Swansea Council has handed over operational control of the Liberty Stadium to Swansea City AFC in a deal which will see the authority receiving an annual income from the ground for the first time.
It will see the Premier League club pay annual rent to the council as well as providing a share of any money from the stadium naming rights.
The Swans will also commit to building 3G sports pitches in communities in Swansea as part of its arrangements with the Premier League.
The changes took place on February 16, at the Liberty Stadium in an arrangement that will benefit the football club, the Ospreys and the council for years to come.
The council-owned stadium, which was built in 2005, had been run by a tripartite agreement between the council, the Swans and the Ospreys – all of whom have representation through the mutually controlled Swansea Stadium Management Company (SSMC).
As part of the new agreement, the football club now has have sole control of SSMC and the stadium in the future.
The agreement would also allow the council to begin receiving direct revenue from the stadium for the first time ever through guaranteed rental payments.
The move gives Swansea the ability to control its own destiny and stay competitive with other Premier League clubs by tapping into new revenue streams at the stadium.
Chris Pearlman, Swansea City’s Chief Operating Officer, said: “We believe this agreement will help push the club forward by tapping into new revenue streams at the stadium.
“It will now allow us to be more active in exploring the likes of stadium expansion, naming rights, sponsorship, catering revenue and enhancing supporters’ matchday experiences.”
A unique component of the new arrangement is a commitment by the football club to fund the construction of two new 3G pitches in Swansea every five years for community use. Now that the agreement is in place the club will begin to focus on moving this initiative forward.