SANTA MONICA, Calif. -- Great American Family Parks Inc., a company focused on buying and managing profitable regional theme parks and themed amusement attractions, said that it has completed the first part of a planned two-stage transaction to sell its Crossroads Convenience Center (CCC) business to Idaho Chevron Center Inc.
The initial phase of the transaction closed on October 31, and involved the sale of a portion of CCC's assets for a purchase price of $600,000 pursuant to an asset purchase agreement. The planned second phase of the transaction, [image-nocss] which is expected to close within the next 30 days, involves the sale of CCC's building and real estate.
The CCC assets sold pursuant to the asset purchase agreement consist of the fuel and retail business located adjacent to The Idaho Center, a regional entertainment complex in the Boise area. The total purchase price of the assets consists of $300,000 paid in cash, as well as a secured conditional promissory note in the amount of $300,000. The promissory note has a term of five years and bears interest at the rate of 8% per year. The asset purchase agreement also includes an option, exercisable on or before November 30, to purchase the real property owned by CCC pursuant to a separate real estate purchase agreement.
Larry Eastland, CEO of Great American Family Parks, said, "We have worked tirelessly to build [CCC] into a successful franchise. The value of the [CCC] business has benefited from a strong real estate market and a steady rise in fuel prices. This is the right time to sellas we believe the sale price reflects the intrinsic value of the enterprise. Great American Family Parks' management believes that based on an independent appraisal and comparable land and businesses in the area, the second stage of the sale, which will include the CCC building and real property, will generate a significantly greater sale price than the asset sale announced today."
The sale of CCC will enable Great American Family Parks to better focus on its core mission of buying, managing and operating themed amusement attractions, Eastland added. The proceeds received from the sale of CCC will primarily be used for a planned expansion and upgrade to the company's Wild Animal Safari theme park and the adjacent land currently owned by the park, including the development of new venues and improvements to its current facilities. The remaining proceeds will be used to strengthen Great American Family Parks' balance sheet and for working capital purposes.
Two other recent deals: In late October, Double A Oil Co. LLC bought a former Exxon station in Memphis, Tenn., for nearly $1 million, with plans to open a BP-branded station, reported the Memphis Daily News.
Bennett V. York and Anderson-Tully Co. owned the property and had been leasing it to ExxonMobil Corp. since 1988, with a clause granting ExxonMobil the right to buy the property. Double A acquired the property and its improvements, including buildings and underground tanks, through two sales, paying $775,000 to York and Anderson-Tully, along with $177,360 to ExxonMobil.
The store had been closed for two or three years, Gerald Alexander, partner in Double A Oil Co., told the newspaper. Double A has owned Phillips 66 and unbranded gas stations before, but this will be the company's first BP, Alexander added. He and partner David Asbell are hoping to open the newly branded BP by the middle of December.
We're actually talking to Exxon about buying maybe more of their stations, and then we've also bought a 4-acre corner. We're fixing to build a BP there and a strip shopping center, he told the paper.
And in early October, Brian Puziss of Portland, Ore., bought the Circle K station and convenience store in Streator, Ill., for $2.8 million, reported The Times. The property had been owned by New Jersey-based Sovereign CT Limited Liability Corp. The property was a Road Ranger station until becoming a Circle K about a year ago.
In August, Puziss also bought a station that is run by Circle K at Streator's southern edge, the report added, for $1.1 million.
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