The cheers rang long and loud around Valencia\u2019s Mestalla Stadium as fans celebrated Hugo Guillamon<\/a>\u2019s late equaliser against Barcelona<\/a> in their final home match before La Liga<\/a>\u2019s Christmas break.<\/p>\n Four kilometres away, on the other side of Valencia\u2019s old city centre, all was quiet around the site of the Nou Mestalla \u2014 where the club\u2019s half-built new home has sat untouched for the past 15 years.<\/p>\n Through all that time, one of La Liga\u2019s most storied clubs has found itself stuck in this bizarre situation \u2014 unable to raise the money to finish a modern new ground, unable to sell its historic home.<\/p>\n Meanwhile, a team used to competing at the highest level in national and European competition has found itself fighting relegation, with the club\u2019s historic debts becoming ever more difficult to deal with.<\/p>\n On a recent visit to Spain\u2019s third biggest city, The Athletic<\/em> took 20 minutes just to walk around the perimeter of the huge Nou Mestalla site. Inside the high steel fence around the huge concrete bowl there was no human presence, just eerie stillness and silence.<\/p>\n Locals went about their business without even looking, long accustomed to a situation which remains a huge embarrassment for many in the city.<\/p>\n But outside events, including funding organised by La Liga and the possibility of hosting some games at the World Cup in 2030, have now opened up the possibility of a solution finally being found.<\/p>\n \u201cI believe it is now or never for the new stadium,\u201d club president Lay Hoon Chan told sceptical fans at the club\u2019s annual general meeting on December 14.<\/p>\n Can Valencia<\/a> really resolve its unique \u2018two stadiums\u2019 problem? And will the team really benefit?<\/p>\n All the way back on November 10 2006, Valencia president Juan Soler presented the proposed design for a 75,000 seater \u2018Nuevo Mestalla\u2019. He told those assembled in the impressive futuristic surroundings of Valencia\u2019s City of Arts and Sciences that it would be \u201cthe best stadium in the world\u201d, and its site would include 25,000 square metres of shops, cinemas and themed restaurants.<\/p>\n \u201cThis stadium represents the wish of \u2018Valencianismo\u2019 to become an example in the world of football,\u201d Soler said.<\/p>\n \u201cWe want the 2010 Champions League final played here,\u201d said city mayor Rita Barbera to rapturous applause from those present, including regional president Francisco Camps.<\/p>\n Soler\u2019s plan was to borrow the \u20ac260million (\u00a3224m; $284m at current exchange rates) required from local banks to build on a site across town provided by the local council. The money would be repaid by selling the existing Mestalla stadium for development. The move would even be profitable, it was said, taking advantage of a booming property market in the city.<\/p>\n Work began with engineers Arup Sport and builders FCC Construcciones and Grupo Bertolin on August 1 2007. Within months came the first signs that Spain<\/a>\u2019s property bubble was bursting, and a bank crisis quickly followed. Soler stepped down as Valencia president in March 2008, citing \u201chealth concerns\u201d, and it soon emerged the club owed almost \u20ac550million.<\/p>\n On February 25 2009, a decision was made under new president Juan Soriano to temporarily halt all work on the new stadium. Around \u20ac100million had already been spent, and the initial concrete bowl base had been constructed. But there was no money to add the striking reflective aluminium skin on top, and borrowing was impossible.<\/p>\n In the 14 years since, four different club presidents \u2014 Manuel Llorente, Amadeo Salvo, Lay Hoon Chan and Anil Murthy \u2014 have each presented new and different plans for the stadium. Each model has been progressively more modest (or realistic) about the design, capacity and budget that could be possible.<\/p>\n But through those years nothing has changed at the Avenida de los Cortes Valencianas, apart from the peeling of paint and spreading of weeds around the half-finished structure.<\/p>\n When Singapore-based businessman Peter Lim took majority control of Valencia in 2014, he said the team would celebrate its centenary at the Nou Mestalla. That passed in 2019 at the old ground, which itself celebrated its 100th birthday last May.<\/p>\n \u201cThe new stadium was always on the agenda when we had board meetings but there was little indication of how to proceed,\u201d a former director under Lim says. Two different Nou Mestalla projects were announced (in 2017 and 2020), but no real progress was made.<\/p>\n The situation only really changed in December 2021, with La Liga\u2019s \u20ac2billion deal with CVC Capital Partners. Of the \u20ac120m due to Valencia, \u20ac80m had to be spent on infrastructure. Murthy quickly said that the full amount would be put towards fixing its two-stadium problem, and set a new possible date of September 2022 to get work started again.<\/p>\n The \u20ac80million was approximately half of what the club needed to finish Nou Mestalla. The board now became more \u201cproactive\u201d in raising the rest, according to a source involved in that process \u2014 who, like all those cited here, requested to speak anonymously to protect relationships.<\/p>\n It was always clear that using the proceeds of the sale of the old Mestalla site to at least part-finance the move was difficult. Various plans with different local developers and a housing co-operative have been floated over the years, but no binding contracts signed.<\/p>\n Current president Lay Hoon said at December 2023\u2019s AGM that they now have \u201cadvanced negotiations\u201d with a new buyer for the old stadium site. But multiple sources say nobody will commit to buying an apartment in a place where a football team is currently playing, especially when nobody can confirm when that team will leave.<\/p>\n Valencia\u2019s historical financial issues, which have not improved under Lim\u2019s control, also make further borrowing difficult. The latest accounts show total debts of almost \u20ac500million \u2014 \u20ac134m short-term and \u20ac335m long-term liabilities. Among these is an \u20ac89m loan with local lender Caixabank, for which the old stadium is collateral. In the words of one former club executive: \u201cIf you sell this site, you have to pay off the bank \u2014 not use the money to build the new stadium.\u201d<\/p>\n More useful is the possibility of selling part of the Nou Mestalla site. The initial plan always included the construction of two towers nearby, with over 40,000 square metres of space for hotel, commercial and residential use. In March 2023, a potential deal was agreed with local investors Atitlan, controlled by the Roig family who own Spanish supermarket chain Mercadona. This would provide over \u20ac30million, once the new stadium was completed. The club are also counting on about \u20ac5m from the sale of the club\u2019s offices \u2014 across the street from their current home \u2014 with a hotel potentially to be built on that site.<\/p>\n Valencia say this \u20ac115million financing is enough to restart work on the half-completed stadium. They calculate they would still need to raise around 15 per cent of the total cost of \u20ac340m from banks or investment funds, but that would not be needed until the final stages of the construction project. The club denies local media reports that they have already organised two loans \u2014 \u20ac15m from Caixabank (who have the mortgage on the old stadium) and \u20ac15m from English fund Rights and Media Funding Limited (who in November 2021 \u201cadvanced\u201d \u20ac51m to Valencia in exchange for a percentage of future TV rights).<\/p>\n Nobody around Valencia doubts that it makes sense to spend the CVC money on the project. But the hugely indebted club taking on even more liabilities worries many supporters. Others argue that finishing the new stadium is key to finally turning the club\u2019s finances around. Nobody can really say for sure.<\/p>\n One thing everyone accepts is that the current Nou Mestalla project is a less ambitious version of the \u201cbest stadium in the world\u201d announced almost two decades ago now.<\/p>\n The original architects, now called Fenwick Iribarren, have maintained their connection through that time, regularly adapting the design to different financial realities and evolving industry best practices.<\/p>\n \u201cEverybody has to admit that we\u2019ve gone from an economically difficult time, but austerity doesn\u2019t mean it can\u2019t be a stupendous, magnificent stadium and a source of pride for the Valencia CF fans,\u201d co-founder Mark Fenwick said in 2022.<\/p>\n The current project is to have 66,000 seats, which can be expanded over time to 70,016. The previous design included an aluminium skin over the existing concrete base, but that has been changed to a less-expensive facade. \u201cIt is a more open, airy concept,\u201d says a source involved in the planning, who adds this should be thought of as reflecting a \u201cMediterranean experience\u201d.<\/p>\n Some 4,500 of the seats will be designated for VIPs or used in hospitality at different levels, including nine \u2018Mediterranean terraces\u2019 where fans can eat a paella with views of the pitch. The objective is to double the club\u2019s matchday income, from its current \u20ac15million to \u20ac30m per year.<\/p>\n Generating income 365 days a year is key, including for La Liga executives who closely oversee the spending of all CVC money. Valencia staff are also very keen to link to the local community. Restaurants will be open all week, while the club hopes to attract regular business conferences and concerts. The current design includes a creche and discotheque, and one of the biggest photovoltaic roofs in Europe, which could potentially provide power to the local grid in future.<\/p>\n Those involved in the project strongly reject any \u2018low-cost\u2019 description. They admit that it will not rival the redeveloped Estadio Santiago Bernabeu for luxury facilities, but say its \u20ac5,000-per-seat cost is comparable to Atletico Madrid\u2019s Estadio Metropolitano, which hosted the 2019 Champions League final.<\/p>\n A concern, both inside and outside the club, is the capacity. Valencia have just over 38,500 season ticket holders, and its current stadium\u2019s 2022-23 average attendance was 41,667. \u201cHow to make a stadium of 70,000 commercially viable or sustainable was always the biggest challenge,\u201d says a former club executive.\u00a0<\/p>\n There is an acknowledgement that Valencia, while a beautiful city to visit, does not attract the same tourist numbers as Madrid or Barcelona. The city of 800,000 does not have the affluent business community of a global hub like London or Milan. The City of Arts of Sciences area, and the 18,000-seater \u2018Roig Arena\u2019 basketball pavilion currently under construction, provide competition for events and concerts.<\/p>\n If Valencia were starting from scratch on a new ground they would have much more flexibility. But they are in the situation they are in \u2014 with a half-built stadium which needs to be finished somehow \u2014 and have to make the best of that reality.<\/p>\n Raising the money to restart work at the half-finished stadium, and making the design more realistic and sensible, was not easy for the current Valencia hierarchy. Another challenge was securing the necessary construction permits and licences.<\/p>\n A major sticking point through the different revisions of the plan has been a 13,000 square metre sports centre, with gym, swimming pool and courts for tennis and padel, promised to city hall by Soler back in 2006.<\/p>\n Subsequent presidents have all wanted to scale back this \u20ac10million state-of-the-art facility (as the stadium design has been). Barbera\u2019s successor, Joan Ribo of the left-wing Compromis coalition, believed it vitally important for residents of its working-class Benicalap neighbourhood. Lim\u2019s strong unpopularity with Valencia fans has given local politicians of any stripe little incentive to help him out.<\/p>\n The election of Maria Jose Catala of the centre-right Partido Popular as city mayor in June 2023 led to optimism in the club that a resolution could be found. That seemed misplaced when Catala said in August that \u201cNew Mestalla is a disgrace\u201d, and they would \u201cconcede nothing\u201d to Lim.<\/p>\n <\/p>\n GO DEEPER<\/p>\n Valencia’s protesting fan groups and the plan to prise back their football club<\/p>\n<\/div>\n<\/div>\n <\/a><\/p>\n Then, in October 2023, Spain was named as a co-host of the 2030 World Cup, along with Portugal<\/a> and Morocco<\/a>. Within a month the Valencian regional government, the city\u2019s mayor and Valencia CF sent letters to the Spanish Football Federation saying work on the Nou Mestalla site would restart within the first half of 2024 and be completed by 2026.<\/p>\n For a World Cup to take place in Spain, but Valencia not to host any games, is unthinkable for some in the city. Lim\u2019s critics worry this provides leverage during negotiations over issues such as the public sports centre and re-zoning of the old Mestalla site. \u201cPeter Lim is using the World Cup to blackmail the town hall,\u201d says a former Valencia executive.<\/p>\n The mayor claims to still be playing hardball with Valencia. Catala said she now wanted work to start on the stadium, before beginning negotiations for a new \u2018covenant\u2019 to redevelop the old Mestalla. \u201cValencia must take the first step, and that way recover the confidence of the city,\u201d she said in early November.<\/p>\n From outside, it resembles a high-stakes poker game between the city authorities and Valencia hierarchy. \u201cAll sides are waiting for the other party to make the first commitment,\u201d says someone previously involved in talks. \u201cThat is the biggest obstacle in this whole project.\u201d<\/p>\n A key broker in this game is now Jose Maria Olano, a lawyer hired by city hall from consultants KPMG to oversee the Nou Mestalla project and the redevelopment of the city\u2019s port. Opposition parties in the town hall loudly voiced concerns, given Lim is a long-term KPMG client. An internal report was commissioned, which quickly cleared Olano of any conflict of interest.<\/p>\n Amid all the politicking, it is very difficult for Valencia fans to know exactly what is going on. Those disillusioned by the drop in the team\u2019s level during Lim\u2019s decade in charge remember it was local politicians who organised the club\u2019s sale to the Singapore businessman as it favoured local banks. The same local banks that still hold the majority of the club\u2019s continuing huge debts.<\/p>\n Some in Valencia would like the local authorities to include Lim\u2019s exit from Valencia as a precondition for any new \u2018covenant\u2019 involving the old Mestalla. But those involved in the project view this as unrealistic.<\/p>\n \u201cHere everyone wants to use Valencia for their own benefit, whether in local politics, sports politics, or construction projects,\u201d says a former club director. \u201cBut the football club could end up ruined.\u201d<\/p>\n \u201cSince my return to the club last week we\u2019ve had many difficult meetings with local politicians to advance the project,\u201d said president Lay Hoon at Valencia\u2019s club AGM on December 14. \u201cNow, we just need to get the licence to restart work. We want to help Valencia be a host at the World Cup 2030, it would be good for the city.\u201d<\/p>\n Club staff say that everyone is very keen to get going as soon as possible, and all the documentation requested by the town hall has been provided, so work could begin on the new stadium site within the first quarter of 2024. It would then take approximately two years to complete. All being well, the team could be playing in their new home for the start of the 2026-27 season (and further work to extend the capacity could then take place ahead of the 2030 World Cup).<\/p>\n It is striking that Valencia\u2019s website does not have that much detail about the exact plan. There are some \u201csimulated\u201d images but little of the fanfare or pride coming from other clubs redeveloping their stadiums, such as Real Madrid<\/a>, Barcelona, Real Betis<\/a> or Sevilla<\/a>. \u201cIf it was really going to be so marvellous, they would want to tell everyone,\u201d says one Los Che fan. \u201cBut they are not.\u201d<\/p>\n The hope among the wider Valencian community is that finally finishing the new stadium would launch the team towards a better future. But those who have learned to be sceptical of both the club hierarchy and the local authorities wonder whether the final cost will be a further weight for the already hugely indebted club to carry.<\/p>\n The Athletic<\/em> heard both arguments during conversations with many knowledgeable local sources in recent weeks. But the truth is that Valencia fans have been waiting almost two decades for their new stadium to be completed, and nobody really knows when that will happen, nor what it will mean for the club\u2019s future.<\/p>\n (Top photo:\u00a0Jeroen Meuwsen\/Soccrates\/Getty Images)\u00a0<\/em><\/p>\n<\/div>\n
\n The original design for the Nou Mestalla, unveiled in 2006 (Arup)<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n![\"\"](\"https:\/\/i3.wp.com\/cdn.theathletic.com\/app\/uploads\/2023\/12\/20083218\/mestalla1-scaled.jpg\")
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\n Valencia\u2019s unfinished Nou Mestalla has been left standing still since February 2009 (The Athletic)<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n![\"\"](\"https:\/\/i3.wp.com\/cdn.theathletic.com\/app\/uploads\/2023\/12\/20083928\/GettyImages-1231467779-scaled.jpg\")
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\n Valencia plan to have the stadium completed by 2026 (Xisco Navarro\/SOPA Images\/LightRocket via Getty Images)<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n![\"\"](\"https:\/\/i3.wp.com\/cdn.theathletic.com\/app\/uploads\/2023\/12\/20083720\/Mestalla2022_05.jpg\")
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\n The updated design for Valencia\u2019s Nou Mestalla (Valencia CF)<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n![\"go-deeper\"\/](\"https:\/\/i3.wp.com\/cdn.theathletic.com\/cdn-cgi\/image\/width=128,height=128,fit=cover,format=auto\/app\/uploads\/2023\/02\/26114036\/valen-1024x683.jpg\")
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\n Valencia owner Lim (centre) and former club president Murthy (left) in 2017 (Quality Sport Images\/Getty Images)<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n