Arizona Sports-Complex Bondholders Are Nearly Wiped Out in Sale.

BONDHOLDERS; EQUITY stake; BONDS (Finance); BANKRUPTCY; SPORTS business; DEFAULT (Finance); DEBT; RESTAURANTS

A bankrupt youth-sports complex in Arizona has been sold, resulting in significant losses for bondholders. The complex, known as Legacy Park, was financed with $280 million of bonds issued in 2020 and 2021. However, the facility struggled during the pandemic and eventually defaulted on its debt. As part of the bankruptcy, the complex was purchased by an affiliate of Rocky Mountain Resources for approximately $26 million. Bondholders will receive $2.4 million in cash and an 11% equity stake in the new ownership entity. The new owners plan to form alliances with national youth-sports organizations and explore adding hotels, restaurants, and retail shops to the complex. [Extracted from the article]

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