Congratulations to our client, Hall of Fame Village, in securing $50 million in funding to help develop the planned waterpark!
Published by: Yahoo Finance
Published date: November 2022
CANTON, Ohio, Nov. 9, 2022 /PRNewswire/ — Hall of Fame Resort & Entertainment Company (“HOFV” or the “Company”) (NASDAQ: HOFV, HOFVW), the only resort, entertainment and media company centered around the power of professional football, today announces that it has secured key financing pieces totaling $78 Million to help facilitate the completion of the remaining Phase II assets for the development of the Hall of Fame Village.
HOFV has secured $50 Million from a special purpose entity under Oak Street Real Estate Capital, LLC, a division of Blue Owl (“Oak Street”), based in Chicago, on a sale-leaseback transaction to help build the planned football-themed waterpark. The company also secured substantial backing from its largest shareholder, Industry Realty Group, LLC (“IRG”). IRG’s multiple levels of support include a commitment of completion guarantee for the football-themed waterpark, a term sheet for a $28 Million senior loan to build the onsite Hilton Tapestry hotel at the Hall of Fame Village, as well as the restructuring of existing debt owed to IRG.
The Oak Street financing, coupled with the commitments from IRG, and other financing vehicles, will enable HOFV to complete the final two assets of its Phase II Development that in turn enhances revenue generation for all its business as it continues to open several unique sports-themed assets at the Hall of Fame Village campus.
“These two financing arrangements are significant signs of progress toward achieving the stated end goals of our Phase II financing plan. Our strategy to capture “just-in-time financing,” and our ability to articulate our process to shareholders and lenders, has allowed us to improve our debt profile and generate value for our shareholders – even in in the face of the global pandemic and the difficult and escalating interest rate environment,” stated Michael Crawford, HOFV president and chief executive officer.
The final two assets completing Phase II Development will be located at the north end of the campus, adjacent to the Fan Engagement Zone. The 147,000 sq. ft. football-themed waterpark will be highlighted by a waterslide tower, lazy river, wave pool, zero entry fun zone, swim up bar, and outdoor entertainment area. The seven-story, 154,000 sq. ft. premium Hilton Tapestry Hotel will feature 180 guestrooms, 10 suites, a large ballroom, several meeting rooms, an indoor pool, as well as a full service 106-seat restaurant with indoor and outdoor seating.