Geauga Lake land will be sold -- in pieces

[PhantomTheater]

http://www.crainscleveland.com/article/20130304/SUB1/303049984/0/FRONTPAGE

Not the full article, but one should get the point.

[malem]

Here's the full article: http://www.crainscleveland.com/article/20130304/SUB1/303049984&template=printart

[westcoaster]

But Cedar Point kept 200 acres, lots of land for such a small water park, that has not seem to grow:

[74Gibson]

Sorry to those who are bitter about the circumstances around it closing but it is nice to see CF getting some increased revenue out of the site. I'm also glad to see some movement toward getting that site cleaned up and looking less like a graveyard of good times past.

[AintNutinElse2Do]

Selling off pieces of a huge parcel of land without a master plan doesn't sound like a great idea. Granted it will generate some revenue for Cedar Fair but at best it will all get sold off in the individual pieces and then there will be a patchwork of developments. As much as I despise Gaylord for turning Opryland into a shopping center at least it was a cohesive plan. Hopefully at least a large portion of the land will be bought for a cohesive development, something like Newport on the Levy or Broadway at the Beach. Sure I'd rather see an amusement park there but that's has nearly 0 chance.

[Maverick00]

$15 million for the entire property? That seems very low.

[RollerNut]

Why would they need a master plan for land that someone else will develop?

[AintNutinElse2Do]

Why would they need a master plan for land that someone else will develop?

Ya I see your point there, but in the least the land could be sold with architectural provisions for development just as in most subdivisions and some cities like Gatlinburg. That way at least things wouldn't be so mismatched and there would be some uniformity across the land being up for sale. Granted I do think having a master plan and leasing the property rather than selling would give better control of the property and in the end would likely raise more money than a flat out sale. I just wonder what will happen if they only end up getting rid of half of the property (which would likely be the most desirable pieces) what do you then do with the remaining?

[The Interpreter]

Why would you think a restrictive master plan would increase the value of the property?

Terp, who likes to ask questions.

[shark6495]

My question, a serious one that anyone can answer, is this. What do they plan on bringing into that area? Jobs? Golf Course?

I ask because its not like the land is easily accessable.

However, if I was a retired worker with a good bank role, I wouldnt mind buying 3-4 acres of land with access to the lake. 30K per acre would be about 120K investment into retirement property... plus property building, you are looking at about a 200-250K investment in totality... maybe in a few years that would be a 500K valued property. Or it could be a very bad part of town and could only be worth 100K or less...

[AintNutinElse2Do]

Why would you think a restrictive master plan would increase the value of the property?

Terp, who likes to ask questions.

For the same reason people buy houses in subdivisions, no one wants to build a million dollar home next door to a trailer. Perhaps this doesn't translate as well in this situation but I do think businesses are more interested in building a new location in an exciting new development vs one that's being haphazardly thrown together.

[Browntggrr]

^ Why would building in a subdivision prevent the extreme circumstance you suggested?

[Leland Wykoff]

Cedar Fair on February 25, 2013, included an impairment of assets area in its 10-K Form. That impairment was for $25 million on both the Whitewater Kingdom and adjacent non-operating Whitewater Kingdom (read Geauga Lake parcels). From the filing:

At the end of the third quarter of 2012, the Partnership concluded based on 2012
operating results through the third quarter and updated forecasts, that a review
of the carrying value of operating long-lived assets at Wildwater Kingdom was
warranted. After performing its review, the Partnership determined that a
portion of the park's fixed assets were impaired. Also, at the end of the third
quarter of 2012, the Partnership concluded that market conditions had changed on
the adjacent non-operating land of Wildwater Kingdom. After performing its
review of the updated market value of the land, the Partnership determined the
land was impaired. The Partnership recognized a total of $25.0 million of
fixed-asset impairment for operating and non-operating assets during the third
quarter of 2012.

This helps explain why the prices are so low on the properties. Cedar Fair has taken a write down on the carrying costs of the assets. Now they are recognizing the value of the properties more in line with current market conditions. This could be taken as a sign CEO Matt Ouimet is ready to divest the surplus Geauga Lake property, eliminate criticism over the eye-sore of an abandon park, and focus management attention on productive assets and new business.

Link to the complete 10-K filing here:

http://biz.yahoo.com/e/130225/fun10-k.html

[vortexfan]

Without being able to see the full article, it's difficult to properly comment on the situation... That being said, I think attempting to sell off the land in smaller pieces is a good decision. It will create the incentive for smaller-scale development at first which will hopefully lead to some positive agglomeration effects in the area.

[Creed Bratton]

Either way, I hope that with the sale of these parcels, the waterpark will get some sort of love. I've never visited but I know many who would like for some love to be shown to the water park.

[Maverick00]

I think it's better to sell the land in smaller pieces but I have trouble understanding how that would work. If someone buys 5 acres rig in the middle of the park, they'll have to build a road but I would think it would get very unorganized. I feel like there needs to be some sort of a master plan or else you get random properties all over the place.

[AintNutinElse2Do]

^ Why would building in a subdivision prevent the extreme circumstance you suggested?

Just in the manner that many subdivisions have rules about what you can build. How tall you can build, how many square feet, type of construction, what exterior treatments you can use, etc. For all I know some of these conditions may exist in the sale or are already faced by strict zoning requirements. I unfortunately know very little about the area up there and haven't seen how they've laid out the plots. I guess there just isn't a buyer for the place as a whole and looking at the filing I guess it's more about cutting losses so I'll digress. On the other hand Cedar Fair is in the business of creating spending through entertainment, could that not be a good fit for mixed use retail developments? Especially with Matt at the helm I think they could do some great things just not in the business of such.

[Browntggrr]

^ My subdivision has no such restrictions, and if they did, I would never have bought my home. I also don't see how there is no master plan.

Full article:

March 04. 2013 4:30AM
Geauga Lake land will be sold -- in pieces

Cedar Fair's new strategy for 500 acres of closed amusement park property is taking offers for parcels as small as 3.5 acres

By STAN BULLARD
About 500 acres at the closed Geauga Lake amusement park in Aurora and Bainbridge is back up for sale as the real estate market makes its slow ascent from the depths of the recession, though at a far shallower rate than the roller coaster that made the park famous until it closed in 2007.

Marcus & Millichap associate Cliff West has started marketing the property, but with a new strategy he believes suits today's slow-go real estate market better than past efforts to locate a single buyer for all the land.

Edited March 6, 2013 by CoastersRZ
Please note copying and pasting full articles, when featured on a pay site like that is NOT a good idea. Edited to remove full article.

[XGatorHead 8904]

^ My subdivision has no such restrictions, and if they did, I would never have bought my home. I also don't see how there is no master plan.

Same here. When we were looking for houses, it was very important to me that there not be an HOA (or Home Owner's Association for those of you not familiar with the term). I do not need anyone telling me what color I can paint my house, when I have to have my Christmas lights down by, where I can and cannot plant a tree, or that my grass is .03 centimeters over acceptable limits, all while paying dues to allow them to restrict me.

[Maverick00]

The only restrictions my development has is no fences. You might say that's a terrible idea but it's nice. You can see right up and down the street and you feel you're all connected and it's open.

[Oldiesmann]

Here's the full article: http://www.crainscleveland.com/article/20130304/SUB1/303049984&template=printart

Interesting loophole you found there!

[Original]

It really makes me sad to see it gone. I know a couple of my teachers who had spent some of their best childhood memories there.

[Big Woody]

I remember the Raging Wolf Bobs. Really miss that thing. I dream about building an amusement park that collects old coasters and refurbs them. "Cmon down this weekend and ride the Screechin Eagle! "

[Dieseltech20]

The only restrictions my development has is no fences. You might say that's a terrible idea but it's nice. You can see right up and down the street and you feel you're all connected and it's open.

Not even in the Back Yard? That means no Dogs either, I assume?

I prefer to not be connected to my neighbors, lol.

[Maverick00]

Nope not even in the backyard. Many people use that aerial dog run thing that connects from your house to a tree in a yard so they can go back and forth and be hooked up.

[TheCrypt]

^Why don't they use an invisible fence for the dog?

[The Interpreter]

Many object to the "gentle correction" those systems deliver.

I've often wished it worked on park linejumpers!

[BavarianBeatle]

CF is still happy that they eliminated a competitor, which was always their plan.... Now there's only one competitor left, Action Zone has been dismantled, The Crypt is gone, Vortex, Flight Deck, The Racer (like Raging Wolf Bobs) and Adventure Express are on their last legs......... And, as many people have posted on this very site, Soak City could be a stand alone park........

[TTD-120-420]

I can't tell if you are trolling or if you really think that they are trying to eliminate Kings Island...

Why would they add Diamondback for $20+ million dollars if they were just going to make it into one big water park?

[TheCrypt]

Part of me thinks you're serious, and part of me things you are trolling.

Adventure Express, Flight Deck, The Racer, and Vortex are not on their "last legs," even if they are not in their absolute best condition. The Racer has seen tremendous track work done over the offseason, as I'm sure the other attractions have seen as well. You also seem to overlook the fact that over the past season, Adventure Express and Flight of Fear's theming has seen drastic improvements, as well as Backlot Stunt Coaster the year before. Also don't forget Soak City was majorly revamped last season alongside general park improvements to the dry side such as new shows, better food, and friendlier staff.

The park is the of the highest performing parks in the chain and to insinuate the park will close because it is in Ohio is hardly accurate.