City to settle for Lane deal (From Worcester News)

City to settle for Lane deal

7:00am Wednesday 21st October 2009 in Sport By Steve Carley, @stevecarleyWN #WENsport

MAKING A STAND: Project director David Hallmark addresses fans, flanked by chairman Anthony Hampson (second from right) and fellow directors.

WORCESTER City’s board of directors will press ahead with a deal to sell St George’s Lane to Careys New Homes for £3.5million.

Supporters voted in favour of backing the proposal at a heated meeting attended by around 200 people at Worcestershire County Cricket Club last night.

However, it was also made clear by fans that accepting Careys’ offer was the only option available to the club in order to pay off debt to the Royal Bank of Scotland.

The Blue Square South club have until the end of the year to pay back £1.55m, which includes the bank’s 10.7 per cent cut of the Lane sale.

Careys’ revised plans to build houses on City’s current home are not due to be heard by Worcester City Council until February.

But it is anticipated RBS would be prepared to wait until planning permission is granted before payment.

Another public meeting is set for March to discuss a scaled-down £2m stadium at Nunnery Way after the sale of City’s century-old ground.

Chairman Anthony Hampson also said he would look at alternatives to the St Modwen-owned site by the M5.

He said: “I was very happy with the evening. I wanted to involve the supporters and let the meeting go on to get a consensus of opinion.

“I think, with a show of hands, a substantial majority were in favour of the Careys proposition. At least if we’ve sold the ground then we’ve got a deal and the future will look much better.

“We’ll have another meeting in March to discuss the next phase of the club’s development.”

City officials now want to build a three-sided ground to Blue Square South standard and upgrade it at a later date but figures have shown a £720,000 funding gap.

Project manager Alan Williams said the club would need to submit a new business plan. The St Modwens planning application for Nunnery Way has been delayed as the Highways Agency want more than £1million to go towards a bridge and road networks.

Offers to buy the Lane from Bloor Homes, Banner Homes and Cala Homes, as well as St Modwen, were considered by the City board but Careys was the preferred bidder.

The meeting was also attended by representatives from Careys and the Chamber of Commerce.

David Hallmark, the director in charge of the ground move, is due to report to Guildhall officials today.

Under-fire former chairman Dave Boddy did not attend.