| A good article explaining the Gamechanger model 05:56 - Dec 7 with 5286 views | ArnoldMoorhen |
https://www.theguardian.com/sport/2023/dec/06/mixed-use-development-sports-teams
Put this alongside the comments from Ashton about any new stand development needing to generate 24/7 income.
And comments made by Gamechanger representatives at the time of the takeover about redeveloping the whole area.
A few posters seem to believe that the Pension Fund will sell up as soon as they can realise a quick profit. This article suggests a longer term model is now dominating US Sports. It just might be that the generally run down nature of some of the units close to FPR were precisely what attracted their interest.
A caveat: At least one of the Three Lions part of the Gamechanger coalition is currently involved in legal "complications" over a similar scheme in Rhode Island, so it is possible that that will cause Gamechanger to pivot away from the massive development model.
I think this is "Football thread" friendly, right? Even though it is just about Sports Finance? |  | | |  |
| A good article explaining the Gamechanger model on 11:22 - Dec 7 with 1113 views | ElderGrizzly |
| A good article explaining the Gamechanger model on 09:33 - Dec 7 by trncbluearmy |
Feck me
Those figures I quoted were from when they first got involved
Puts the 2.7m they gave us for the pitch in perspective
Looking forward to seeing plans for Playford Rd suspect more Leicester then Bristol [Post edited 7 Dec 2023 9:34]
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To be clear they haven't "given us" anything.
We are a business, that will need to make a return for them. I assume the £2.7m is on our books as a loan or something similar? |  | | |
| A good article explaining the Gamechanger model on 11:28 - Dec 7 with 1085 views | Guthrum |
| A good article explaining the Gamechanger model on 08:22 - Dec 7 by matteoblue |
It's certainly puzzling how a Pension Fund is backed by the finances of a football club, which is a high risk venture which rarely makes steady money. |
We are the equivalent of a £1 accumulator bet which could make a couple of hundred if it comes in.
That's not to say they won't expect ITFC to work as hard as possible towards making the punt come in. But then that's what the club is doing anyway, trying to climb up through the divisions to the Prem. |  |
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| A good article explaining the Gamechanger model on 11:49 - Dec 7 with 1048 views | SmithersJones |
It’s an interesting article - thanks for posting.
As one of the posters who’s said they think the pension fund will sell (in whole or in part) sooner rather than later I may be guilty of twisting things to fit my narrative, but I don’t think this necessarily means ORG are in for the long term.
It could be that laying the groundwork for this sort of development simply increases the value of the club and hence the return ORG make at the time of a sale, either through adding intrinsic value or through opening up the pool of potential future owners.
It’s a bit like the conversation over the Cobbold stand. Getting plans drawn up and obtaining planning permission doesn’t cost much, but adds value to the club. Then the new owner gets to build the thing. | | | |
| A good article explaining the Gamechanger model on 11:53 - Dec 7 with 1037 views | dirtyboy |
| A good article explaining the Gamechanger model on 11:22 - Dec 7 by ElderGrizzly |
To be clear they haven't "given us" anything.
We are a business, that will need to make a return for them. I assume the £2.7m is on our books as a loan or something similar? |
It's not a loan, it's equity, loans aren't really 'doable' nowadays when pumping money in.
Regardless.....think of it this way.
They put £2.7m in.
They build a £2.7m training complex.
That training complex, in simple terms, is worth £2.7m to any potential buyer of the club, so they're not really losing anything.
Depreciation to be considered, working lifetime to be considered, but ultimately, it adds so much more to the club than just a building with a value.
It may attract better talent across all squads.
The optics to potential buyers looks better "ooohhh shiny"
It's a better facility to improve players (although always, every time..the coaches are 10x more important than the facility)
It's really not a bad investment at all. |  | | |
| A good article explaining the Gamechanger model on 12:47 - Dec 7 with 984 views | ElderGrizzly |
| A good article explaining the Gamechanger model on 11:53 - Dec 7 by dirtyboy |
It's not a loan, it's equity, loans aren't really 'doable' nowadays when pumping money in.
Regardless.....think of it this way.
They put £2.7m in.
They build a £2.7m training complex.
That training complex, in simple terms, is worth £2.7m to any potential buyer of the club, so they're not really losing anything.
Depreciation to be considered, working lifetime to be considered, but ultimately, it adds so much more to the club than just a building with a value.
It may attract better talent across all squads.
The optics to potential buyers looks better "ooohhh shiny"
It's a better facility to improve players (although always, every time..the coaches are 10x more important than the facility)
It's really not a bad investment at all. |
Not saying it's not the right thing to do, just they aren't giving us lots of free presents because they like us and are Ipswich till they die etc.
There will be a return factored in somewhere. It's a business decision, not a heart led one. | | | |
| A good article explaining the Gamechanger model on 12:56 - Dec 7 with 959 views | ArnoldMoorhen |
| A good article explaining the Gamechanger model on 10:03 - Dec 7 by PhilTWTD |
Not sure you can say that's a Gamechanger model, a Three Lions model is nearer the mark. The Three Lions are only a small part of the ownership and I'm not sure the club will go down quite their route, although there will obviously be some development in the years to come. |
But Ashton was quite clear this week that the new stand development, although a few years off, would be part of a bigger development which would drive revenues 24/7.
So it must still be part of the Gamechanger model, not just the Three Lions?
But, to clarify: "A good article explaining how some US Sports owners develop stadium surrounds to drive revenues 24/7, which resonates with what Mark Ashton has recently said." | | | |
| A good article explaining the Gamechanger model on 12:58 - Dec 7 with 956 views | ArnoldMoorhen |
| A good article explaining the Gamechanger model on 10:34 - Dec 7 by PhilTWTD |
Indeed, the role of the Three Lions was to put together the pension fund and Mark Ashton and Mike O'Leary. They're not the power-brokers. I think the prominence they were given in the early stages gave a false impression of their role. |
And possibly to identify a distressed asset football club with rundown surrounding area and a Council which might be open to redevelopment? | | | |
| A good article explaining the Gamechanger model on 12:59 - Dec 7 with 955 views | SheffordBlue |
| A good article explaining the Gamechanger model on 10:45 - Dec 7 by Mookamoo |
Do IBC have access to capital, or as a council, do they have access to cheaper long term government backed finance, which ordinarily isn't available to investment funds? |
One of the other ways the Pension Fund may wish to invest is in loaning the money to the club for the development of either the stand or the wider area. They would then be in a position where they could continue to benefit from the club even if they have sold it off. | |
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| A good article explaining the Gamechanger model on 13:57 - Dec 7 with 921 views | Illinoisblue |
I’ve been to the Packers’ Titletown development mentioned in the article, and also the similar “Deer District” built up around the Milwaukee Bucks stadium.
Neither Green Bay or Milwaukee are what you would call big American cities so a part of me thinks why can’t Ipswich do something similar and acquire (or more likely partner with IBC) and develop the cattle market site and make it something special.
Interesting times ahead. Although of course American teams don’t have to worry about relegation and all that that brings…. Big difference. |  |
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| A good article explaining the Gamechanger model on 15:28 - Dec 7 with 864 views | Illinoisblue |
| A good article explaining the Gamechanger model on 13:57 - Dec 7 by Illinoisblue |
I’ve been to the Packers’ Titletown development mentioned in the article, and also the similar “Deer District” built up around the Milwaukee Bucks stadium.
Neither Green Bay or Milwaukee are what you would call big American cities so a part of me thinks why can’t Ipswich do something similar and acquire (or more likely partner with IBC) and develop the cattle market site and make it something special.
Interesting times ahead. Although of course American teams don’t have to worry about relegation and all that that brings…. Big difference. |
I should have expanded on the R word. Relegation is not a thing for American sports teams. Never been a thing and likely never will. Meaning… in simple terms the money from TV and tickets keeps rolling in no matter what. In other words, a home game is simply an event, something to do. Sure there are hardcore fans who want to win but there a substantial number of people willing to go to the sporting event and treat it as cinema/theatre/shopping trip/night out.
Fast forward, say 8 years and the club and council have built an “entertainment district” around the ground, let’s call it “Blues Town”. Some bars, restaurants, cafe, fitness center etc. all that good stuff. Very easy to see that being used if we’re in the prem and everyone’s buzzing. Less so perhaps if we’re lower half championship and it’s a cold and wet Tuesday game against Stoke.
I can see how American investors think and want to squeeze more out of their assets but English clubs, unlike in the U.S., exist in a state of flux due to relegation/promotion. It’s a huge difference. And until the TV money is more equally distributed it will remain so. | |
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| A good article explaining the Gamechanger model on 15:31 - Dec 7 with 853 views | PhilTWTD |
| A good article explaining the Gamechanger model on 12:56 - Dec 7 by ArnoldMoorhen |
But Ashton was quite clear this week that the new stand development, although a few years off, would be part of a bigger development which would drive revenues 24/7.
So it must still be part of the Gamechanger model, not just the Three Lions?
But, to clarify: "A good article explaining how some US Sports owners develop stadium surrounds to drive revenues 24/7, which resonates with what Mark Ashton has recently said." |
I think the Three Lions, or perhaps Brett Johnson, model is redeveloping an area from scratch from what I've read. I'm not sure that will be the plan. |  | | |
| A good article explaining the Gamechanger model on 16:05 - Dec 7 with 814 views | ReusersTown |
| A good article explaining the Gamechanger model on 09:33 - Dec 7 by trncbluearmy |
Feck me
Those figures I quoted were from when they first got involved
Puts the 2.7m they gave us for the pitch in perspective
Looking forward to seeing plans for Playford Rd suspect more Leicester then Bristol [Post edited 7 Dec 2023 9:34]
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Would absolutely love it if so, but would still see it being on the Bristol end. Leicester is something else! From the videos I've seen. | | | |
| A good article explaining the Gamechanger model on 16:25 - Dec 7 with 795 views | ArnoldMoorhen |
| A good article explaining the Gamechanger model on 15:31 - Dec 7 by PhilTWTD |
I think the Three Lions, or perhaps Brett Johnson, model is redeveloping an area from scratch from what I've read. I'm not sure that will be the plan. |
Ok. A self-funding capacity increase is still something we couldn't have dreamed of even 3 years ago! | | | |
| Innit and that on 16:41 - Dec 7 with 784 views | Dyland |
| A good article explaining the Gamechanger model on 15:28 - Dec 7 by Illinoisblue |
I should have expanded on the R word. Relegation is not a thing for American sports teams. Never been a thing and likely never will. Meaning… in simple terms the money from TV and tickets keeps rolling in no matter what. In other words, a home game is simply an event, something to do. Sure there are hardcore fans who want to win but there a substantial number of people willing to go to the sporting event and treat it as cinema/theatre/shopping trip/night out.
Fast forward, say 8 years and the club and council have built an “entertainment district” around the ground, let’s call it “Blues Town”. Some bars, restaurants, cafe, fitness center etc. all that good stuff. Very easy to see that being used if we’re in the prem and everyone’s buzzing. Less so perhaps if we’re lower half championship and it’s a cold and wet Tuesday game against Stoke.
I can see how American investors think and want to squeeze more out of their assets but English clubs, unlike in the U.S., exist in a state of flux due to relegation/promotion. It’s a huge difference. And until the TV money is more equally distributed it will remain so. |
Which is why I understood their "English sport is undervalued"reason for buying, to mean they want to sell at a higher price like any other investment in a diverse portfolio. I've not heard anything from the owners where I infer they want the ITFC investment to create long term revenue for the pension fund. I may have missed something though. |  |
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| Innit and that on 17:35 - Dec 7 with 750 views | Illinoisblue |
| Innit and that on 16:41 - Dec 7 by Dyland |
Which is why I understood their "English sport is undervalued"reason for buying, to mean they want to sell at a higher price like any other investment in a diverse portfolio. I've not heard anything from the owners where I infer they want the ITFC investment to create long term revenue for the pension fund. I may have missed something though. |
I would guess their definitions and expectations of short and long term are somewhat flexible and differ depending on many other factors (general state of economy, new president, other investments struggling) but one thing is clear, if we’re in the championship they will be losing money. A big sale of a Davis might offset the bleeding for a bit but generally they won’t be making money. | |
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