Post by Teddy Bear on Mar 31, 2013 18:48:15 GMT
Well, following the self-indulgent tributes, and the farewell self-indulgent party, where according to the Telegraph A party thrown to mark the closure of BBC Television Centre descended into chaos as drunken staff stole mementos from the building and had sex in the studios, what next?
It appears that after selling it off, for £100 million less than it expected, the BBC is now going to be leasing a lot of it back, at a cost to the licence fee payer of £3 million a year. Despite when TV Centre was initially put on the market in 2007, a BBC spokesman said unequivocally: ‘This is a full-scale disposal and we won’t be leasing it back.’
So what does the BBC say now in response?
A BBC spokesman said: ‘The sale of Television Centre has already secured the sum of £200 million and will deliver further annual savings of about £30 million a year by 2015.
As Ace Ventura would say - REeeeAaaaLY?
So if we factor in the cost for the completely insane purchase of Salford studios and the additional monies for relocating and conveying staff and celebrities to work and appear there, we are to believe that they actually know what they are doing, and are saving us money.
I’d say when pigs fly, but with the recent discovery of horsemeat added in, that’s probably not a good analogy.
It appears that after selling it off, for £100 million less than it expected, the BBC is now going to be leasing a lot of it back, at a cost to the licence fee payer of £3 million a year. Despite when TV Centre was initially put on the market in 2007, a BBC spokesman said unequivocally: ‘This is a full-scale disposal and we won’t be leasing it back.’
So what does the BBC say now in response?
A BBC spokesman said: ‘The sale of Television Centre has already secured the sum of £200 million and will deliver further annual savings of about £30 million a year by 2015.
As Ace Ventura would say - REeeeAaaaLY?
So if we factor in the cost for the completely insane purchase of Salford studios and the additional monies for relocating and conveying staff and celebrities to work and appear there, we are to believe that they actually know what they are doing, and are saving us money.
I’d say when pigs fly, but with the recent discovery of horsemeat added in, that’s probably not a good analogy.
BBC to spend £3million a year... renting back Television Centre it's just left
By Chris Hastings and Miles Goslett
The BBC’s closure and sale of Television Centre has been branded ‘insane’ after it emerged the Corporation will continue to spend more than £3 million a year renting back ‘a significant’ part of the premises.
Last week the Corporation staged a series of lavish goodbyes to the iconic building, affectionately known as The Doughnut, which included emotional tributes from star names including Bruce Forsyth and Terry Wogan, a four-hour television special and even a concert by chart-toppers Madness.
But far from vacating the premises, which have been the broadcaster’s headquarters for more than half a century, the BBC plans to fork out licence fee payers’ money to rent back what the Corporation last night admitted was ‘a significant’ part of the 14-acre site.
Details of the arrangements have infuriated critics who claim TV Centre, the listed building which was home to classic BBC programmes such as Morecambe and Wise, Fawlty Towers and Strictly Come Dancing, has been sacrificed to foot the bill for a series of other high-profile property ‘blunders.’
The BBC has spent more than £1 billion on a controversial revamp of Broadcasting House in Central London, just five miles away from TV Centre; while its decision to relocate key departments including children’s programming and sport to Salford, to ensure its shows are less London-centric, is expected to end up costing just under £900 million, including contentious staff relocation packages.
One BBC star, who asked not to be named said: ‘The BBC has had to sell TV Centre to balance the books. What other company in the world would voluntarily decentralise from such a perfect location and enter into decades of deal making with commercial landlords. It is insane.’
Another BBC presenter said: ‘It is easy to imagine the fun that Robert Peston or another BBC business reporter would have with a company that sold off its premises in a great media fanfare and then leased them back.
‘Regardless of doubts about the financial sense of the deal, the decision may encourage the feeling among viewers and staff that this is another example of BBC chiefs not getting the best value for licence payers.’
Private developer Stanhope paid £200 million for a 999-year lease on the West London site last July, £100 million less than the BBC had initially hoped to raise.
It plans to develop a hotel, office space, leisure facilities and up to 1,000 apartments there.
As part of its deal with Stanhope the BBC has agreed to lease the entire area for the next two years while staff carry out ‘decommissioning’ work. But even when the new owners take possession in 2015 the BBC will continue to rent 20 per cent of the site. The Corporation will pay to refurbish and then rent back three studios including the huge Studio One which is currently home to ‘shiny-floor’ shows such as Strictly Come Dancing.
Its commercial arm BBC Worldwide will also move its entire operation to a significant part of the building, known as Stage 6.
In the meantime the BBC is having to fork out extra cash to find temporary homes for some of its most popular shows. Strictly Come Dancing is being relocated to Elstree and Later With Jools Holland is going to Maidstone in Kent. These type of sale and leaseback deals are usually struck to provide a significant cash flow boost and allow a company to operate from the same premises while avoiding some of the obligations associated with owning the property.
But when TV Centre was initially put on the market in 2007, a BBC spokesman said unequivocally: ‘This is a full-scale disposal and we won’t be leasing it back.’ However, the deal struck with Stanhope includes renting 122,000 sq ft. Experts say the market rate is about £30 per square foot which would leave the BBC with a bill of just over £3 million a year.
Critics claim the Corporation would not have had to enter into such a deal had it not overspent on other property deals. In 2010 the National Audit Office criticised the Corporation for embarking on vast building projects without ‘clear assessments of the intended benefits in terms of value for money.’
John Whittingdale, the Tory chairman of the Commons Culture, Media and Sport Select Committee, said: ‘At first sight it is difficult to see how this will represent a significant saving for licence fee payers. Indeed, I would be concerned that it might actually end up costing more.’
A BBC spokesman said: ‘The sale of Television Centre has already secured the sum of £200 million and will deliver further annual savings of about £30 million a year by 2015.
‘We believe this to be the best deal for licence fee payers, allowing TV Centre to continue to make an important contribution to British broadcasting.’
- Corporation has admitted it will lease back 'a significant' part of former home
- Critics say TV Centre was sold to pay for series of other property 'blunders'
- One BBC star said: 'It is insane'
By Chris Hastings and Miles Goslett
The BBC’s closure and sale of Television Centre has been branded ‘insane’ after it emerged the Corporation will continue to spend more than £3 million a year renting back ‘a significant’ part of the premises.
Last week the Corporation staged a series of lavish goodbyes to the iconic building, affectionately known as The Doughnut, which included emotional tributes from star names including Bruce Forsyth and Terry Wogan, a four-hour television special and even a concert by chart-toppers Madness.
But far from vacating the premises, which have been the broadcaster’s headquarters for more than half a century, the BBC plans to fork out licence fee payers’ money to rent back what the Corporation last night admitted was ‘a significant’ part of the 14-acre site.
Details of the arrangements have infuriated critics who claim TV Centre, the listed building which was home to classic BBC programmes such as Morecambe and Wise, Fawlty Towers and Strictly Come Dancing, has been sacrificed to foot the bill for a series of other high-profile property ‘blunders.’
The BBC has spent more than £1 billion on a controversial revamp of Broadcasting House in Central London, just five miles away from TV Centre; while its decision to relocate key departments including children’s programming and sport to Salford, to ensure its shows are less London-centric, is expected to end up costing just under £900 million, including contentious staff relocation packages.
One BBC star, who asked not to be named said: ‘The BBC has had to sell TV Centre to balance the books. What other company in the world would voluntarily decentralise from such a perfect location and enter into decades of deal making with commercial landlords. It is insane.’
Another BBC presenter said: ‘It is easy to imagine the fun that Robert Peston or another BBC business reporter would have with a company that sold off its premises in a great media fanfare and then leased them back.
‘Regardless of doubts about the financial sense of the deal, the decision may encourage the feeling among viewers and staff that this is another example of BBC chiefs not getting the best value for licence payers.’
Private developer Stanhope paid £200 million for a 999-year lease on the West London site last July, £100 million less than the BBC had initially hoped to raise.
It plans to develop a hotel, office space, leisure facilities and up to 1,000 apartments there.
As part of its deal with Stanhope the BBC has agreed to lease the entire area for the next two years while staff carry out ‘decommissioning’ work. But even when the new owners take possession in 2015 the BBC will continue to rent 20 per cent of the site. The Corporation will pay to refurbish and then rent back three studios including the huge Studio One which is currently home to ‘shiny-floor’ shows such as Strictly Come Dancing.
Its commercial arm BBC Worldwide will also move its entire operation to a significant part of the building, known as Stage 6.
In the meantime the BBC is having to fork out extra cash to find temporary homes for some of its most popular shows. Strictly Come Dancing is being relocated to Elstree and Later With Jools Holland is going to Maidstone in Kent. These type of sale and leaseback deals are usually struck to provide a significant cash flow boost and allow a company to operate from the same premises while avoiding some of the obligations associated with owning the property.
But when TV Centre was initially put on the market in 2007, a BBC spokesman said unequivocally: ‘This is a full-scale disposal and we won’t be leasing it back.’ However, the deal struck with Stanhope includes renting 122,000 sq ft. Experts say the market rate is about £30 per square foot which would leave the BBC with a bill of just over £3 million a year.
Critics claim the Corporation would not have had to enter into such a deal had it not overspent on other property deals. In 2010 the National Audit Office criticised the Corporation for embarking on vast building projects without ‘clear assessments of the intended benefits in terms of value for money.’
John Whittingdale, the Tory chairman of the Commons Culture, Media and Sport Select Committee, said: ‘At first sight it is difficult to see how this will represent a significant saving for licence fee payers. Indeed, I would be concerned that it might actually end up costing more.’
A BBC spokesman said: ‘The sale of Television Centre has already secured the sum of £200 million and will deliver further annual savings of about £30 million a year by 2015.
‘We believe this to be the best deal for licence fee payers, allowing TV Centre to continue to make an important contribution to British broadcasting.’