Jockey Club Hires Construction Company Kier to Build Cheltenham Racecourse Stand

The Jockey Club, the largest commercial group in British horseracing, have today revealed they have selected leading constructor, Kier, as the main contractor to deliver its £45m grandstand development at its flagship Cheltenham Racecourse in time for The Festival 2016.

Work will start on the development, which was subject to financing, immediately following the end of next week’s Cheltenham Festival after The Jockey Club also today announced it has secured all £45m funding required for what amounts to its largest-ever single capital investment project. Around 235,000 people are expected to attend on the Home of Jump racing between Tuesday 11^th and Friday 14^th March 2014.

The funding package includes nearly £25m successfully raised through The Jockey Club Racecourse Bond – the first retail bond in British sport. The remaining £20m has been secured through a combination of bank financing via The Jockey Club’s syndicate banks – HSBC, AIB and RBS, a Levy Board capital fund loan, commercial deals and the Group’s available cashflow from trading.

Kier’s appointment follows a highly competitive tender process involving several leading construction firms. Kier has delivered several major projects at Cheltenham Racecourse, including the £17m construction of The Centaur building, one of the largest events spaces in the South West of England. Kier’s Cheltenham office will lead the development, meaning an immediate positive economic impact for the local area, with many of those who will work on the development living locally.

The development will create a state-of-the-art new grandstand alongside Cheltenham’s existing main grandstand. It will include new annual members’ facilities, general public viewing areas, private boxes, a Super Club and the Royal Box. 

Nicholas Wrigley, Senior Steward (equivalent to Chairman) of The Jockey Club, said: “We have raised the £45 million required for our major development at the home of Jump racing ahead of schedule. This exciting project will add much to the customer experience at Cheltenham.

“In the last thirty years, more than £80 million has been spent on Cheltenham’s facilities. It is fitting our Group’s largest ever single investment coincides with the 50^th anniversary of Racecourse Holdings Trust, which was formed in 1964 to acquire and protect Cheltenham Racecourse, then later became Jockey Club Racecourses.

“I should like to congratulate The Jockey Club executive, our Cheltenham development funding group and the racecourse team for swiftly and efficiently securing the financing package for this important next step in Cheltenham’s future.”

Ian Renton, Cheltenham and South West Regional Director for Jockey Club Racecourses, said: “I’m delighted the full funding required for our new grandstand has been secured and welcome Kier to the project as our main contractor following their highly impressive tender. We will work closely together to ensure the development is delivered on time and within budget.

“The new grandstand has been designed to provide improved facilities for all racegoers as well as racehorse owners, trainers, boxholders and those joining our new Super Club. The building work will begin in earnest after The Festival next month and we have an exciting 22 months ahead until it is ready in time for The Festival in 2016.”