After the foreseeable debacle a year or two ago, it looks like Dover has found another buyer for its abandoned Nashville Superspeedway property. This time, the buy actually looks legit.
http://www.tennessean.com/story/money/real-estate/2016/08/25/nashville-superspeedway-purchased-nashville-real-estate-firm/89371334/
Nashville Superspeedway to be sold to developer Panattoni
One of the Nashville area's largest industrial developers has agreed to buy Nashville Superspeedway in a deal valued at $44.7 million.
Newport Beach, Calif.-based Panattoni Development Co.'s agreement with the track's owner, Dover Motorsports Inc. (NYSE: DVD), opens up redevelopment possibilities for the nearly 1,400-acre site in Wilson County's Gladeville community.
"It starts with a clean sheet and certainly there could be any number of components in there," said G.C. Hixson, executive director of the Joint Economic & Community Development Board of Wilson County. "We have great confidence in Panattoni and the projects they've done in our community already and are interested in working with them in any way we can."
Under the agreement that Dover Motorsports announced Thursday, Panattoni will buy the Superspeedway facility along with some related equipment and assets for $27.5 million in cash. In addition, the industrial, office and build-to-suit developer will assume Dover Motorsports' outstanding bond obligations totaling $17.2 million.
Upon completion that's targeted for early next year, the sale would end Dover Motorsports' lengthy efforts to sell the Superspeedway, which was largely shut down in 2011. Opened in 2001, the facility couldn't attract a Sprint Cup Series NASCAR race and major events drew sluggish attendance.
Panattoni is no stranger to Wilson County and the overall Nashville area.
In that county east of Nashville, the company has developed or controls more than 300 acres in various developments mostly in Mt. Juliet. That includes developing a 1.1 million-square-foot distribution center for sportswear maker Under Armour, which opened in Mt. Juliet last year.
More recently, Panattoni has expanded its presence in Nashville's office market. The company developed a five-story, 98,000-square-foot building at 35 Music Square East, where Panattoni shares local headquarters with performing rights organization SESAC and the Country Music Association, with another major office project on the drawing board for that Music Row area.
In Nashville's Brick Church Pike area, the company is developing a 600,000-square-foot warehouse park to be called Skyline Distribution Park.
Dover Motorsports entered an agreement to sell the track to NeXovation Inc. in May 2014 for nearly $46 million $27 million in cash and the assumption of about $18.8 million in bond obligations owed to Wilson County.
NeXovation, however, defaulted on the agreement when it failed to make a required $1.5 million deposit to replenish the escrow account after a closing deadline was extended.
NeXovation had invested about $2.9 million into the track, much of it reported to be nonrefundable. Specifics on how NeXovation planned to use the property hadnt been revealed.
In 1999, the Wilson County Sports Authority issued the bonds that are involved in the Dover Motorsports-Panattoni deal in order to build certain infrastructure improvements benefiting the speedway. Debt service on the bonds, which have a remaining principal balance of $17.2 million, is payable from property and sales taxes generated by the facility.
Wilson County and local city officials beyond economic development chief Hixson are excited about Dover Motorsports' agreement to sell the Superspeedway to Panattoni.
The great thing is it gets it into the hands of people who will develop it, Lebanon Mayor Philip Craighead said. I dont know a lot of details, but the way it was sitting there unused it could have a positive (impact) on Wilson County.
If it has sold thats wonderful news and Im thrilled, added Sonja Robinson, the Wilson County commissioner of the area the racetrack is in.
Were looking forward to some changes out there because it hasnt been used much, said Wilson County Commissioner Jeff Joines, who wasnt aware of details about the sale.
--
Schaefer: It's not just for racing anymore.
updated by @tmc-chase: 12/05/16 04:04:08PM
