Dear members and supporters,
As you would be aware, the Collingwood Football Club sold the Diamond Creek Tavern leasehold to Rick Munday.
As per the article in the Financial Review yesterday (Tuesday 13 April), the Munday group of venues has been put into receivership by his bank. As a result, Mr Munday is unable to obtain any finance to complete the contract of sale.
Based on legal advice, the Collingwood Football Club will not be legally pursuing Mr Munday for compensation for the incomplete sale, as this would be a pointless and expensive exercise, given his financial position.
The club will keep the deposit and continue to run the venue, which is operating profitably, and will now remain an important part of our long-term venue portfolio.
As previously stated, the Diamond Creek Tavern leasehold was originally sold to Mr Munday solely to leverage the sale of The Beach Hotel leasehold.
Now that these two sales have been separated, the club is in a position to complete the sale of The Beach Hotel leasehold, and hold onto the Diamond Creek Tavern leasehold.
In regards to the sale of The Beach Hotel leasehold, please CLICK HERE for the latest club update.
Yours sincerely,
Gary Pert
Collingwood Football Club CEO
