Wild West World sale leaves long list of unpaid creditors - Wichita Business Journal:

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But with the park poised to sellfor $2 only a handful are likely to see any return on their investment, leaving the vast majority of creditorsz shut out. Bankruptcy documents obtained by the shed some ligh on which entities will get paid shoulcd the sale of Wild West Worldx close in the coming weeks as OnMay 8, Bankruptcy Judge Rober t Nugent approved the offer from Oklahoma-baseed , also known as . The new ownership groulp plans to reopen the parkin 2009. The sale is expectesd to close by the end ofthe month. Courrt documents state will receive $1,827.60 for title insurance and an additional $1,100 as a closing fee. will be paid a 3.
5 percen t -- about $70,000 -- Realtor commissionj for brokeringthe deal. Court documents also stipulate the advalorekm taxes, survey expenses and fees of $50,000 to bankruptct attorney Ed Nazar be paid from the $2 The remainder -- roughly more than $1.8 milliom -- will be paid to Mounf Hope-based as the primary mortgage holder. Firsty National and a group of four otheer banks loaned acollective $6.5 million Wild West World founder Thomas Etheredge to get the park off the The first group of lenders also advanced Wild West Worlc about $300,000 to cover the holdingf costs, which include insurance, utilities and maintenance.
That cost has been accumulating with the park sittintg idlesince July, Nazar says. A court orde r outlining how muchFirst National, , , and will be paid has yet to be Second-tier lenders Kanza Bank and , which loanedc the park a combined $1.8 could not secure SBA backing the loan beforde the park closed. The $2 milliob sale likely excludes those two Despite the probability of not being repaid forits second-tier loan, Kanza still stands to receive some compensatiohn from the sale. CEO John Boyer says getting the park sold benefitxs the bank groups and Sedgwick County asa whole.
"I' a big supporter of it," he The pending sale also comeds with the stipulation thatPark City'sw $1 million mortgage on the Wild West World parking lot will then be transferrerd to the buyer. The sale was a "complexc transaction all the way Boyer says. Other bank executives didn't return calla this week. Nazar says the $2 million was a number to achieve. The pending sale of Wild West Worldc still leaves out hundreds of unsecureds andsecured creditors. "That's a terrible side of thesde typesof deals," Boyer says.
It is situation that is commoj inbankruptcy proceedings, says Fran who runs , a Wichita venture capital Jabara also founded the Centef for Entrepreneurship at . He says when a like Wild West World, files bankruptcy it typically has more debtswthan assets, which can make selling a