Councils acting as funders on developments is not unusual. Were the commercials of this deal bad? If so why?
-
-
Als antwoord op @jonnycope
Council was initially told that the developer would secure funding. At short notice it was suggested the Council provide the funding for the developer. There is a small return on the loan but huge risk. It is much more usual for developers not Councils to fund developments.
1 antwoord 1 retweet 2 vind-ik-leuks -
Als antwoord op @CllrAnnMarieB
On this type of development there’s broadly 3 sources of funds: 1. Developer; 2. Bank; 3. Council. Each deal is unique but on this size the structure is pretty normal and I’ve seen it in practice many times. Why is the risk “huge” here? Do you feel insufficient due diligence?
1 antwoord 0 retweets 0 vind-ik-leuks -
Als antwoord op @jonnycope
Insufficient due dilgence and the financial standing of the developer.
1 antwoord 1 retweet 1 vind-ik-leuk -
Als antwoord op @CllrAnnMarieB
Commitment is secured against the development itself. So worst case is developer goes bust and Council steps in/gets new developer to finish. Risk of losing money seems fairly low to me. Isn’t your real reason to oppose that you think it’s just too much housing?
2 antwoorden 0 retweets 1 vind-ik-leuk -
Als antwoord op @jonnycope
The cross-party Overview & Scrutiny paper is about the process around the Council's involvement in the football club development. That is what the article I retweeted was about and what led to your point on the £250 million loan. 11 storey blocks of flats is overdevelopment.
1 antwoord 0 retweets 0 vind-ik-leuks -
Als antwoord op @CllrAnnMarieB
Yes but I can’t see any evidence that the loan is especially risky. It just seems you’re throwing as much at this to see what sticks. How many units would you accept on the site? Half?
2 antwoorden 0 retweets 0 vind-ik-leuks -
Als antwoord op @jonnycope
You've seen the company house records for the developer? He has very little to his name. It wouldn't be simply a case of getting in a new developer if one failed. That would bring significant extra cost and time.
1 antwoord 0 retweets 0 vind-ik-leuks -
Als antwoord op @CllrAnnMarieB @jonnycope
Jonny in business you don't lend to companies on these terms, with this little to back it up. I don't know why you expect Woking's council tax payers to accept risks that large banks won't touch — when we're about to hit an unemployment crisis.
2 antwoorden 0 retweets 1 vind-ik-leuk -
Jonny is not in business.
1 antwoord 0 retweets 1 vind-ik-leuk
Jonny is in always in business 
Het laden lijkt wat langer te duren.
Twitter is mogelijk overbelast of ondervindt een tijdelijke onderbreking. Probeer het opnieuw of bekijk de Twitter-status voor meer informatie.