportunistic. The fact that the club is tied up in knots alongside the land, creditors, charges and insolvency is entirely down to them. The council taking 3 months to at least try to safeguard the public purse mustn't distract from that.

Just being a bit pedantic but Jack Martin doesn’t own Roots Hall Ltd and Thames Plaza PLC. Both companies are subsidiaries of Elounda LLP. Julie, Jack and Tom Martin have equal shares in the partnership - so it’s a family concern where Ron will still have a major, if not legal, say. Ron gave up his formal share a couple of years ago - no doubt a bit of inheritance tax planning.

 

[Holy Joe]

Just being a bit pedantic but Jack Martin doesn’t own Roots Hall Ltd and Thames Plaza PLC. Both companies are subsidiaries of Elounda LLP. Julie, Jack and Tom Martin have equal shares in the partnership - so it’s a family concern where Ron will still have a major, if not legal, say. Ron gave up his formal share a couple of years ago - no doubt a bit of inheritance tax planning.

Or bankruptcy planning - wasn't it around the time of his VAT fraud case?

 

[Smiffy]

Won’t it have been a barrister who pleaded our case rather than a firm of solicitors?

Yep. Edited.

 

[Billy Bests boot laces]

You say that as if it's a bad thing.

I'll have you know I have been cultivating that look (and aroma) for years.

Admittedly i have to weekly trim nasal & ear growth ( too much info! ), but hopefully years away from the other 3 points!.

 

[LBBlue]

Or bankruptcy planning - wasn't it around the time of his VAT fraud case?

I believe it could have been.

 

[E for B and Billy Best]

Admittedly i have to weekly trim nasal & ear growth ( too much info! ), but hopefully years away from the other 3 points!.

Three years my arse, your there already.

 

[flangejackrabbit]

Ta - was wondering where Ron was going to get the cash to pay off the mortgage.

So for a period of time Ron/Jack will continue to own RH whilst consortium will own the club? That's new info isn't it?

Strikes me also that CBRE could give formal agreement to all of this without the need for the council leasing agreement to be finalised?

The statement from the consortium didn't name CBRE as the finance partners did it?

Whilst they have lent money secured on Roots Hall and Boots and Laces I'm not sure they're the development financiers - thought that was a pension fund?

I was under the impression CBRE were there to manage and administer the loan on behalf of the ultimate finance partners which I still believe to be the Dellals?

 

[Evening Echo]

THE Shrimpers Trust has called for criticism of councillors to stop amid the ongoing uncertainty surrounding Southend United’s future.

Read more on this story


Help with Echo links

 

[Medway Blue]

A reminder of a few facts in all of this:

• Ron Martin separated the club from its assets when he took over. Roots Hall Ltd and Thames Plaza PLC own the stadium and the training ground respectively, Jack Martin owns both companies;
• Roots Hall Ltd and Thames Plaza PLC both have charges against them. This is, effectively, a mortgage from a company called CBRE who have lent The Martins money against the value of the land. That value has fluctuated over the years as planning permission has been and gone. CBRE are "the Martins' finance partner" as per COSU's statement yesterday;
• COSU have put £2.5-3m into operational costs since October, they do not own the club yet, but put more money into SUFC when Ron and the council agreed HoTs on a deal in December. That deal saw the council agree a split on housing at a new Fossett's development that was solely a housing estate (no new stadium);
• The council are conducting a due diligence process on this deal, they have instructed lawyers to examine the agreement to make sure that the Southend City Council (SCC) and Southend as a city don't lose out financially because of a deal with the Martins. We (as a fanbase) have been told by multiple people that this is a formality and indeed COSU were so confident that they paid to lift the embargo and start signing players and book out a big night at the Cliffs Pavillion etc.

What's happening is that COSU and SCC are close to prizing the club and its (rightful) assets away from Ron & Jack. But it is a complicated and difficult process because Ron has borrowed money from a lot of people over the years and they all now have a vested interest in this property deal going ahead so that Ron can pay everyone back. The council can't rush because they have to take into account their finances and their responsibilities to all the taxpayers in the area and COSU will be getting ****ed off because in all the time this drags on they're being asked to put their hands in their pockets again. Not least because some creditors (THAT ACTUALLY ADVOCATED FOR THE SURVIVAL OF THE CLUB) want paying and can't be arsed to wait.

This entire situation exists because of the greed of one family. The Martins knew that they could utilise the public affinity for football and Southend to line their own pockets, even if their incompetence got them up to their eyeballs in debt in the process. The Martins are cartoonishly greedy, selfish and opportunistic. The fact that the club is tied up in knots alongside the land, creditors, charges and insolvency is entirely down to them. The council taking 3 months to at least try to safeguard the public purse mustn't distract from that.

The removal of their charges is THE relevant aspect of the consortium taking control of the assets of the football club.

Their statement didn't mention them specifically but I am.

I think I love you more than ever.

 

[* ORM *]

Won’t it have been a barrister who pleaded our case rather than a firm of solicitors?

Surely they’d have been making the coffee?

 

[Medway Blue]

Ta - was wondering where Ron was going to get the cash to pay off the mortgage.

So for a period of time Ron/Jack will continue to own RH whilst consortium will own the club? That's new info isn't it?

Strikes me also that CBRE could give formal agreement to all of this without the need for the council leasing agreement to be finalised?

Yes. Ron Martin is apparently "determined" (eye roll) to pass Roots Hall to the consortium charge-free. The sale of the club can go through when the AfL is concluded between SCC and Thames Plaza. The sale of Roots Hall from RHL to POSU will go through once development begins at Fossetts and CBRE remove the charge.

I was under the impression CBRE were there to manage and administer the loan on behalf of the ultimate finance partners which I still believe to be the Dellals?

Are the Dellals finance partners? I know Alex Dellal has been named in the past as he is joint-Director of some companies along with Jack Martin, and his property vehicles (Citizen Housing and Allied Housing) were involved at one stage with capitalisation of the Fossetts plans, but I'm not sure whether that is still the case. @Napster might be able to clear that one up.

Either way, the charges in question on Roots Hall are in the name of CBRE, and I can confirm that CBRE need to sign-off on the deal as a charge holder.

 

[kentblues]

I was under the impression CBRE were there to manage and administer the loan on behalf of the ultimate finance partners which I still believe to be the Dellals?

CBRE manage “funds” (around property/real estate based lending) on behalf of a portfolio of lenders. Different funds according to the risk appetite. Lenders can be banks, pension funds, etc. Syndicating in a way.

I wouldn’t have thought the Dellals would be sole lenders in a fund managed by CBRE for this purpose. The overall project of course needs funding and that funding could be organised via CBRE. Afterall, funding via a portfolio of lenders might work better for a large project like this than working with an individual lender e.g. bank

Someone might know more re the funding of a project as large as FF and, therefore, the likely sources. Not sure the Dellals themselves would provide the funding but their involvement would make obtaining it easier (given their financial strength?). Again, others may know better..

 

[kentblues]

Yes. Ron Martin is apparently "determined" (eye roll) to pass Roots Hall to the consortium charge-free. The sale of the club can go through when the AfL is concluded between SCC and Thames Plaza. The sale of Roots Hall from RHL to POSU will go through once development begins at Fossetts and CBRE remove the charge.


Are the Dellals finance partners? I know Alex Dellal has been named in the past as he is joint-Director of some companies along with Jack Martin, and his property vehicles (Citizen Housing and Allied Housing) were involved at one stage with capitalisation of the Fossetts plans, but I'm not sure whether that is still the case. @Napster might be able to clear that one up.

Either way, the charges in question on Roots Hall are in the name of CBRE, and I can confirm that CBRE need to sign-off on the deal as a charge holder.

By deal you mean sale of RH rather than current deal (contracts) going through DD by SBC for clarity?

 

[Spaceman Spiff]

THE Shrimpers Trust has called for criticism of councillors to stop amid the ongoing uncertainty surrounding Southend United’s future.

Read more on this story


Help with Echo links

Shrimpers Trust call for criticism of councillors to stop​

THE Shrimpers Trust has called for criticism of councillors to stop amid the ongoing uncertainty surrounding Southend United’s future.

The consortium looking to take control of Blues have revealed the deal has been delayed as a result of the council’s due diligence process and the lack of a response from the Martins’ finance partner.

However, the Trust feels the council does not deserve the level of abuse coming their way.

A statement from the Trust said: “It should be recognised that the Council is undertaking important and responsible work to ensure the appropriate use of public finance and that this is subject to a rigorous and robust process.”

“We call strongly for the cessation of personal attacks on councillors whilst the process continues.”

The delay in the deal being completed had led to Stewarts Law issuing a winding up petition against the club. Now the Trust are calling on them to rethink their actions and plan to hold talks with the legal firm.

The Trust added: “We call on Stewarts Law to reconsider their position, given their previous defence of Southend United FC as a significant asset within the local community, and will be attempting to reach out to them to speak directly on this matter.”

“We share the concern of supporters that the never-ending cycle of financial anxiety, potential court appearances and an associated existential threat to Southend United FC has yet to be broken, and the dark clouds hanging over Roots Hall as a consequence of Ron Martin’s tenure as owner have not completely lifted."

The Trust welcomed being kept updated by the consortium who issued a statement via the Echo on Tuesday.

"We thank the consortium for providing clarity and detail on the current situation," added their statement. We urge all relevant parties to work proactively and efficiently to bring matters to a satisfactory close as quickly as possible to ensure the football club’s future is secured without detriment to the outstanding work undertaken by so many employees to this point.”

"The Shrimpers Trust will continue to seek the appropriate advice to help guide and inform our position as this situation develops, and we will endeavour to communicate with our members and the club’s supporters throughout this period."

 

[* ORM *]

All of this could have been avoided if parties had provided regular status updates. It is not unusual for due diligence to take time and the creditors will know this only too well. Lack of communication yet again.

 

[edwardss2]

Shrimpers Trust call for criticism of councillors to stop​

THE Shrimpers Trust has called for criticism of councillors to stop amid the ongoing uncertainty surrounding Southend United’s future.

The consortium looking to take control of Blues have revealed the deal has been delayed as a result of the council’s due diligence process and the lack of a response from the Martins’ finance partner.

However, the Trust feels the council does not deserve the level of abuse coming their way.

A statement from the Trust said: “It should be recognised that the Council is undertaking important and responsible work to ensure the appropriate use of public finance and that this is subject to a rigorous and robust process.”

“We call strongly for the cessation of personal attacks on councillors whilst the process continues.”

The delay in the deal being completed had led to Stewarts Law issuing a winding up petition against the club. Now the Trust are calling on them to rethink their actions and plan to hold talks with the legal firm.

The Trust added: “We call on Stewarts Law to reconsider their position, given their previous defence of Southend United FC as a significant asset within the local community, and will be attempting to reach out to them to speak directly on this matter.”

“We share the concern of supporters that the never-ending cycle of financial anxiety, potential court appearances and an associated existential threat to Southend United FC has yet to be broken, and the dark clouds hanging over Roots Hall as a consequence of Ron Martin’s tenure as owner have not completely lifted."

The Trust welcomed being kept updated by the consortium who issued a statement via the Echo on Tuesday.

"We thank the consortium for providing clarity and detail on the current situation," added their statement. We urge all relevant parties to work proactively and efficiently to bring matters to a satisfactory close as quickly as possible to ensure the football club’s future is secured without detriment to the outstanding work undertaken by so many employees to this point.”

"The Shrimpers Trust will continue to seek the appropriate advice to help guide and inform our position as this situation develops, and we will endeavour to communicate with our members and the club’s supporters throughout this period."

'Criticism of councillors' of course is not the same as
'personal attacks' on councillors. I have no particular issue with councillors over this issue (there are many others that I do); however if others do have constructive criticism they should absolutely make their feelings known in an appropriate way.

That is err... democracy.

 

[jphfitz]

'Criticism of councillors' of course is not the same as
'personal attacks' on councillors. I have no particular issue with councillors over this issue (there are many others that I do); however if others do have constructive criticism they should absolutely make their feelings known in an appropriate way.

That is err... democracy.

Absolutely, the Trust called for the personal attacks to stop, not for criticism to stop. The headline is misleading here unfortunately.