MFC and the Bentleigh Club

[Sorry kids 635]

11 minutes ago, number 27 said:

what are the dimensions of the land? why not do an indoor pitch? offices and function centre above? carpark below?

There are 18 quarter acres blocks so something like 180 metres x 100.  Would love to have a demonland group come up with a concept on a facility we own in an exclusive pocket of Melbourne.

[number 27 62]

9 minutes ago, Sorry kids said:

There are 18 quarter acres blocks so something like 180 metres x 100.  Would love to have a demonland group come up with a concept on a facility we own in an exclusive pocket of Melbourne.

I teach design at secondary school so, I am by no means an architect but, there is no reason why a facility that housed everything we need to be incorporated in the one block.

look at what they are doing between buildings for the metro tunnel in the city. have a look at the indoor soccer pitch that the clubs have in the uk.

I mean we would be spending millions at Goshes anyway, perhaps this way we wouldn't have to beg for land from the gov. just money haha

[La Dee-vina Comedia 16,798]

Property development is not our core business. I'd rather sell to someone else and let them take the risks associated with that activity.

[Sorry kids 635]

1 minute ago, La Dee-vina Comedia said:

Property development is not our core business. I'd rather sell to someone else and let them take the risks associated with that activity.

I would normally agree. However we will have to build a home base at sometime, which is a form of property development. I am not proposing the Bentleigh Club as our admin centre with some other facilities but at least it could be considered. As stated it is a good long term asset.

[number 27 62]

31 minutes ago, La Dee-vina Comedia said:

Property development is not our core business. I'd rather sell to someone else and let them take the risks associated with that activity.

you would think that footy was our core business but, after this year I truly wonder that perhaps property development might be better?

[Dee Watcher 71]

If we have no alternative in and around the CBD i guess Bentleigh is a last resort as our facility but think we'd be more likely to sell it to a developer.

In terms of club admin/fan engagement Bentleigh is a pain in the as* to get to unless you live in that local pocket of Melbourne, so plenty of players might not love travelling there! 

At least when the Hawks moved to Waverley its right on the freeway.

 

 

[daisycutter 29,616]

i can't believe anyone is thinking (for more than a millisecond) of turning the bentleigh club land into an mfc training and admin facility

unbelievable

[old dee 23,792]

Just now, daisycutter said:

i can't believe anyone is thinking (for more than a millisecond) of turning the bentleigh club land into an mfc training and admin facility

unbelievable

I am surprised you are surprised DC!

[daisycutter 29,616]

43 minutes ago, old dee said:

I am surprised you are surprised DC!

not surprised, od, just incredulous. it's up there with heritage listing for the eastern freeway.

i think the 2019 mfc season has fried a few brains

[tiers 2,840]

There is no viable option to relocate anything football related to the Bentleigh club site. Lack of access and small size are all against it.

If the return on retaining the club is no longer worth the risks and the effort, then we are better off to sell and cash in but only if, and when, the club has conducted a feasibility and accepted a proposal for a rock solid gilt edged alternative.

Having somewhere around $20m from the sale sitting in a bank is a like creating a honey pot for those who promote either corrupt, devious or vanity schemes.

[mauriesy 7,298]

4 hours ago, Sorry kids said:

There are 18 quarter acres blocks so something like 180 metres x 100.  Would love to have a demonland group come up with a concept on a facility we own in an exclusive pocket of Melbourne.

More like one-sixth-of-an-acre blocks, and the actual size is 140m x 72m.

If it's not going to continue as a social and gaming club, sell it. Any sort of training facility is a ludicrous proposition.

[old dee 23,792]

2 hours ago, daisycutter said:

not surprised, od, just incredulous. it's up there with heritage listing for the eastern freeway.

i think the 2019 mfc season has fried a few brains

More than a few dc.

[deebug 1,754]

What would be the price, if we were going to sell this?

[Sorry kids 635]

16 minutes ago, deebug said:

What would be the price, if we were going to sell this?

Land value for each block would be $1.5 m plus if it was zoned residential ready for sub division. Beyond that lots of ifs and buts regarding rezoning, planning clearances, neighbor concerns and so on. We need an expert on real estate on here to tell us. It could end up being an excellent investment, who knows.

[tiers 2,840]

Selling the land as individual house sites would probably be the easiest if not the most valuable. Landata maps suggest that the titles have been consolidated so a subdivision would be required. No big deal if this is the preferred option to maximise the return.

Glen Eira zoning is already residential (NRZ1). Lots of opportunities depending on how far we want to stretch the envelope and maximise returns.

 

 

[daisycutter 29,616]

40 minutes ago, Sorry kids said:

Land value for each block would be $1.5 m plus if it was zoned residential ready for sub division. Beyond that lots of ifs and buts regarding rezoning, planning clearances, neighbor concerns and so on. We need an expert on real estate on here to tell us. It could end up being an excellent investment, who knows.

except no developer would subdivide it into traditional size blocks in 2019. they would be much smaller (if subdivided)

the biggest value would depend on what planning permits could be approved allowing for a higher development. ideally an apartment block of 3 or more floors. residents won't like it but melbourne planning rules are more and more allowing such high density housing, regardless of local residents or council objections. value " could" be in the $40M + range

[Sorry kids 635]

 Melbourne merges with Bentleigh Club

How does the fact that we are in a merger with the Bentleigh Club affect a potential sale. Would the bentleigh members need to approve any changes and or request a new facility as has happened with a number of Golf Clubs. 

Matt Burgan

May 26, 2011 9:00AM

 

Melbourne Football Club

MELBOURNE has merged with the Bentleigh Club, following an extraordinary general meeting on Monday night.

The members of the Bentleigh Club overwhelmingly supported the merger proposal put forward by Melbourne, with 98 per cent in favour. Of the 1,232 votes received, only 28 were against the proposal.

Melbourne president Jim Stynes thanked the members of the Bentleigh Club for their support and endorsement. 

He added that the merger ensured the survival of the Bentleigh Club and continued a long-standing relationship between the clubs. 

“We believe we have rebuilt Melbourne off the back of inclusiveness and a strong respect for heritage and we will seek to rebuild the Bentleigh Club on the same basis,” Stynes told melbournefc.com.au.

A key strategy for Melbourne has been to strengthen its financial position and the club believes the Bentleigh Club merger is another step towards achieving its aim.

On the back of its highly successful Debt Demolition campaign, which erased the club’s debt, the Demons set their sights on building assets, which would also generate income.

Melbourne will now add more than $9m to its balance sheet. These assets are offset by $1.8m of debt taken over and $1.2m in gaming machine entitlement obligations. But in a net sense the improvement on the balance sheet will be at least $6m. 

“This strengthening of the balance sheet creates the potential for further strategic investment, as we continue to explore all avenues to grow the club,” Stynes added.  

The club now believes the Bentleigh Club is the first real asset Melbourne has owned. 

From August 2012, Victoria’s gaming regime will also change dramatically.

Stynes said this will provide Melbourne with significant opportunities for increased profits. 

“We believe that we can operate the Bentleigh Club at close to a break-even level, until the new regime commences and after that make solid returns for reinvestment back into the club,” Stynes said. 

“It is important to point out that the projections we have done for our gaming operations indicate that the debt assumed under the merger can be repaid from the profits of the venues - not from any other activities of the club.

“This was a key criteria in our decision making - the debt taken on had to be able to be repaid from gaming operations, so that the rest of the core operations of the club remain debt free. 

“We believe that not only will this be achieved, but the profits from the venues will allow cash to be injected into key areas like our community programs and the football department.” 

The merger was originally proposed to members of the Bentleigh Club in July 2010, following in principle discussions with its board. 

Melbourne then sought to engage with as many of the Bentleigh Club members as possible. It held two information nights and a Consultative Committee was formed. 

After more than seven months negotiations with the Bentleigh Club board and the Consultative Committee, it resulted in the signing of a memorandum of understanding in November 2010. 

From there the arrangements were formalised in the Transfer Deed in March, which formed the basis of the vote on Monday. 

Stynes thanked the Bentleigh Club board and the Consultative Committee for their tireless efforts. 

“On behalf of Melbourne, I would like to thank the Bentleigh Club and the Consultative Committee for its professionalism throughout the process and acknowledge the personal time they committed to the negotiations in representing their members,” he said. 

Melbourne will assume control of the Bentleigh Club in the coming months, once the relevant licenses and contracts have been transferred. 

The impact of the merger will appear in the 2012 financial statements and will be clearly explained in Melbourne’s Annual Report.

[Its Time for Another 4,225]

7 minutes ago, Sorry kids said:

 Melbourne merges with Bentleigh Club

How does the fact that we are in a merger with the Bentleigh Club affect a potential sale. Would the bentleigh members need to approve any changes and or request a new facility as has happened with a number of Golf Clubs. 

Matt Burgan

May 26, 2011 9:00AM

 

Melbourne Football Club

MELBOURNE has merged with the Bentleigh Club, following an extraordinary general meeting on Monday night.

The members of the Bentleigh Club overwhelmingly supported the merger proposal put forward by Melbourne, with 98 per cent in favour. Of the 1,232 votes received, only 28 were against the proposal.

Melbourne president Jim Stynes thanked the members of the Bentleigh Club for their support and endorsement. 

He added that the merger ensured the survival of the Bentleigh Club and continued a long-standing relationship between the clubs. 

“We believe we have rebuilt Melbourne off the back of inclusiveness and a strong respect for heritage and we will seek to rebuild the Bentleigh Club on the same basis,” Stynes told melbournefc.com.au.

A key strategy for Melbourne has been to strengthen its financial position and the club believes the Bentleigh Club merger is another step towards achieving its aim.

On the back of its highly successful Debt Demolition campaign, which erased the club’s debt, the Demons set their sights on building assets, which would also generate income.

Melbourne will now add more than $9m to its balance sheet. These assets are offset by $1.8m of debt taken over and $1.2m in gaming machine entitlement obligations. But in a net sense the improvement on the balance sheet will be at least $6m. 

“This strengthening of the balance sheet creates the potential for further strategic investment, as we continue to explore all avenues to grow the club,” Stynes added.  

The club now believes the Bentleigh Club is the first real asset Melbourne has owned. 

From August 2012, Victoria’s gaming regime will also change dramatically.

Stynes said this will provide Melbourne with significant opportunities for increased profits. 

“We believe that we can operate the Bentleigh Club at close to a break-even level, until the new regime commences and after that make solid returns for reinvestment back into the club,” Stynes said. 

“It is important to point out that the projections we have done for our gaming operations indicate that the debt assumed under the merger can be repaid from the profits of the venues - not from any other activities of the club.

“This was a key criteria in our decision making - the debt taken on had to be able to be repaid from gaming operations, so that the rest of the core operations of the club remain debt free. 

“We believe that not only will this be achieved, but the profits from the venues will allow cash to be injected into key areas like our community programs and the football department.” 

The merger was originally proposed to members of the Bentleigh Club in July 2010, following in principle discussions with its board. 

Melbourne then sought to engage with as many of the Bentleigh Club members as possible. It held two information nights and a Consultative Committee was formed. 

After more than seven months negotiations with the Bentleigh Club board and the Consultative Committee, it resulted in the signing of a memorandum of understanding in November 2010. 

From there the arrangements were formalised in the Transfer Deed in March, which formed the basis of the vote on Monday. 

Stynes thanked the Bentleigh Club board and the Consultative Committee for their tireless efforts. 

“On behalf of Melbourne, I would like to thank the Bentleigh Club and the Consultative Committee for its professionalism throughout the process and acknowledge the personal time they committed to the negotiations in representing their members,” he said. 

Melbourne will assume control of the Bentleigh Club in the coming months, once the relevant licenses and contracts have been transferred. 

The impact of the merger will appear in the 2012 financial statements and will be clearly explained in Melbourne’s Annual Report.

From memory the arrangement was MFC had to maintain facilities for the Bentleigh Club members I believe for 10 years. So 1-2 years left. I could be a bit wrong about this. After that the MFC has outright control and can do whatever it likes. I think the main facilities were bowling greens and some social club.  

[number 27 62]

6 hours ago, daisycutter said:

i can't believe anyone is thinking (for more than a millisecond) of turning the bentleigh club land into an mfc training and admin facility

unbelievable

perhaps its time Melbourne supporters got over their love affair of the MGG and the the MCG precinct. we are a tenant club at the MCG and nothing more and probably at the bottom of the list with the other tenant clubs. 

why do the facilities have to be at the MCG or link to our heartland? Hawthorn and Essendon have proven you don't HAVE to be there to grow.

we are a minnow club playing in a professional league and beggars can't be chooses. we will build wherever the AFL/ government say there is a swamp that they want to redevelop, be under no illusions we won't have a choice in the matter. 

chances of that swamp being in the CBD are slim, supporters will have to move with the club. will supporters of the future care where the facilities are? or even care that we once were a part of the MCG. its bee over 50 years since our last premiership and 40 since we left/ jumped from the MCC. time to move on 

we are the only club that has the chance to be innovative with how we obtain/ maintain new facilities. would the club look at partnering with a uni that wants to offer sports science degrees? they could have access to elite sport people and we could have access to the students. I couldn't care if we americanised it and had marching bands and cheers leaders as long as the club survived and thrived and delivered that bloody premiership! 

I couldn't care if the facilities were on the moon. 

 

[Sorry kids 635]

54 minutes ago, It's Time said:

From memory the arrangement was MFC had to maintain facilities for the Bentleigh Club members I believe for 10 years. So 1-2 years left. I could be a bit wrong about this. After that the MFC has outright control and can do whatever it likes. I think the main facilities were bowling greens and some social club.  

Spot on, been doing some research and interestingly it seems the first day we can sell is the day after the pokies are pulled out. On face value seems the deal of a lifetime. We valued the equivalent of 18 suburban blocks at $9 million at purchase.  

[Its Time for Another 4,225]

10 minutes ago, Sorry kids said:

Spot on, been doing some research and interestingly it seems the first day we can sell is the day after the pokies are pulled out. On face value seems the deal of a lifetime. We valued the equivalent of 18 suburban blocks at $9 million at purchase.  

I just found the 2012 Annual Report and it states the Club merged with the Bentleigh Club on 5 October 2011. 

"Under the Business Transfer Deed the Club is unable to sell the land and property acquired until 15 August 2022 unless certain conditions are met, or the Bentleigh Club members approve the relocation of the business to another venue."

The Property was valued at $8,700,000. I don't believe this value has ever been updated in the Club's accounts. 

[Sorry kids 635]

6 minutes ago, It's Time said:

I just found the 2012 Annual Report and it states the Club merged with the Bentleigh Club on 5 October 2011. 

"Under the Business Transfer Deed the Club is unable to sell the land and property acquired until 15 August 2022 unless certain conditions are met, or the Bentleigh Club members approve the relocation of the business to another venue."

The Property was valued at $8,700,000. I don't believe this value has ever been updated in the Club's accounts. 

Again spot on. Incredible deal. Why do you think  it would not be updated in the reports? 

[daisycutter 29,616]

47 minutes ago, number 27 said:

perhaps its time Melbourne supporters got over their love affair of the MGG and the the MCG precinct. we are a tenant club at the MCG and nothing more and probably at the bottom of the list with the other tenant clubs. 

why do the facilities have to be at the MCG or link to our heartland? Hawthorn and Essendon have proven you don't HAVE to be there to grow.

we are a minnow club playing in a professional league and beggars can't be chooses. we will build wherever the AFL/ government say there is a swamp that they want to redevelop, be under no illusions we won't have a choice in the matter. 

chances of that swamp being in the CBD are slim, supporters will have to move with the club. will supporters of the future care where the facilities are? or even care that we once were a part of the MCG. its bee over 50 years since our last premiership and 40 since we left/ jumped from the MCC. time to move on 

we are the only club that has the chance to be innovative with how we obtain/ maintain new facilities. would the club look at partnering with a uni that wants to offer sports science degrees? they could have access to elite sport people and we could have access to the students. I couldn't care if we americanised it and had marching bands and cheers leaders as long as the club survived and thrived and delivered that bloody premiership! 

I couldn't care if the facilities were on the moon. 

 

i never suggested where our future facilities should be, so don't put words in my mouth

i just said (emphatically) that the bentleigh club land would be totally inadequate, and i still do. it's a complete waste of time even discussing it.

[Deemania since 56 6,650]

On 7/28/2010 at 6:32 AM, DirtyDees DDC said:

Yes it costs a packet to fit out a new gaming club. The worry is if turns into another Collingwood hotels fiasco. Hope we get this right.

Getting it correct, not extending or further enhancing a millstone around the MFC neck, attracting patrons and patronage, and creating a recognised mecca for the public that is not so dependent on gambling opportunities is a very big expectation. Has the time for Club-related venues run its course? Is such a venue really necessary? 

[Its Time for Another 4,225]

18 minutes ago, Sorry kids said:

Again spot on. Incredible deal. Why do you think  it would not be updated in the reports? 

Don't know why the property value hasn't been updated. My guess would be it had to have a book value when it was transferred and until it is actually sold any value put on it would not be actual. Otherwise I'm not an accountant. I have no idea.