Kieran Maguire: Newcastle United development ‘has to be investigated’ after £25m deal
Newcastle United should investigate and potentially accelerate their plans for a new fan zone at St James’ Park.
That is the view of finance expert Kieran Maguire, who spoke exclusively to Football Insider about the financial benefits of Newcastle’s stadium plans.
The Magpies recently struck a £25million per season front-of-shirt sponsorship deal with Saudi Arabian company Sela, who specialise in event planning in the Middle East.
When the agreement was announced, Newcastle CEO Darren Eales confirmed that Sela would be assisting the club in the design and operation of a new fan zone at St James’ Park.
“Fan engagement is central to what we do at Newcastle United and, in Sela, we are partnering with an organisation with shared interests that has delivered incredible events and experiences to millions of people over many years,” said Eales.
The North East club recently re-purchased land behind the Gallowgate End known as Strawberry Place, where this new fan zone will be constructed.
Maguire believes qualifying for Europe is much more important for Newcastle’s revenue growth, but added that a new fan zone could also provide a ‘positive impact’ to matchday atmosphere and income.
“I think in terms of matchday experience, Newcastle United are looking to broaden their fan base as clearly they’ve got a waiting list at present,” Maguire told Football Insider’s Sean Fisher.
“It is going to be difficult for fans to get to see the club and this new zone will only help.
“If it improves the general pre-match experience, then that’s going to transfer to a better atmosphere.
“As far as the impact financially, it’s far more important for Newcastle to be regularly qualifying for European competition and the money that brings in.
“New Uefa financial sustainability rules, where the amount of money you can spend on wages and agent fees is determined by total revenues makes it so crucial.
“But then, any positive impact in terms of income generation has to be investigated and potentially accelerated because as far as the Premier League and Europe is concerned, you’re always running to stay still.
“Especially with seven clubs now realistically chasing four Champions League places.“
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