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Members Update

Members Update


To our Members

“The Board will be posting every month an update on our club website – covering many aspects of our Club operations. Hopefully this goes towards improving information flow to our members.

Regards,
MSC Board of Management


Members Update – April 5th 2018

Happy Easter to you all! We hope you have had a lovely break with family and friends. It’s been an exciting few weeks for MordyHQ, so we would like to share an update on what has taken place recently, and what’s coming up soon.

1. Back to Back Win for Mordialloc Cricket Club First XI
We would like to congratulate the Mordialloc Cricket Club First XI on their DDCA Turf One Premiership win. Not only is this a back to back win for the team, but they have also now taken out the top prize for three of the last four years. This is an amazing effort for the team – well done Bloods.

2. Lease Options
Despite having had no communication from the landlord for some weeks, a late notification has been received that they are willing to meet. A Mediation will be proposed with the board to discuss options regarding the lease. As mentioned in previous correspondence, the board will continue to explore options that will best serve the club, and we will keep you posted on any progress in relation to these discussions.

2. Annual General Meeting – Monday April 9 at 7.00 pm.

As you are all aware, we are holding the MordyHQ Annual General Meeting (AGM) on Monday 9th April, 2018. The upcoming AGM will provide updates on the sporting facilities, the MordyHQ venue, and will also include new board nominations. There are also five new members, which have nominated to join the board. This is great news for the club, as it will introduce fresh ideas and skills to MordyHQ.

We hope to see you all there.

Mordy HQ – Here to Stay!


Members Update – 28 February 2018

As mentioned in previous correspondence we would like to keep you abreast of the activities of the board with relation to Mordy HQ.

This week we are pleased to inform you of the following:

1. Building permit withdrawn:
The current building permit application before council has been withdrawn. It is now up for discussion, and a consultation with our members will be had before any further plans and commitments are made.

2. Landlord’s new offer being explored:
As per the commitments made at the recent members meeting on the 27th of February, the board has instructed its lawyers to discuss any new lease offer or offer(s) made by the landlord. This is to ensure that the clubs interests are fully protected in context of any current agreements that the club has in place.
The club has always intended to explore all viable options in order to remain as a tenant of the venue.

An offer has been received this week from the landlord, and the board will be performing its full due diligence accordingly. This offer will be considered to ensure that we are looking out for the best interests of Mordy HQ.

Thank you for your support and we look forward to seeing you all at the next Annual General Meeting on 9 April 2018.

Mordy HQ, Here to Stay!


Members Update – 28 February 2018

As you are aware, an information evening was held at Mordy HQ last night for the purpose of communicating to Life Members and Financial Members relevant matters in relation to Mordy HQ headquarters and the Club’s decision to exercise a clause in the Lease to purchase the property.

Thank you to all the members that attended the last night, your feedback and support was much appreciated.

Following the 2-hour discussion, the Board is able to report that the current permit application before council will be withdrawn today. The Board and its members at this stage are keen on finalising the acquisition process and believe that this is the number one priority. The refurbishment and any development of Mordy HQ headquarters is to occur in consultation with its members and after the legal dispute with the Landlord has been finalised.

Mordy HQ Venue Sub- Committee
The Board wishes to reassure all members that any refurbishment of Mordy HQ will occur in consultation with its members and it is for this reason that the Board intends to establish a Venue Sub-Committee to assist in this process. Any Life Member or Financial Member who is interested in being involved in this sub-committee is requested to email the secretary Andrew Wise at awise@mordyhq.com.au to express their interest.

As always, the Board appreciates the support shown by its Life Members and Financial Members last night and is endeavouring to finalise the legal dispute with the Landlord as soon as possible.

Next Steps
The next stage in the acquisition process is for the Landlord to accept the appointment of the independent valuer nominated by the Australian Property Institute President which we hope will occur sometime this week. Following the independent valuers official appointment, we expect that the acquisition will occur in the next three to four months.

On a separate note, the Club as part our due diligence the Board will explore the latest offer
received from the Landlord of a new Lease. This is separate to the offer made by D Jones Bayside Pty Ltd which has been the subject of media attention. The Club’s lawyers have advised that any offers to the Club must be considered in the context of commitments already made with Aus Finance Group, which occurred in December 2016, shortly after the Landlord served a Notice of Intention not to offer a renewal of Lease to the Club.

Annual General Meeting
At last night’s meeting, members were advised that the next AGM will be held on 9 April 2018 and formal notices will be forwarded to Ordinary Members shortly.

Finally, any Life Member or Financial Member who would like to better understand the legal case, is invited to contact the Club secretary with a view to a further information session being held with the Club’s lawyers, Bazzani Scully Priddle.

Mordy HQ, Here to Stay!


Members Update – 23 February 2018

From: Andrew Wise (On behalf of the full Board)

Firstly, the Board would like to thank you all for your patience. We know that there have been so many stories circulating, particularly over recent weeks, in relation to the Mordialloc Sporting Club, and the Club’s decision to exercise a clause in the lease to purchase the property where we are located. Until now, it has been a challenge for the Board to fully disclose the details of the Club’s purchase as the Landlord decided to dispute the Club’s right to purchase the Venue under a clause in the Lease and the matter required resolution through VCAT which, after 11 long months has only been finalised on 22nd Feb 2018. Now the Club’s legal right to purchase the Venue has been confirmed, the Board is in a position to discuss more openly the details of the purchase and our plans to renovate the Venue to ensure Mordy HQ is financially viable for at least the next 15 years.

This is the Members’ Club, and as such, the Board represents you. In many commercial agreements, there are clauses, which give options for tenants to exercise, or not. In this particular instance, as a Board, we felt that we best represented the members by exercising the option to purchase. This meant that the future of the Club and its ability to remain financially stable was being secured. Most importantly, that we could for the long-term afford to use the facilities that junior sporting participants all the way through to seniors are able to enjoy; namely playing sports such as football, netball and cricket.

You, the financial members, represent more than 1,000 community members and 10,000 social members who use the facilities.

What many of you may not have been aware of was that the Club attempted to negotiate a new Lease with the Landlord in 2016 because the existing lease was to end in April 2017. However, the lease proposed by the Landlord included a substantial increase in the rent and required the Club to spend $1.5 Million in capital improvements. The Club determined that the proposal was not commercially viable.

The Landlord then took the following action:

  1. Advertised the property “For Lease” in 2016 seeking new tenants
  2. Requested that the Club allow other prospective tenants to inspect the premises; and
  3. Engaged a local agent to market a new Lease

As board members our job is to represent you. It is important that our silence is not mistaken for a lack of desire to communicate with you, as that in itself has been frustrating with so many miscommunications in the community. We are now in the position to take you through the journey from start to finish and that is our intention now that we are able to talk publicly.

What is very important to our community is sport, and keeping people young and old active, entertained and championing talent. Having sporting and social facilities around this that is what brings the community together and we have been able to achieve this for the past 21 years at Mordy HQ.

You may be hearing information that is untrue from members of the public.

To clarify, here are some facts:

  • The heritage listing of the beautiful building façade that has been the home of the Club for many years will remain intact. The current design submitted as part of the planning permit application complies with all heritage guidelines, and the entire building will not be demolished.
  • Over the years asbestos and other issues have affected the building, and as such, it is in the best interests of everyone that parts of building be refurbished whilst maintaining and protecting heritage interests.
  • The Club will continue to run the functions, a sports bar, a restaurant, a balcony and live bands.
  • The agreement that the Club has with AFG (Aus Finance Group) is for an agreed amount to be spent on refurbishment, although the exact amount is dependent on the final price paid for the land. (The price for the land is currently subject to determination by an Independent Valuer).
  • The number one priority of the Club is to ensure that its occupation continues in the current premises for a minimum of the next 15 years, at a discounted rent and with security of tenure.
  • Free access to new car-parking areas for the exclusive use by Club patrons, with either the same or more than currently exists today.
  • Recent media reports about an offer made to the Board, regarding a purchase/lease is being explored as part of our due diligence to the Club. More details will be disclosed as they become available.
  • Proposed layout of the Club will be available on Monday, 26 February 2018.

The decision to refurbish our Headquarters is entirely in the discretion of the Club’s members. You can be assured that the current planning application is only one of several options the club is exploring which is for the primary purpose of ensuring the Club remains a vibrant part of the community. Regardless of whether there are any renovations undertaken, the VCAT case (which ended this week) resulted in the Club being allowed to buy the land and explore its options. Mordy HQ is here to stay.

From this point forward, you will be communicated with weekly, and you will see updates on social media accounts and the website. This Club belongs to all of you and we know how important it is to the community.

On Tuesday evening at 7pm, we will have a Life Members and Financial Members only information evening. This will ensure that we communicate all the details to you face-to-face, and that you can ask any questions that may concern you or that addresses rumours or information that is in the public domain that is misleading to the facts of the situation.

Your attendance on Tuesday would be greatly appreciated. To assist with seating arrangements, please RSVP to via email to nwoinarski@mordyhq.com.au. In the interim, expect the Board to continually communicate all information as it comes to hand to you.

Yours sincerely,
Andrew Wise (On behalf of the full Board)
Secretary – Mordialloc Sporting Club

Download the Members Update issued 23 February 2018


LETTER TO OUR LIFE & FINANCIAL MEMBERS

From: Board of Management, Mordialloc Sporting Club Inc.

This letter is to update members on important recent developments and future plans for the Club as we enter 2018.

1. Our MordyHQ Venue – 528 Main Street Mordialloc

The Club first commenced leasing the Venue in 1997. The Club’s lease was due to expire in 2017.

After negotiations in 2016 with the current landlord (John Barr Investments Pty Ltd), we were unable to reach agreement for another long-term lease on terms which were commercially viable for the Club.

However, we also had the option to purchase the Venue from the landlord. As we saw it as vital for the Club’s future that it continue to operate from the Venue, and the new lease offered by the landlord was not commercially viable for the Club, we exercised the option to purchase the venue in January 2017.

The landlord initially disputed the Club’s right to exercise the option to purchase the Venue. We were therefore forced to commence proceedings in VCAT to enforce that right. In December 2017, the landlord eventually consented to an order by VCAT declaring that the Club had validly exercised the option to purchase the Venue by the Club’s notice given in January 2017. Regrettably, significant legal costs have been incurred by the Club in the VCAT proceeding. The next step is for the price for the purchase of the Venue to determined under the provisions of the lease.

Members can rest assured that at all times the Board of Management has made decisions regarding the Venue with the interests of the Club and its purposes in mind.
In particular, by ensuring that the Club remains commercially sustainable through the long-term operation of the MordyHQ Venue allows the Club to meet its core purpose to support, promote and foster sporting activities, specifically to underpin the MFNC, MCC, MSRFC and our Junior Redbacks programs, and by doing this, giving them the opportunity to grow and thrive for this and future generations.

2. Our new Sporting Pavilion, Ben Kavanagh Reserve, Mordialloc

Your Club, through the Board of Management has negotiated for well over a decade with Local and State Governments for funding support to establish a new sporting home for our constituent clubs.

Ben Kavanagh Reserve and the old HA Droop pavilion have been and remain the Club’s spiritual home, especially for our AFL and cricket clubs.

The MFNC and the MCC have been servicing the communities need for sporting pursuits for over 138 years and with all of our clubs significantly growing across juniors, men’s and women’s areas we have been desperate for a new, modern and larger facility.

The Club is financially contributing over $350,000 in cash and assets directly into the new HA Droop pavilion. This is another part of the story of the critical link between our commercial operations and our sporting operations, in terms of one supporting the other.
Importantly, and counter to some social media speculation, the new HA Droop pavilion is to fully service the day to day operational needs of Football, Cricket and Netball, as the Club works work hard in those areas to grow the sporting families through on-field and off-field successes.

There is no capacity, intention or indeed statutory permission to move any Gaming operations to Ben Kavanagh and the new pavilion. MordyHQ on Main Street is our commercial Hospitality and Gaming home.

We are excited as well to have the local St. John’s Ambulance as a sub tenant of the new pavilion. There strong synergies between our Sporting Clubs and St. John’s.
The City of Kingston are Project Managing the builder, DURA with stakeholder input from the Club. Our current advice (Jan 2018) is 1st Phase occupancy is due April/May 2018, with full occupancy to follow closely after that, the actual date of occupancy has not been confirmed through the City of Kingston.

In Summary

Your Club, through its Board of Management has been working hard and diligently over the past five years, through increasingly challenging environments, to get to this point in 2018 where the Club is as well positioned as ever in its 138 year history to survive, grow and thrive well into the future by retaining, renewing and establishing our two core club venues, MordyHQ at 528 Main Street and a new HA Droop Pavilion at Ben Kavanagh Reserve.

We hope this letter assists the understanding of our Financial and Life Members of some of the key Club issues we have been facing and working on. It is important to remind ourselves that the Mordialloc Football Netball Club, the Mordialloc Cricket Club, the Mordialloc Superules Football Club and Mordialloc Junior Redbacks make up the ONE club the Mordialloc Sporting Club Inc.

We will update members with further developments on key issues at appropriate times.

Go Bloodhounds!

Regards
Board of Management
January 2018

Download the Members Update for January 2018


Mordialloc Sporting Club Board Update to MSC Members – Friday 15th December, 2017

Dear Members of Mordialloc Sporting Club,

We are pleased to report that on 13 December 2017 the Landlord accepted that the Club has validly exercised the option to purchase the premises. As a result, the Club has now secured its long-term future at the venue.

As always, in the event that Members wish to discuss any aspect of the Club’s tenure, they should not hesitate to contact the Secretary, Mr. Andrew Wise, for further information.

Kind regards,

Mr. Andrew Wise
Director / Secretary
T : 03 9586 7900
E : awise@mordyhq.com.au
Mordialloc Sporting Club


Chairman’s Update to MSC Members – November 2017

Dear Members of Mordialloc Sporting Club,

  • As previously stated the club is fully committed to securing a long term future at the Venue(MordyHQ)  and is pursuing settlement with the current owner/landlord under our rights detailed in the Lease.
  • We recently completed the first phase of the VCAT process namely a compulsory conference between the parties, with both parties still in disagreement the process moves onto the next phase which will be a formal hearing at VCAT to be held on March 28th 2018. The club and its advisers remain confident in our position to see a positive outcome for our organisation.
  • Until that time we are trading as normal and in fact are implementing numerous operational changes and marketing programs to better position the Venue operations commercially. It is a challenging time in the Gaming and Hospitality industry and we need to implement change to keep our profitability intact. It is important that all members continue to engage and support the Venue during this time.
  • We are in a position to release more information surrounding our enactment of rights under the Lease to purchase the Venue and secure a long term future for our clubs. The club has partnered with Infrastructure and Building Financing and Investment  company AusFinanceGroup (AFG) to secure the funding to purchase the Venue, the exciting and core aspect of this partnership is that upon successful acquisition of the property at 528 Main Street –  AFG will facilitate a full refurbishment and renovation of the main venue facility, this is the critical aspect of what the Club is trying to do here. The current facility is tired, poorly designed and not suited to the new challenging gaming and hospitality marketplace. Without significant renovation the current facility will never enable the Club to grow and sustain the business.
  • Some exciting news on new marketing and patron offerings will be made in the coming weeks as part of the re-invigoration of the business, please keep engaged with our website for details.
  • IN THE MEANTIME PLEASE SUPPORT THE CLUB’s MORDYHQ & MORDYHQ INDOOR SPORTS BUSINESSES!

Ben Kavanagh Pavilion Re-Development Update (November 2017)

  • Building works of the new pavilion continue into November. We have been advised by the builder and council that progress is on track to having at least the downstairs sections available for use for the start of football (April 1st 2018), the cricket club currently runs out of temporary portables for this summer season, football pre-season will need to be held off site for this year as well.
  • Importantly, we have secured a number of original bricks from the old pavilion from the council – that our Club will utilise in an exciting fundraiser, more details very soon.

Club Land….(November 2017  Update)

  • Recently both our Senior Football/Netball (MFNC) and our Supers football (MSRFC) clubs appointed new leadership teams, we thank previous administrations of both clubs and wish the best for our new teams going into the 2018 season. Our three core club Presidents are: Aaron Martello (MCC), David Burbidge (MSRFC) & Dave Cox (MFNC).
  • Please give them your support. In addition,  our Juniors Redbacks  sporting club leaders are Gerry Barden (Junior cricket) and Brendan Swifte (Junior AFL).
  • Together they bring a wealth of experience, dedication and passion to developing and sustaining our sporting clubs into the future. Each President will be sitting with the MSC Board Executive in the coming weeks to ensure the link between the Board and our sporting sub-committees is strengthened.

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Go Bloodhounds!

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