These are tough times to be running a race track in. Recently, the operators of New Jersey Motorsports Park, a multi-use racing facility in Millville, NJ declared Chapter 11 Bankruptcy in order to reorganize their debt and work to continue operating the facility. While no specific reasons were given as to why the company was failing to meet financial obligations, we have to guess that the number of competitors, series, and schools that use the facility has shrunk down over the course of the last couple years.
The track plans to run the 2011 season as advertised and none of the expendatures people have made with the facility for upcoming events and racing will be effected by this announcement.
The track has long been a sticking point with the residents of the surrounding area in New Jersey. There was a lot of opposition to the construction of the facility and there have also been numerous efforts by disgruntled abutters to clamp down on the track with noise restrictions, and other potentially disruptive road blocks. A lawsuit with one citizens group is still ongoing.
While Chapter 11 is the “good” bankruptcy (Chapter 7 is the nuclear option where the business is totally cooked and assets need to be liquidated) it still sends shivers down our spines. We don’t want to see any race track, regardless of genre closed down for any reason. It is a slippery slope out there and losing tracks is not something that any BangShifter wants to hear about.
We hope the best for NJMP in their 2011 season and in their legal battle (which may be part of the reason for their inability to pay off debts)!
(New Jersey Motorsports Park Declares Chapter 11 Bankruptcy)
