Bankruptcy: New Jersey Motorsport Park
NJMP Chapter 11
The owner of New Jersey Motorsports Park, a Millville circuit that hosts AMA Pro Racing, filed for bankruptcy Monday in order to restructure some debt.
According to papers filed in Camden court, NJMP representatives say the 700-acre facility needs $2 million to open the track this Saturday for the 2011 race season.
The track’s owner, Lee Brahin, said Monday the Chapter 11 filing will allow the circuit to renegotiate debt with its primary lender (Merril Lynch Mortgage Capital of New York is filed as a lender of $30.4 million).
The filings report that investor group NEI Motorsports, which includes some of NJMP’s owners, will provide $2 million in exchange for "equity interests" at NJMP.
The Chapter 11 filing says: "The debtors anticipate that these bankruptcy cases will also have the effect of allowing them to continue operations seamlessly through the racing season and focus management’s efforts in managing their businesses. The debtors and lender anticipate the bankruptcy cases can be resolved very quickly and cooperatively."
NJMP, which opened in 2008, has two road courses, the Lightining Raceway (1.9 mile) and the Thunderbolt (2.25 miles); the latter hosts various AMA Pro Racing (Superbike, Daytona Sportbike, Supersport, XR1200 Series).
Images of the 2010 AMA Superbike races at NJMP (both won by Josh Hayes, who went on to win the Championship)