This from this weeks Coaches Comments at
http://www.wwtfc.com.au/eagles-footy-co ... ade=seniorWithout a game of football for us on the weekend I thought I might make an observation of football rather than comment on us this week. Recently I was in North Adelaide and found myself looking at the impressive Brougham Apartments and couldn’t help but think of an analogy between a large apartment block like this and the AFL. It is of most significance to the SANFL and other State leagues, as well as junior grassroots football in general I think.
What I saw was the AFL as a large apartment structure, with an already burdening group of penthouses, which is putting pressure on the smaller apartments in the levels below. Some of the penthouses are struggling to repay costs as it is. As with any tall structure, if the foundation and base is not strong any addition to the top buildings will cause weaknesses in the levels below. We have already seen a lot of the bottom apartments sink below ground level because of the top heaviness of the building.
With this knowledge we still see the shareholders of the building wanting to build more penthouses because of the large, quick return that they may yield. This will undoubtedly put more money in the shareholders’ pockets in the short term, but apart from the concerns to the building’s stability, there will also be a need for more tenants.
As with any higher density living, a lot of these tenants won’t be able to maintain the standards needed to live in the elite premises, so we will see the value of the whole property diminish. Of most importance though is that more buildings at the top may eventually cause the whole structure to collapse because of these weaknesses below. What will we be left with?
Hopefully there will be enough interested people who will be willing to rebuild it again if it has fallen. They may choose however to put their resources toward another, more stable enterprise or something with international appeal. This may have more attraction to buyers, especially if their new dwelling is modern, comfortable, built close to the city with the appeal of public transport nearby and also with multiple entertainment alternatives in the precinct on offer.
Perhaps the stakeholders need to look at reducing the total number of penthouses and make a smaller group of the very best quality properties at the top of the building to attract the most elite tenants, who will then guarantee the property is valued highly. They could then put further resources into stabilising the sub-penthouse apartments, helping them to maintain quality to ensure the gap in standard between them and the penthouses doesn’t widen any more.
More could also then be put into stabilising the foundation and base to ensure that the structure will stand up forever. The profits may not be as big in the short term but the long-term dividends will end up being far more beneficial for all concerned. The whole building may then last for many generations to come. It is just an observation.
See you at Woodville Oval this week where we take on North Adelaide.
Ron Fuller