- Yorkshire have agreed to sell Headingley to Mike Ashley for £23 million
- Ashley is also close to securing a 10-year naming rights deal for the stadium
- Yorkshire will use the £23 million to pay off £15.9 million debts owed to Colin Graves Trust
Yorkshire have agreed to sell Headingley to Mike Ashley for £23 million, while the ex-Newcastle United owner is close to securing a 10-year naming rights deal for the stadium.
Mail Sport revealed in September that Yorkshire were considering selling the iconic ground to pay off debts that were at risk of going into administration.
Now Ashley is set to fend off interest from the Rajasthan Royals and former chairman Colin Graves to finalize a sale-and-lease-back deal that will secure the club’s future.
It is believed that Yorkshire has negotiated an option to buy back the land that has been their home since 1891 at a fixed price as part of the sale.
The club will continue to play at Headingley as tenants of Ashley’s Frasers Group, which will charge Yorkshire around £1 million per season in rent.
Yorkshire have agreed to sell Headingley to ex-Newcastle owner Mike Ashley for £23 million
Yorkshire will continue as a loanee at Headingley, paying £1m per season on loan
The historic deal would include the naming rights to Headingley, which Ashley will use to advertise one of Frasers’ brands including Sports Direct, Slazenger and Jack Wills. Headingley will remain part of the stadium’s name in an agreement similar to Surrey’s for the Kia Oval and Lancashire’s for Emirates Old Trafford.
Yorkshire will use the £23m to pay off £15.9m debt to the Colin Graves Trust, which agreed to defer a £500,000 repayment last month, and will hope to rebuild after to have finished second this year in the second division of the championship.
The 160-year-old club has been in turmoil since being accused of institutional racism by Azeem Rafiq two years ago, a row that has cost them around £3.5 million in legal fees and compensation payments, with last year’s accounts reporting a loss of £2.2 million. .
Yorkshire turned down several offers to buy the club outright in order to pursue the Ashley deal, as they were determined to remain under the control of their members.
However, the deal could still prove controversial, with Yorkshire icon Geoffrey Boycott outlining his strong opposition last month.
“Everyone in Newcastle hates (Ashley),” said the former England batsman, 83. “That doesn’t sound good for Yorkshire cricket. I don’t want to lease Headingley back, why on earth would I do that? If you try to sell and lease back, I’m telling you there’s going to be trouble.”
The iconic ground hosted the third Ashes Test between England and Australia this summer
Yorkshire will retain control of the Headingley store and other retail and commercial elements, with Frasers limited to the stadium naming rights.
The proposed deal still needs to be signed off by the ECB, but they are unlikely to object.
Ashley already owns the Coventry Building Society Arena, home of Coventry City, and is exploring the purchase of League One club Reading, which could delay the completion of the Yorkshire deal. But both sides are hopeful it can be finalized later this month.
Yorkshire declined to comment.