[Opinion] Newlands Stadium should be sold and the funds distributed to clubs

ZCFOutkast

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It's official the Stomers-Western Province faithful are the most thick&stubborn bunch of SA rugby.
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Loyal Cheetah

Newlands Stadium should be sold and the funds distributed to clubs
15 Jan 2015 | Liz McGregor
Model can be found that combines rugby excellence with elusive but important goal of nation building, writes Liz McGregor

WESTERN Province Rugby Football Union released a startling statement a week before Christmas, which, predictably — and possibly, deliberately — was largely ignored because most people were already on holiday.

The union announced that, at a special general meeting held the day before, it had been unanimously decided that they would not, after all, be moving to the Cape Town Stadium.

This came as a surprise, not least to the City of Cape Town, with whom they had long been in negotiations.

As a rugby fan, moving to Cape Town Stadium seemed to me to be a no-brainer. It’s situated in one of the city’s most beautiful neighbourhoods and is easy to get to by public transport. The adjacent Sea Point swimming pool and promenade are a magnet for Capetonians of all races.

The Cape Town Stadium itself is modern, built to the highest international standards. It has the wonderful 5km fan walk from the station, which, as we know from the 2010 Soccer World Cup, not only enhances the pre-game "gees" but also spreads the brand and the game to the general public.

Above all, the stadium is safe. Officials guarantee that, in the event of an emergency, they can evacuate a capacity crowd in less than 10 minutes.

This is important because, at the end of last year, the grace period allowed to stadiums to jack up their safety procedures to comply with the Safety at Sports and Recreational Events Act of 2010 came to an end.

Newlands Stadium is not compliant. Fans, particularly in the higher-level suites, might feel a flicker of anxiety as they navigate staircases, cluttered with smokers, some of whom drop cigarette butts on the floor. One shudders to think of what might happen if there were a fire and a mass stampede.

Newlands faithful cite its history in its favour. But what about its many years of shameful history when people of colour were penned into segregated stands and teams were all white?

In its shock statement, the union gave as its main reason for deciding to stay at Newlands that it owns the stadium outright and "is therefore in complete control of its own destiny".

A valid point. But it could also be looked at differently.

The 90-odd clubs which make up the Western Province Rugby Football Union are sitting on a huge asset.

Perhaps it is time for some blue-sky thinking in one of rugby’s most fertile provinces. Why not sell the stadium and its valuable grounds and divide the money among the clubs? In return, they could give up their claims on the professional arm of the union.

The Stormers and Western Province teams could be owned and run as a separate entity (and hopefully the confusing dual titles — Western Province for the Currie Cup and Vodacom Cup teams and Stormers for Super Rugby — could be dropped in favour of a single name).

Perhaps a consortium of businessmen could make a bid for the teams. This needn’t be a coldly commercial enterprise. It could be stipulated that the owners are Western Cape-based and that independent directors who are trusted public figures be included on the board.

Why not Brimstone’s Fred Robertson, or Johann Rupert? Perhaps Trevor Manuel could be persuaded to be involved?

The Stormers and Western Province teams already have a separate training base at the High Performance Centre in Bellville. The Cape Town Stadium would become their home ground.

The City of Cape Town is desperate to do a deal with rugby to offset its R40m annual running costs. They’d be easy prey for sharp negotiators, especially if the Cape Town Stadium could boost tourism with high-level international rugby games being regularly held there.

A split between club rugby and professional rugby would be beneficial to both. Western Cape club rugby is thriving: many villages have their own teams and they are an important source of cohesion for their communities. They also throw up gems: such as Gio Aplon, whose home town, Hawston, has a very active club.

But most need funds. A one-off injection, carefully invested, from the proceeds of the sale of the Newlands Stadium would surely be welcome.

Professional rugby in the Western Cape does not achieve anything like its real potential.

Given the talent at its disposal — some 46% of high schools play rugby — it should have a much fuller trophy cabinet than it does.


A fresh approach from new owners with cutting-edge management, financial and negotiating skills could make a world of difference. It would be critical, though, to get the right balance between running rugby as a business and, at the same time, keeping its soul.

The ownership model would need to be thought through and international examples explored.

But I’ve no doubt a model could be found that combined rugby excellence with the more elusive but equally important goal of nation building.

Source: http://www.bdlive.co.za/opinion/col...ld-be-sold-and-the-funds-distributed-to-clubs
 
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As far as I know Newlands is owned by the union. Why would they move to Cape Town stadium and now have to pay rent? Looking at cost, it makes no business sense to move.
 

ZCFOutkast

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I still wonder how they will hold events without compliance.
Helen is more concerned about quarantining hobos than keeping Garson safe from Newlands' pitfalls.:D But on a more serious note I don't think Newlands is in that bad shape so maybe Liz is over-emphasizing or exaggerating that point. Then again Western Province should be careful of pissing off that gogo because she may well pick on that point, blow it up and force them to move to her stadium. She doesn't take rejection very well you know. Thinking back everyone expected her to be the biggest resistance to stadium expenditure but she meekly committed the city's funds to that project, so I'm pretty sure she won't want a huge part of her legacy - now that they are slowly pushing her out (dog eat dog) - to involve a white elephant whose losses far outstrip #1's own shortcomings in Rand value.
 

TheMightyQuinn

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I think all the revenue generated by the suites/boxes on a yearly basis are also ignored as well as the fact that these boxes are owned by some serious businesses. These companies have paid a lot of money for these suites. What happens when the Union moves to CS ? There are no boxes/suites available and the current structure/design of the stadium does seemingly not allow for boxes/suites to be built.

Another source of revenue are season tickets. People have owned and renewed these season tickets for generations, based on their location in the stadium. All these people and companies have long term investments in suites/ season tickets. What will happen to them when the big move is made?

There are more involved here than mere sentiment. The fact that the union owns Newlands Stadium allows them to annually generate an income that can be distributed to the clubs. If they sell it will be a once off. From then onwards, they will need to pay a boatload of rent to CoCT.

WP Rugby Union is also a business that have to make sound business and financial decisions. Would you sell your house, that you own outright, take the money and divide it amongst all your relatives and the go and rent another house?

I wouldn't...
 

Neoprod

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I think it's a no-brainer...taking on a significant additional cost for a service you already have for free has to have some financial upside before you should even consider it.

It's all well and good asking the union to do the socially beneficial thing but when that ends up costing them financially is the City going to bail them out?

http://www.iol.co.za/sport/rugby/wp-says-no-to-cape-town-stadium-1.1797241#.VLf7VHtBOZc

"Western Province Rugby spokesman Howard Kahn said the Stormers and 20-odd clubs rejected a permanent move to Cape Town Stadium for Super Rugby matches, as well as Currie Cup outings featuring Western Province.

The vote to stay at Newlands had been unanimous."

Some of the clubs the "blogger" references participated in that vote...
 

Neoprod

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so I'm pretty sure she won't want a huge part of her legacy - now that they are slowly pushing her out (dog eat dog) - to involve a white elephant whose losses far outstrip #1's own shortcomings in Rand value.

Easy, tiger...there's a big difference between allowing yourself to be bullied into committing funds to building infrastructure that the public has use of versus pilfering funds to build yourself a palace.
 

ZCFOutkast

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If they sell it will be a once off. From then onwards, they will need to pay a boatload of rent to CoCT.
CoCT's desperation to utilize the stadium productively means WPRU are looking at BHP Billiton-Eskom type deals so I wouldn't be worried about that. Unlike Eskom, CoCT can leverage tourism to bridge the shortfall. Truth is if Those Rugby clubs don;t move to CT Stadium, it cost of maintaining it will far outstripping whatever losses they will have absorbed from the potential lopsided deal they would've done with WPRU.

I overlooked the suites/boxes argument you raise. A good point for sure, but one would need figures to see just how much weight they carry in this decision. Forget nation-building, sentiment, funds to reinvest etc, I'm of the opinion that the City needs this move to happen for broad reasons. I also find it rather damning for a rugby nation that has a pre-historic approach to the game (despite being surrounded by modern attacking flair rugby for 7+ years now) to again be bedevilled by the pre-historic thinking off it (i.e. snubbing state-of-the-art facilities).

Just look at how West Ham&Tottenham are fighting to move into that new stadium.
 

ZCFOutkast

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Easy, tiger...there's a big difference between allowing yourself to be bullied into committing funds to building infrastructure that the public has use of versus pilfering funds to build yourself a palace.
Agreed. I was leaning more on the reasoning that it's something a knackered Mac, even Floyd, GvO & some of her other internal opponents would consider an easy challenge to successfully put a spin on and the "uncritical" audience allows it to spread like wild fire. Name of the game.
 

Jola

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AFAIK the suites thing plays a major role in the decision.

The soccer authorities told the rugby guys to FO when the stadium was still being designed, and did not cater for a stadium suited for rugby.

This especially happened in Durban.

Now it has come back to bite them. So sad.
 

Fulcrum29

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Bad article on many grounds and I'm not even going to elaborate.

As a rugby fan, moving to Cape Town Stadium seemed to me to be a no-brainer. It’s situated in one of the city’s most beautiful neighbourhoods and is easy to get to by public transport. The adjacent Sea Point swimming pool and promenade are a magnet for Capetonians of all races.

How come?

Newlands Stadium is not compliant. Fans, particularly in the higher-level suites, might feel a flicker of anxiety as they navigate staircases, cluttered with smokers, some of whom drop cigarette butts on the floor. One shudders to think of what might happen if there were a fire and a mass stampede.

I don't have a current update, but I will make a call tomorrow, they were warned in August 2014 to meet the regulations by 2015.

Newlands faithful cite its history in its favour. But what about its many years of shameful history when people of colour were penned into segregated stands and teams were all white?

Tell this to SK Walmers.

The 90-odd clubs which make up the Western Province Rugby Football Union are sitting on a huge asset.

Make that double. The number is dwindling into the ~180's.

Perhaps it is time for some blue-sky thinking in one of rugby’s most fertile provinces. Why not sell the stadium and its valuable grounds and divide the money among the clubs? In return, they could give up their claims on the professional arm of the union.

Which clubs? I know the budgets btw and also the in kind...

The Stormers and Western Province teams could be owned and run as a separate entity (and hopefully the confusing dual titles — Western Province for the Currie Cup and Vodacom Cup teams and Stormers for Super Rugby — could be dropped in favour of a single name).

WTF? It is the Union!

Perhaps a consortium of businessmen could make a bid for the teams. This needn’t be a coldly commercial enterprise. It could be stipulated that the owners are Western Cape-based and that independent directors who are trusted public figures be included on the board.

It is already like that. Not to mention those involved with Maties...

A split between club rugby and professional rugby would be beneficial to both. Western Cape club rugby is thriving: many villages have their own teams and they are an important source of cohesion for their communities. They also throw up gems: such as Gio Aplon, whose home town, Hawston, has a very active club.

Hawston rugby club's moto is, "Skrik vir niks", lekker club, played against them. However, when did Gio play there?

Then there is one big concern why WPRU simply cannot move, and it is on this point that I won't elaborate. To move, Cape Town Stadium must be upgraded as well.
 

Jola

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Then there is one big concern why WPRU simply cannot move, and it is on this point that I won't elaborate. To move, Cape Town Stadium must be upgraded as well.

The suites. The stadium requires a major rebuild due to some obstinacy from the soccer authorities.
 

Jola

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The length of the playing surface?

Could be as well, the size of the area behind the tryline is important.

The soccer authorities paid zero attention to the future use of the stadiums.
 

Creag

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The Troll's ultimate adventure to take a blatant and low strike at rugby supporters? How much longer is allowed to ply his trade?
 

scud

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CT stadium will be knocked down. Sooner the better imho.
 

thestaggy

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Never understood why the Moses Mabhida and Cape Town stadiums did not factor in rugby when they were built. In those two cities football cannot compete with rugby in terms of attendance.
 

ZCFOutkast

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Never understood why the Moses Mabhida and Cape Town stadiums did not factor in rugby when they were built. In those two cities football cannot compete with rugby in terms of attendance.
Coloured population in many ways is key in WC, but unfortunately they don't like soccer more than rugby, and a team like Cape Town Ajax is not good enough to attract crowds. While the other sides Santos, Milano Utd, CT All Stars, FC CT are also in the First Division, ever struggling to get promotion, but they all command a following to further split the limited fan base for professional sides.

For KZN, Amazulu (bottom of the log PSL), and Golden Arrows(First Division). Maritzburg United ar emuch better but PMB is further away. Basically fans split among 3 poorly performing teams.

Obviously there's other rugby teams in those two provinces but not at the same competitive&professional level like these soccer clubs in the first division (more equal to the tens of amateur soccer clubs all over there). All things being equal, rugby fans base is tiny in comparison, except those attendances would read the opposite when counting just the turnstiles at the big stadiums. For example Wits vs Swallows at Bidvest or Dobsonville would have a small crowd compared to a 2nd division game in Eldos/Kliptown. So money is a factor too.
 
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