Tuesday, July 02, 2024

New 40-year Edgar Street lease being rubber-stamped this week: more details

Herefordshire Council has confirmed it is not considering developing Edgar Street and is committed to keeping football in the city centre.

While news of the new 40-year lease for the club's Edgar Street home was shared in April, the council is yet to officially make the decision.

That is expected to happen on Thursday. In a report ahead of the move being rubbed-stamped, which highlighted the issue of the council losing a development site, it clearly said: "The council is committed to keeping football in the city at its current site. No alternative locations have been identified."

The council also admitted there would be reputational damage if the lease extension, which starts with a rent of £10,000 and will be reviewed every five years and could rise based on "fair market terms" such as inflation, isn't signed. 

"The site is a valued asset in Hereford," the report said.

"The tenant wishes to stay in Hereford and the proposed new terms gives them the long-term security and flexibility."

Another issue, is what happens if the club doesn't succeed and goes into administration, like Hereford United in 2014?

The report said: "The tenant has a 10-year proven record of investment and sound management planning. The new proposed lease terms are fair and proportionate to supporting the tenant."

The extension, which will run from the expiry of the current deal in 2030 until 2070, will also have "considerable community impact and benefit". This is because the club operate a programme of activities to engage with the community including, Junior Bulls under 16’s membership, designated family stand, player hospitality and school visits, venue hire to various local businesses and organisations for training, hospitality and social events.

The move will also help meet three of the council's aims, the report said:

  • Enable residents to realise their potential, to be healthy and benefit from communities that help people to feel safe and supported
  • Protect and enhance our environment and ensure that Herefordshire is a great place to live. We will support the right housing in the right place and do everything we can to improve the health of our rivers.
  • Create the conditions to deliver sustainable growth across the county; attracting inward investment, building business confidence, creating jobs, enabling housing development and provide the right infrastructure. Be an efficient council that embraces best practice, delivers innovation through technology and demonstrates value for money.

As previously reported by Bulls News, the new leases will also include the compound area behind the Meadow End. This is so grounds maintenance equipment, the pitch sprinkler system and new emergency access can be provided.

The club have also agreed to surrender the public toilets near Addison's. They have been closed for several years but were included in the leases. These are being demolished along with the Blackfriars End and former United in the Community office, with the whole area not leased to the club. This could change when a new stand is built, but the club cannot lease a stand which has not yet been built.

The longer-term lease will also help the club to plan and secure investment and funding into the facilities and the business - with bodies such as the Football Foundation needing a long lease for grants.

As part of the report process, the council also needs to outline other options considered.

Under the possibility of not renewing the lease, the council said that while that would see the site become vacant, it was not recommended because it is "committed to supporting the retention of football in the county and without an alternative location being identified the decision to not renew the lease would impact the ability of the club to meet the tenure requirements of future funding opportunities as detailed above".

In the report, the council also praised the club for its investment into the stadium, and it will continue to be responsible for maintenance. Should the club wish to leave, it has to give three months' notice.