Friday, Nov. 14, 2008

Hard Rock Park sets minimum price for auction

Got $3.5 million?

That's enough for a minimum down payment on the $400 million Hard Rock Park, which will go up for auction on Dec. 15, according to court documents filed this week.

The 55-acre park, which opened in April and closed in Chapter 11 bankruptcy in September, is looking to sell off its assets - either in whole or part by part - and is accepting bids up until Dec. 12.

Similar stories:

• Creditor takes action to reclaim money from Freestyle Music Park

  Creditor takes action to reclaim money from Freestyle Music Park

  Creditors are taking the next step in court to claim a $570,000 debt owed by Freestyle Music Park, according to court documents filed Tuesday, after the park missed its April 1 deadline to pay.

  John Carroll, attorney for Freestyle's predecessor Hard Rock Park, filed a certification in a Delaware bankruptcy court confirming that Freestyle's owner, FPI MB Entertainment, has not paid the debt. FPI MB inherited the debt when it purchased the park out of bankruptcy in 2009.

  The court will now issue a ruling in Hard Rock's favor, the documents said, paving the way for further litigation. If Freestyle takes no action to pay the debt, creditors can file a lien on the park and foreclose on the property, said Allen Jeffcoat, a bankruptcy attorney who is not affiliated with the case, in an interview earlier this month.

• Companies push court for rulings on Freestyle Music Park

  Companies push court for rulings on Freestyle Music Park

  A financial firm and automaker are pressing for rulings against Freestyle Music Park, after the park failed to answer lawsuits filed against it.

  Tetra Financial Group and BMW filed separate requests in federal court, calling for a default ruling to be issued against Freestyle for the park's failure to respond. A default ruling would find Freestyle at fault and require it to pay the damages.

  Tetra originally filed suit against Freestyle in September for failure to pay a $400,000 debt, but the park has not reacted by pleading or defending itself, according to court documents filed last week. FPI MB Entertainment, Freestyle's owner, inherited the debt owed to Tetra Financial Group when it bought the former Hard Rock Park out of bankruptcy in 2009.

• Freestyle Music Park creditors turn up pressure

  Freestyle Music Park creditors turn up pressure

  A financial firm and automaker are pressing for rulings against Freestyle Music Park after the park failed to answer lawsuits filed against it.

  Tetra Financial Group and BMW filed separate requests in federal court, calling for a default ruling to be issued against Freestyle for the park's failure to respond. A default ruling would find Freestyle at fault and require it to pay the damages.

  Tetra originally filed suit against Freestyle in September for failure to pay a $400,000 debt, but the park has not reacted by pleading or defending itself, according to court documents filed last week. FPI MB Entertainment, Freestyle's owner, inherited the debt owed to Tetra when it bought the former Hard Rock Park out of bankruptcy in 2009.

• Freestyle Music Park creditors close in

  Freestyle Music Park creditors close in

  Creditors took the next step in court to claim a $570,000 debt owed by Freestyle Music Park, according to court documents filed Tuesday, after the park missed its April 1 deadline to pay.

  John Carroll, attorney for Freestyle's predecessor Hard Rock Park, filed a certification in Delaware's federal bankruptcy court confirming that Freestyle's owner, FPI MB Entertainment, has not paid the debt. FPI MB inherited the debt when it purchased the park out of bankruptcy in 2009.

  The court will now issue a ruling in Hard Rock's favor, the documents said, creating a lien on the property and paving the way for further litigation.

• Court rules against Freestyle Music Park

  Court rules against Freestyle Music Park

  A federal judge has awarded a Utah company nearly $14 million after the owners of Freestyle Music Park failed to respond to a lawsuit, according to court documents.

  The ruling is the latest in a series of setbacks for the shuttered park, whose owners say they are still searching for new backers.

  Tetra Financial Group filed a lawsuit in September seeking money for outstanding leasing payments, taxes and fees owed by the park.

Qualified bidders must show they can meet the minimum $35 million price, put up 10 percent of that as cash, and prove they have enough money and experience to run the business, according to court documents filed in Delaware bankruptcy court.

A spokesman for Hard Rock Park did not return requests for comment.

Whether the park's future owners will stick with the Hard Rock theme is still unclear.

The park licensed the brand name from the cafe company for at least $2.5 million a year, according to court documents filed by creditor Deutsche Bank Trust Company Americas. But Hard Rock International has not yet determined whether it will allow the park's new owner to renew the agreement, court documents show.

Read the full story in Saturday's edition of The Sun News.

Related | Hard Rock Park withdraws severance pay request