BREAKING: Hard Rock Park Bankrupt: Files Chapter 7

[The Interpreter]

Also, even if there are bidders, the judge may or may not approve the sale. His/her role is to best protect the interests of the various creditors.

[Cory Butcher]

Well that article mentions several interesting bits of information. First, that PARC management was interested in the property, although apparently not interested enough to submit a formal bid on Hard Rock Park.

The company that came through and bought up Six Flag's cast-offs does not want HRP....That speaks volumes, not just of HRP, but also of our current economy.

[The Interpreter]

Hard Rock's reopening not likely before 2010, state official says; minimum bid set at $35M:

http://www.charleston.net/news/2008/dec/16...heme_park65159/

Interesting quote:

..."The failure of the operation does not reflect on the overall market," Prosser [director of the state Parks Recreation and Tourism Department] said.

"The previous group did not spend the money they needed to spend to market it."

He said having an empty amusement park doesn't hurt Myrtle Beach, which is the biggest draw in the state's $16 billion a year tourism industry.

But, if open, the park would draw new visitors to the area, Prosser said...

[RailRider]

Should be interesting to see what develops by the end of this week.

[The Interpreter]

And the ripples continue...or...Grand Strand Cabbies Not Fare-ing Well:

http://www.scnow.com/scp/news/local/grand_...ing_well/23956/

[RailRider]

You know in my 15+ visits to Myrtle Beach I have never once taken a cab. Usually when on vacation I do, but in Myrtle Beach I have never had the need. Plus depending on where you stay and where you want to go the fees can be outrageous.

[The Interpreter]

No new owner for Hard Rock Park:

http://www.scnow.com/scp/news/local/grand_...ock_park/24122/

Alternatives sought:

http://www.myrtlebeachonline.com/679/story/713385.html

[Cory Butcher]

Wow, total disarray. It sounds like they will keep the park intact if it is too expensive to remove the rides than to leave them sit. Obviously PARC is interested they just don't have the funds is how it sounds.

[The Interpreter]

It is NOT total disarray. The park is now in the hands of the court, whose obligation is to serve justice. The creditors will be represented by a trustee in bankruptcy, who will doubtless pursue the liquidation of the bankrupt's assets...i.e., sell off the rides and other personal property and offer the real property for sale at auction as unimproved land. Unless, of course, a viable proposal QUICKLY emerges that serves the interests of the creditors while allowing the park to continue. While possible, this doesn't seem very likely at the moment.

[Beast1979]

"Hey, let's make a really cool park in the middle of nowhere during a recession, overprice it, and see what happens."

I don't think that was what they were thinking at the beginning but it does seem like that to me.

[The Interpreter]

It speaks volumes that in today's economy, no one was willing AND ABLE to bid $35 million for Hard Rock Park as a going concern located where it is...meanwhile, just over two and half years ago, Cedar Fair paid $1.24 BILLION for the five Paramount Parks.

[Cory Butcher]

It is NOT total disarray. The park is now in the hands of the court, whose obligation is to serve justice. The creditors will be represented by a trustee in bankruptcy, who will doubtless pursue the liquidation of the bankrupt's assets...i.e., sell off the rides and other personal property and offer the real property for sale at auction as unimproved land. Unless, of course, a viable proposal QUICKLY emerges that serves the interests of the creditors while allowing the park to continue. While possible, this doesn't seem very likely at the moment.

Easy now, I should have stated who I felt "total disarray" was referring to. What I was referring to is the idea of the people who created Hard Rock Park, those who tried to operate it, and now the process to give the park to a new buyer falling through. Up until the newest court preceding, The whole instances surrounding Hard Rock Park exhibited a lack of order.

The whole story behind Hard Rock Park was a mangled, orderless mess. So yes, I would say that aside from your court preceding the whole thing has been in disarray, and Bankruptcies typically are messy for everyone involved.

Not to mention, supposedly many people who thought about evaluating a decision on whether or not to buy Hard Rock Park filed complaints saying they were not given adequate time to make a decision, a decision that very well could have given the creditors more of what they were due than an all out liquidation. Or it could have yielded less. A lot remains to be seen, lets just hope that the court doesn't put together the same type of executive board that was put together multiple times to salvage Conneaut Lake Park.

Obligation does not always match up with Duty. Let's hope it does here.

[The Interpreter]

If the creditors believe more time would result in them recovering more of the debts they are owed, they, too, will want the court to grant more time. As you say, time will tell. . .

[Beast1979]

Cedar Fair paid $1.24 BILLION for the five Paramount Parks.

Which right now doesn't seem as stupid as it was back then.

[The Interpreter]

Really? Seems to me they bought at the very top of the market...and Cedar Fair has a large debt that will at some point have to be refinanced. Perhaps by then the current credit crunch will be over...if it is not, it could get very, very ugly.

[Dvo]

I'm offering $10 for Hard Rock Park. What say you, judge?

[The Interpreter]

The judge had a minimum bid of $35 million. I think $10 would get you laughed out of the courtroom. Unless, of course, that was $10 and you assume all the debts (and had the wherewithal to pay them).

[RailRider]

Funny, if this were 5 years ago we would be looking at Six Flags Myrtle Beach today.

[tigellinus]

^^Haha!! However, I have a feeling "SFMB" would have gone the way of SFDL, SFEG, etc.!!

[flightoffear1996]

Its hard to create a new Theme Park in todays market. Amusment park industry is all rready well established and it would just be stupid to make a new park now. Its me trying to write an OS to try and compete with windows. Its just nto happening. Is hard rock park owned by hard rock cafe?

[RailRider]

No Hard Rock Park has nothing to do with Hard Rock Cafe, they only paid for naming rights. Very expensive naming rights.

A park can succeed right now, even a brand new one. There are many factors to why HRP failed.

Just because an insdustry is well established does not mean new players cannot enter the market and become successful.

[Cory Butcher]

Yeah but barriers to entry are tough. The Amusement Park Industry, is very much an oligopoly.

[Beast1979]

Hard Rock Park did many things that led to their demise, like putting it in Myrtle Beach and not somewhere like LA with a big market, Overpricing the bajesus out of it, but entering the amusement park industry right now is difficult and was definately one of the biggest factors.

[RailRider]

A park could be very successful in Myrtle Beach. HRP did not know their market, hence their failure.

[The Interpreter]

And, in addition to poor marketing and bad location, you can add a certain arrogance that resulted in:

* initial refusal to discount in any way

* very limited promotion as "our product is so good, we built, they will come."

[The Interpreter]

Hard Rock Park: No One Knows What's Next:

http://www.carolinalive.com/news/news_story.aspx?id=237912

Creditors Left To Wait Longer:

http://www.scnow.com/scp/news/local/grand_...ark_case/24375/

[Beast1979]

"we built, they will come."

Ooooo, there's a line that has been stabbed, shot, cremated, and launched into space by the Amusement Park Industry.

Wow, Spell Check is Awesome.....

[jzarley]

And, in addition to poor marketing and bad location, you can add a certain arrogance that resulted in:

* initial refusal to discount in any way

* very limited promotion as "our product is so good, we built, they will come."

And, what appeared to be a complete lack of understanding that Myrtle Beach *isn't* Orlando. I think one of the things that could have helped them the most would have been a "twilight" promotion with substantially reduced admission after 5:00p. (Park hours of noon-midnight probably also would have been a good idea...) People do two things during the day at MB...beach or golf.

I remember reading an article while HRP was under construction that worried about rather MBSC had too small of a full-time population to support a park like this. One interesting fact that the article mentioned was that Orange County Florida (Orlando, essentially) had a bigger year-round population in 1970 than Horry County did in 2004.

But, it really was a nice park...I had a great day there. (Although, I'm sure the complete lack of crowds helped contribute to that...)

[The Interpreter]

Hard Rock Park, Like it or Not, Was One Of A Kind:

http://www.myrtlebeachonline.com/business/story/716248.html

[CedarPointer]

I could have seen this turning into a Guitar Hero park...