 Sheffield United, in red here against Arsenal, also hope to open a hotel |
Football club Sheffield United is launching a �50m property venture as a means of raising extra cash for new players and training facilities. The Yorkshire club, and Scarborough Property Company, a firm controlled by United chairman Kevin McCabe, are each putting �5m into the joint venture.
HBOS is providing the project, which will invest in "low risk commercial property", with the other �40m.
Last November, the club announced plans to build a casino at its ground.
Its casino partner is US firm Las Vegas Sands, owner and operator of the Venetian Casino Resort in Las Vegas and the Venetian Macao.
'Financial stability'
The new property investment company announced on Thursday will be known as United Scarborough Estates and is designed to reduce the club's dependence on the playing performance of the team.
 |  We have a stated strategy of diversifying business away from activities that take place on the pitch |
On Thursday, the Championship club, known as the Blades, announced a loss of �600,000 for the six months to 31 December 2004.
Gate receipts, and money from sponsorship, advertising and merchandise increased, but so did the cost of players' wages while broadcasting fees from televised games fell.
The AIM-listed company said it had achieved a "financial stability" which meant it no longer had to sell top players to survive.
The club also said it had made "exciting inroads into China" with the development of its Hainan Academy, and had established a language school to allow young Chinese players to come to Sheffield for football and English training.
'Well positioned'
Announcing the property venture, the club said: "Sheffield (United) has a stated strategy of diversifying business away from activities that take place on the pitch to reduce risk and provide additional revenues to invest in players and facilities."
The club said it believed it was the first to launch a property investment fund.
The board of United Scarborough, which will have two members from each of the partners, will be responsible for investment decisions and property selection.
Meanwhile, the club is waiting for a city council decision on its casino application, which it said is "well positioned to take advantage of the proposed changes in the gaming laws".
The plans include an entertainment complex, including the casino and 120-bedroom hotel, in and around the club stadium's South Stand.
Sheffield United said the Sheffield Sands project, as it is known, would create more than 1,300 jobs in addition to an initial 300 construction jobs.
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