Saudi -Arabia PIF will not be committed to paying completely for the new Newcastle United Stadium – Report

Saudi -Arabia PIF will not be committed to paying completely for the new Newcastle United Stadium – Report

Fans are still waiting for news about the new Newcastle United Stadium.

The club has indicated a number of times that they would make an announcement about what they have planned, only until every time the planned update was reduced on a later date.

The last copy came when an announcement was in the new Newcastle United Stadium at the beginning of 2025, only for the club hierarchy to reveal that certainly/perhaps somewhere later this year the fans should get an update.

It has been generally reported that the owners of Newcastle United are supposed to promote a brand new Newcastle United Stadium that is being built very close to St James’ park, partly or entirely on land that is currently occupied by Leases Park. With then every country lost by Leases Park, replaced by converted into Parkland, part of what is currently occupied by NUFC.

A new report has now not claimed details about the location of the new Newcastle United Stadium, or what the capacity will be. Instead, the claims made about how the new stadium will be financed.

Post report That their information is that a new Newcastle United Stadium would not be fully funded by the Saudi Aarabia Pif.

Instead, they report that their understanding is; ‘… A Pitch document is distributed with a view to securing the project financing. Although it is still at an exploratory stage, it is thought that every debt would be up to the club in the long term, instead of PIF. For example, if the costs of a new stadium are £ 2 billion, it could be that half would be financed by PIF and the Reuben brothers (15 percent owners) and half as a loan eliminated. Sources have emphasized that this is standard practice and the financial model is used by other Premier League clubs in building new stadiums or redeveloping existing ones. ‘

I have always believed that Newcastle United is an investment for the Saudi Arabia Pif and for the Reuben family. Instead of a money, not an object prestige project as so many other United fans want to believe. In short, at a certain point in the future, the idea will be that the owners of Newcastle United sell the club and make a profit, which they could indeed do if they wanted. Including the extra money that the PIF and Reuben family has so far stung to grow the club, in addition to the first purchase costs, a sale of Newcastle United would currently give these owners a very healthy profit.

For large capital projects, however, rich owners can place the money in the club to pay for a new stadium, or improved the existing stadium, and/or of course a new training complex, with a view to increasing the value of the football club, their company. So that when they finally come and sell the club/company, they get that money back and more active, with a much better, larger and more valuable to sell.

If the club has to finance some or all costs of building a new stadium from a normal operational income and/or a loan, there are two obvious disadvantages.

If the club makes interest payments on a loan to finance a new stadium, then that naturally reduces the available amount of money to lead the club on day to day, year to year, which means spending less money on players, etc.

Then for the owners of Newcastle United themselves, this would also mean that they actually pay a lot of extra money to this loan interest in the long term (Saudi Arabia Pif and the Reuben family), because they naturally have the club completely between them. So extra cash paid by NUFC on loan interest rate is effectively less profit for the owner when they come to sell.

It comes down to Club and the fans is that the faster the new Newcastle United Stadium is built, the faster it will be that many more fans can view their team and the faster it will be that they will be much higher in the club generated by the stadium. That will help to become much more competitive on and next to the field.


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