Castleford have revealed a new deal that will ensure the building of a new stadium can go ahead as planned.
Cas find new buyers for Wheldon Road stadium
Castleford have revealed a new deal that will ensure the building of a new stadium can go ahead as planned.
However, despite an end to concerns over funding a 12-month delay could cast fresh doubt over their bid to secure a new three-year Super League licence.
The Tigers have shelved plans to sell the newly-named PROBIZ Coliseum for housing due to the slump in the market, but have agreed with a developer to turn it into a major food retail outlet.
If approved, the club say the deal with Opus Land (North) Ltd and financial backers Palmer Capital would generate enough money to pay for the new 13,300-capacity, state-of-the-art stadium just off the M62.
The deal, that is expected to generate around £50m, means fears they would have to either scale down the new stadium or build it in stages are unfounded.
"We are in a very fortunate position to own the land at our current facility," said chief executive Richard Wright.
"The PROBIZ Coliseum is the club's largest single financial asset and our business plan has always been to identify the sale and future usage that would provide the greatest financial return to fund the new stadium development.
No sense
"In extremely challenging economic conditions with land values at an all-time low, the sale of Wheldon Road and construction of a new stadium is challenging.
"It makes no sense to rush through the sale of our biggest asset at a vastly-reduced price.
"However, the revised agreement announced today would enable the club to acquire all the necessary funding to deliver a new stadium the fans deserve and to build it in a single phase.
"This is, therefore, a much better deal for Castleford Tigers and the public of Castleford and is an arrangement that has well suited the likes of Warrington Wolves and St Helens, where similar deals have led to the development of first-class modern stadia."
The Tigers have outline consent for the new stadium and hope to get detailed planning permission on April 7 but they say work will not now be completed before the start of the 2013 and, therefore, they will remain at Wheldon Road for the 2012 season.
Castleford were one of five clubs to be warned two years ago that their grounds do not meet the minimum standards required for the next set of Super League licences from 2012.
Crusaders have moved from Bridgend to Wrexham and both Salford and St Helens are on course to complete moves into new stadia in time for the start of next season.
The other endangered club, Wakefield, have been hit by delays to their planned move to Newmarket, two junctions further along the M62 from Castleford's proposed new home, and today's development could be good news for them.
Licence
The Rugby Football League's board of directors are committed to promoting at least one Championship club - Widnes, Halifax or Barrow will get the nod next Thursday - and will announce the other 13 licence winners in July.
An RFL spokesman confirmed that Castleford will be judged on their current facilities if their new stadium is not ready for the start of next season.
"A new stadium or re-development of an existing stadium will only be taken into account if the work is completed by the start of the 2102 season," he said.
However, Wright is currently finalising his club's licence application and remains hopeful they will be allowed to play next season at their current home.
"Facilities are just one area of criteria that the RFL will assess to make their decision," he added.
"The RFL assesses each club on its engagement with the community, governance and management, match attendances, the development and performance of its players and, of course, it's playing facilities.
"It also looks carefully at each club's financial performance and its ability to compete at the highest level without fear of administration."
