Chelsea is "seeking to borrow" £500M ($654.6M) to fund the building of its new stadium "rather than rely on" Owner Roman Abramovich to pay for it, according to Matt Hughes of the LONDON TIMES. The club
received planning permission for the 60,000-seat redevelopment of Stamford Bridge from Hammersmith & Fulham Council in January -- a decision endorsed by London Mayor Sadiq Khan in March -- but has yet to confirm how it intends to fund "one of the most ambitious stadium redesigns attempted" in the U.K. Abramovich has spent more than £1B ($1.31B) on Chelsea since buying the club in '03, and it has been "widely reported that he is willing to foot the bill for the stadium, but the board is now pursuing other options." Chelsea reportedly "held talks with several investment banks in recent months" about obtaining a loan or loans totaling £500M -- £100M ($130.9M) more than Tottenham Hotspur is borrowing from three banks to help to fund its new stadium at White Hart Lane. Chelsea is "also in negotiations with a number of companies over a naming-rights deal," which it is hoped, along with advance season-ticket and corporate hospitality sales, will provide the rest of the funding. Unlike Tottenham, Chelsea is committed to keeping the name of its ground in the full title -- "The X Stadium at Stamford Bridge" is the club's "preferred formulation" -- which "could reduce the value of the deal." Chelsea has "yet to confirm the final cost" of the new stadium, but the initial estimates of £500M "appear extremely conservative." There are no regulations preventing Abramovich from funding the stadium, as infrastructure and capital investment are exempt from UEFA's financial fair play restrictions (
LONDON TIMES, 7/26).
