From the Cincinnati Enquirer- The Kentucky Speedway is under new ownership and they have their sights set high. Speedway Motorsports Inc. founder and chairman Bruton Smith announced today the purchase of the speedway in a deal expected to close in October. They plan to add 50,000 seats to the speedway and plan on bringing a Sprint Cup race to the speedway.
“This is the biggest announcement we’ve ever made,” Smith said during a press conference at Lowe’s Motor Speedway. “I’m delighted to tell you, yes, that we’ve purchased the Kentucky Speedway.”
Speculation is that Smith will move a Sprint Cup race from other tracks he operates, possibly from Atlanta or New Hampshire.
“This is a great speedway,” said Smith, adding he may attempt to change the name of the track. “I have been there, I like it a lot.”
Smith said Kentucky Speedway caters to a market hungry for a Sprint Cup race and enthusiastic about professional racing.
“It’s a hot bed of racing, there’s no doubt about that,” Smith said, adding that the market is ripe for racing because of the proximity to Cincinnati and other major markets.
Kentucky Speedway chairman and developer Jerry Carroll, who attended the press conference, said Smith has met with Gov. Steve Beshear to discuss his ownership of the track. Carroll said Smith may also “request some help” from the state, but he would not discuss details of what that might entail.
The track has also qualified for a tourism tax credit that allows it to receive a 25-cent rebate for every $1 of sales tax generated at the facility.
Terms of the sale were not announced, but Carroll said this morning that Smith plans to invest $50 million in the speedway.
“We will make changes,” Smith said. “We’ve already been kind of working on some ideas .. and a lot of different changes we’ll be making there.”
Kentucky Speedway was built for $152 million and opened in 2000 without a promise from NASCAR it would one day host the sanctioning body’s premier racing series, now the Sprint Cup Series.
News of the deal with SMI comes at the same time lawyers representing Kentucky Speedway continue to fight in 6th U.S. Circuit Court of Appeals the early January decision by a U.S. District Court judge to dismiss the track’s antitrust lawsuit against NASCAR and International Speedway Corp.
Kentucky Speedway filed suit in 2005 alleging NASCAR and ISC violated antitrust laws by restricting which tracks host Nextel Cup races and trying to “monopolize the market for hosting premium stock car racing events.â€
The track later amended its complaint and said it wanted NASCAR to develop “objective factors†for the awarding of Cup races; for the France family to give up control of either ISC (a public company that operates tracks and whose majority of voting stock is owned by the Frances) or NASCAR (a private company owned by the Frances); and for ISC to sell at least eight of the 12 tracks it owns that host Cup events. It also sought more than $200 million in damages.
The sale will not impact the appeal.
The track’s most popular race – the Meijer 300 for the second-tier NASCAR Nationwide Series – is less than four weeks away. The facility has enough grandstand seating for 66,089 fans, but boasts room enough to expand and seat 140,000.
The Nationwide Series race has averaged 70,952 fans since its debut in 2001. The IndyCar Series, NASCAR Craftsman Truck Series and ARCA RE/MAX Series also hold races at Kentucky Speedway.
Smith, 81, added to his lineup of tracks in November by orchestrating the purchase of New Hampshire International Speedway. The 1.058-mile oval, which annually hosts two Sprint Cup Series races, sold for $340 million.
Buying a track with a Nextel Cup date and moving a race to Kentucky Speedway was one way Carroll thought he could get NASCAR’s top division to his facility. The New Hampshire track was one he pursued.
The amended complaint against NASCAR and ISC disclosed that Kentucky Speedway had in the past offered Bob Bahre, the longtime owner of New Hampshire International Speedway, $360 million to buy his track.
Make sure to check out The Cincinnati Enquirer for this article and more on the purchase of the Kentucky Speedway and its future plans.