Rock music-themed Hard Rock Park has been approved to begin liquidation after failing to find a buyer for the park in bankruptcy, which it filed in September 2008.
The Myrtle Beach, South Carolina-based amusement park opened in April 2008 with roughly $400 million in backing from investors including real estate developer Ziel Feldman and publicly listed Israeli holding companies Africa Israel Investment and Polar Investments through Polar International Real Estate.
The theme park had intended to restructure its debt and come out of Chapter 11 prior to April 2009. However, it was unable to refinance or find a buyer and “there exists no reasonable prospect of success in the immediate future”, the company said in its bankruptcy filings with the US bankruptcy court in Wilmington, Delaware.
Hard Rock Park originally filed for bankruptcy because of liquidity pressures from low attendance driven by the collapse of the housing market, skyrocketing energy and gasoline prices and steadily increasing food costs, according to court documents. The company singled out gasoline costs as the most troublesome factor because 89 percent of visitors travel to Myrtle Beach by car.