Salford to ink full takeover of AJ Bell stadium
The city council will next week sign off the acquisition of Peel’s 50% stake in the 12,000-seater rugby ground plus 27 acres of surrounding development land.
Salford’s long-running stadium sale saga is expected to draw to a close next week with the city council’s cabinet braced to approve taking full ownership of the AJ Bell Stadium, which it currently owns half of.
The thinking behind the acquisition, which has proved unpopular among the city council’s Conservative contingent, is to ensure the stadium remains a community asset and home to Salford Red Devils, while also giving the council more control of the future development of the surrounding land.
Salford City Mayor Paul Dennett said the deal “presents a significant opportunity to use rugby as a vehicle to increase participation in sports and improve the health and wellbeing of local people of all ages”.
Upon securing control of the stadium and land, the city council intends to draw up a masterplan for the 26.5-acre site with a view to creating a “strategic sports and leisure destination for the city as a whole”, according to a cabinet report.
This a departure from an earlier approach by the council/Peel JV, which has seen land sold off plot by plot with a view to generating the largest capital receipt.
A deal for the stadium has been in the works since 2021 when Sale Sharks tried to buy it in partnership with Salford City FC. That deal would have seen the football club and the Red Devils swap grounds. However, it was kiboshed by the city council and Peel early in 2022, at which point talks between the joint owners about the future of the ground began.
Salford City Mayor Paul Dennett said the deal had taken “longer than anticipated”.
“This has been due to the often-complicated negotiations that have needed to take place, and the commercial sensitivity associated with a deal of this nature. But we are now in a positive position where we have an agreement in place to seek final approval on this decision.”
That decision will be taken at a meeting of the council’s cabinet next Tuesday and would serve to “empower” the council to deliver on the aims it set out when the stadium opened in 2010.
“The stadium will continue to be a home for both Salford Red Devils and Sale Sharks, ensuring that Salford’s rich rugby heritage is preserved for future generations,” Dennett added.
“We take immense pride in the stadium being the home of both codes of rugby. Over the years, we’ve celebrated the 150-year legacy of the Salford Red Devils, as well as championing Sale Sharks since their relocation to Salford in 2012. This acquisition allows us to continue bolstering both clubs and the broader rugby community in Salford.”
Dennett added that the deal was about much more than keeping the two teams at the stadium.
Mayor Dennett concluded, “With this acquisition we are not just securing the future of two major rugby clubs, we are also unlocking the potential for significant regeneration.
“By gaining control over the surrounding development land, we can ensure the area’s success in terms of job creation, economic growth, and, most importantly, benefits for Salfordians. This is a strategic investment in the future of Salford, one that will bring lasting benefits for generations to come.”
Stephen Wild, managing director of Peel Land, added: “Peel and Salford City Council embarked on the delivery of this major asset for Salford some years ago and we have been working together positively with the Council for some time to shape the future of the stadium within Salford in line with their vision.”
@Dan Whelan – AJ Bell’s sponsorship of the stadium expired last year. It’s currently known as the Salford Community Stadium. Hopefully SCC can find a sponsor that the Red Devils can benefit from this time and update the website address and road signs.
By Wolfie
Perhaps a more democratic approach might be to ask Salfordians how they want their council taxes to be spent!
By Linda Jones
As long as its run as a business, and not another way to give money to the rugby club, via substantial low rent. If councils want to purchase buildings as an asset to the community, then transparency needs to be there.
By Anonymous
Would certainly have reservations. If this is a commercially viable proposition, isn’t there commercial interest? If not, why is the council involving itself in something that will be a drain on resources, resources that it presumably doesn’t have, as it is forever reminding us of government cuts that leave it scraping the barrel. Also not convinced that the council should be involved in supporting rugby, or running a commercial venture. I would see its role as providing essential services.
By Anonymous
How much is it costing us?
By Gareth Lyons
I do not know how SCC can justify this. 30m and 30m debt. Where have they got the money from? They say they will use the money from the land but how long have Peel been trying to sell it. The services that our Council Tax is for are not even there.
By Anonymous
I think people need to be open to how this can now generate other cash streams. Beforehand with the tie in with Peel hands were tied.
What should happen is that Sale Magpies should be sent back over the ship canal and the council should be looking to bring in Salford City FC as a joint venture.
By DH75
It’s time for Sale Sharks to create their own complex
They need to own their own site in order to acquire more revenue and expand
Northern rugby really matters!
By Anonymous
Finally a well deserved result for Salford Rugby + Sale Sharks..Thankyou for all the effort put in my all parties involved too achieve this great outcome….👹👹👹
By P.m.Smith.. Hu