Tottenham Hotspur have secured £400m bank financing arrangement to help fund the construction of their new stadium.
Bank of America Merrill Lynch, Goldman Sachs and Britain’s largest bank HSBC, will provide the credit facility which is secured against the new 61,500 arena that Spurs hope will be ready to move into for the 2018/19 Premier League season and other commercial and match day revenues.
Tottenham have already spent £340m on the project so far and will fund the rest of the costs — estimated to reach £800m in total — using the facility and club revenues.
Billionaire owner Joe Lewis will provide a contingency letter of £50m credit facility from his company ENIC.
The facility will replace a £200m interim financing arrangement Tottenham had in place, from which they’d drawn £100m. Arranged by Rothschild & Co, it is priced at libor plus 2.25 per cent to three per cent.
“We are delighted to have three of the most prestigious and globally recognised banks supporting us,” said Tottenham director of finance and operations Matthew Collecott.
“We look forward to continuing our relationship with them and our main contractor Mace as we move into the final stages of our journey to deliver the catalyst to one of London’s largest regeneration projects."