Worcester City`s Board have confirmed that they have exchanged contracts with Carey and St Modwen concerning the relocation of the Blue Square South club.
While recognising the reduction in terms from previous proposals the offer has been tested by independent chartered surveyors who confirm that it is in line with current market conditions. A key stumbling block has been previous contracts, entered into in 2007, that promised the benefit of the sale of St George`s Lane to support the proposed development at Nunnery Way by use of a legal instrument called a charge. This charge has been re-negotiated to the satisfaction of all parties.
Both contracts require the grant of satisfactory planning permission. When that is achieved Worcester City FC will be in a position to pay off the bank and move forward with the relocation to Nunnery Way.
The terms of the deal allow WCFC to play at SGL for at least another two seasons while the development process for Nunnery Way is carried forward.
This positive step forward is a welcome further development on the road to re-establishment of the foundations of WCFC. It allows the club to quantify the amount of money that will be received for the principal current asset and move forward with confidence but also within their means.
The club has been perilously close to being forced into administration and agreed pre-payments have allowed us to satisfy the bank and other creditors. March 31st was a deadline by which City were required to pay the bank significant quarterly interest charges.
These arrangements have allowed them to conclude the deal to allow Evesham United a further season of the current groundshare arrangement while their new facility is completed.
(Kieran Mooney)
