MediterraneanGrocery Wholesalers in Mesa, AZ

PHOENIX – The owner of the venue formerly known as Bell Bank Park filed for bankruptcy Monday, just 16 months after the sprawling Mesa sports park opened to much fanfare.

Legacy Cares Inc., the nonprofit group that owns and operates Legacy Park: Arizona’s Premiere Sports & Entertainment Complex, also announced that it hired an investment banking firm to facilitate the sale of the 320-acre indoor-outdoor facility.

“Legacy Cares’ goal is to preserve this landmark facility so it can continue to serve the community for many years to come,” Douglas Moss, the group’s president, said in a press release.

“Legacy Cares intends to use this process to protect and support the park’s business operations and address Legacy Cares’ debt obligations while working towards an orderly and efficient possible sale of Legacy Cares’ assets in a manner that maximizes their value.”

RELATED STORIES

The park has hundreds of events scheduled through 2030 and is expected to operate as usual during the Chapter 11 and sale processes, according to the release. Legacy Cares said it hopes to complete the sale in August, although it didn’t mention a buyer in the release.

Court filings and other information about the bankruptcy proceedings are being posted to a website administered by claims agent Epiq Corporate Restructuring.

In the U.S. Bankruptcy Court filing, Legacy Cares reported $366.7 million in liabilities and $242.3 million in assets.

In addition to hiring investment banker Miller Buckfire & Co. for the sale, Legacy Cares said it brought in Rodney Reese to oversee day-to-day management. Elite Sports Group, which Legacy Cares recently hired to replace Legacy Sports USA as the park’s manager, will report to Reese under the new structure.

“Today’s announcement of a reorganization along with recent significant management changes will better position Legacy Park to serve as a destination where families and athletes of all ages can enjoy a safe, friendly, high-quality environment to experience different sporting, artistic, educational and entertainment amenities,” Moss said.

Legacy Park’s amenities include eight baseball and softball fields; 19 basketball courts; 35 soccer, football and lacrosse fields; 57 indoor volleyball courts; and 41 pickleball courts.

The complex at Ellsworth and Pecos roads, near Phoenix-Mesa Gateway Airport, also has 25 acres of festival space, a 3,000-seat outdoor stadium and a 2,800-seat indoor arena.

It opened as Bell Bank Park in January 2022 under a 10-year naming rights deal with Bell Bank, a North Dakota-based financial services company with Arizona locations.

The bank announced three weeks ago it was ending the partnership, citing numerous defaults and public reports of financial concerns.

The park has struggled financially despite welcoming more than 4.3 million visitors in 2022 and another 1.9 million so far this year.

Follow @kstonezone

We want to hear from you.

Have a story idea or tip? Pass it along to the KTAR News team here.

Share

Comments

Legacy Cares, the owner of Mesa's Legacy Park, said the facility will remain open as it prepares to file for Chapter 11 bankruptcy.

MESA, Ariz. — The owner of Legacy Park: Arizona’s Premiere Sports & Entertainment Complex announced Monday it was filing for Chapter 11 bankruptcy.

Legacy Cares Inc. said the 320-acre sports complex in Mesa would remain in operation as the organization uses the bankruptcy process to address debt obligations.

“Legacy Cares’ goal is to preserve this landmark facility so it can continue to serve the community for many years to come," Legacy Cares President Douglas Moss said. "Legacy Cares intends to use this process to protect and support the Park’s business operations and address Legacy Cares’ debt obligations while working towards an orderly and efficient possible sale of Legacy Cares’ assets in a manner that maximizes their value.”

The organization has also recruited the help of an investment bank to assist with the potential sale of all Legacy Cares assets.

Last month, Bell Bank announced it was ending its partnership with the sports complex following public reports of financial concerns. As a result, the facility changed its name to Legacy Park.

The facility opened in January 2022 and was already in financial trouble by October, according to the Arizona Republic.

Legacy Cares said the facility's day-to-day operations will not be adversely affected in the coming months and does not foresee any negative impact on the local community.

Related Articles

More ways to get 12News

On your phone: Download the 12News app for the latest local breaking news straight to your phone.

On your streaming device: Download 12News+ to your streaming device

The free 12News+ app from 12News lets users stream live events — including daily newscasts like "Today in AZ" and "12 News" and our daily lifestyle program, "Arizona Midday"—on Roku and Amazon Fire TV.

We are committed to serving all of the Valley's communities, because we live here, too.

12News is the Official Home of the Arizona Cardinals and the proud recipient of the 2018 Rocky Mountain Emmy Award for Overall Excellence.

12News+ showcases live video throughout the day for breaking news, local news, weather and even an occasional moment of Zen showcasing breathtaking sights from across Arizona.

Trammell Crow Company (TCC), a global real estate developer, and CBRE Investment Management, on behalf of a separate account client, have acquired a 192-acre development site in Mesa, Arizona. The master site will be divided into ‘shovel-ready’ lots that will range from 12 acres, up to the full 192-acre site. These sub-sites will be available for sale to a wide array of interested users; alternatively, TCC will be able to provide build-to-suit solutions for interested corporate users. The sale price was $27,960,939, according to Vizzda.

Located in the Southeast Valley submarket, in the center of Mesa’s Advanced Manufacturing Corridor, the site is the largest one in Maricopa County that can accommodate Union Pacific Rail users. TCC will perform horizontal improvements on each sub-site, including the extension of utilities and roadway build out, beginning in summer 2023. The sub-sites, which are located within an Opportunity Zone, are available for purchase or for build-to-suit development.

The master site is located only a quarter mile away from a full diamond intersection along the recently completed SR-24 Freeway Extension, a location that will further stimulate demand from large industrial users who require large, accessible pad sites in an increasingly land-constrained market. Notably, the Union Pacific Pecos Industrial Rail Access and Train Extension (PIRATE) line, planned to be complete by the end of 2023, is set to run directly through the master site; rail accessible sub-sites will be available.

“Despite the uncertainty about the overall economy and the industrial sector in the U.S., the market fundamentals for the Phoenix industrial sector remain strong, with historically low vacancy rates and continued demand for new space carrying through the end of Q4 2022. The Southeast Valley was one of the most active submarkets at the tail end of last year, due in part to the area’s abundant labor pool, and we are still seeing strong activity as we enter the second quarter of 2023,” said Ryan Norris, Principal with TCC.

According to CBRE’s Q4 2022 Phoenix Industrial Market Report, during Q4 2022 alone, 67 tenants were in the market for 8.1 million square feet of space, specifically in the Southeast Valley, where the vacancy rate was three percent. The submarket kept a healthy pace of net absorption and welcomed local and out-of-state business looking for quality industrial space.

Norris continued, “In order to balance the various economic implications – meaning the national economic uncertainty and the continued local demand for industrial space – we wanted to create a flexible development site that allows us to offer sub-divided, shovel-ready sites for purchase, as well as sites where we can implement our build-to-suit expertise for industrial users looking to enter or expand their footprint in the market. Our firm’s ability to anticipate a changing market and implement this type of development concept is an indicator of how TCC remains on its front foot when it comes to delivering the best outcomes for our partners and clients.”

“We’re excited to partner with Trammell Crow to provide this unique, flexible development solution that can serve a variety of industrial users in search of modern industrial space in this key, growing submarket. We believe that the continued high demand for logistics and industrial real estate, the location’s convenient proximity to major transportation nodes and Trammell Crow’s extensive experience in customizing and delivering top-of-the-line properties will offer long-term value for both future occupiers and our client,” said Mary Lang, Head of Americas Direct Logistics Strategies for CBRE Investment Management.

Jackie Orcutt of CBRE and her team represented the land seller, and her team will represent the TCC and CBRE IM JV on the land sale transaction(s).

The nonprofit organization that owns Legacy Park, the massive sports complex in east Mesa, announced Monday it was filing for bankruptcy protection, further clouding the financial picture of the park that has brought in millions of athletes and visitors, but not enough dollars.

In a news release, a spokesperson for the facility said it would operate as usual while the nonprofit that owns it, Legacy Cares, goes through reorganization under Chapter 11 of the federal bankruptcy code.

The sports park project, which opened in January 2022, had already been in default on its $283 million in bonds, issued by an arm of the Arizona state government. Additionally, 18 firms that did construction work on the park have filed liens against the property claiming they were not fully paid for their labor.

In its bankruptcy filing, Legacy Cares said it had more than $242 million in assets, but $366 million in liabilities. Of the assets, $229 million were listed as the book value of the buildings and fields on the site, the filing said.

Legacy Cares, in a notice to bondholders, said it had worked with the trustee to ensure it had enough cash to continue operating the park as usual.

A telephonic hearing for creditors was scheduled for June 6, the court docket showed.

In a statement, Douglas Moss, the president of Legacy Cares, said the goal of the bankruptcy filing was to "preserve this landmark facility so it can continue to serve the community for many years to come."

The news release said Legacy Cares anticipated selling its interest in the park by August.

Behind Bell Bank Park:Developer of popular Mesa sports complex secured $280M despite troubling financial history

Citing the legal proceeding, the news release said Moss would not be granting any interviews.

Moss was paid $298,982 in salary and expense reimbursement over the past year, the bankruptcy filing said.

In bond documents, potential investors were told that should Legacy Cares enter bankruptcy, the trustee would be treated like any other creditor, leaving the judge to sort out whose claims take priority.

Alan Maguire, who has served as an economic advisor to past Arizona governors and entities, said that bankruptcy judges have "huge discretion" on how to handle creditors.

Some, he said, might think in hierarchical terms, placing bondholders' interests first. Others, though, might decide to pay the smaller businesses first.

"Some might be more prone to say (bondholders) bought with their eyes open," Magurie said. "They knew there was risk."

Maguire said a judge could also decide to decrease the amount owed on the bonds so that the project overall becomes easier to sell.

The facility had money troubles from the beginning, with investors told on a June 2022 conference call that the problems stemmed from inflation and the continued COVID-19 pandemic.

Chad Miller — the CEO of Legacy Sports, the company that managed the park — promised investors brighter days were ahead. But one investor asked that Miller stop with the "hyperbolic" rosy comments and stick with the dire numbers in the financial reports.

Miller, along with his father, Randy Miller, worked for years to bring the project to fruition on 320 acres on the eastern edge of Mesa. It was land that had been used as a proving ground for General Motors vehicles.

Randy Miller and Chad Miller had been part of Legacy Cares, the nonprofit that would own the park. But both would step down and instead earn six-figure salaries managing the facility as a part of Legacy Sports USA.

The bankruptcy filing showed that Legacy Sports USA was paid more than $3.5 million to cover operating expenses at the park from February through April.

In April, the Millers' Legacy Sports company ceased managing the park. Management was turned over to Elite Sports Group, a company whose website lists no executives. A public relations firm hired by Legacy Cares has not provided any information about who runs Elite Sports Group.

In bankruptcy papers filed on Monday, a managing member of Elite Sports Group was listed as Brett Miller. That is also the name of one of Randy Miller's sons. A man named Michael Baggett was also listed as being involved in Elite Sports Group. That is also the name of Randy Miller's longtime attorney. Neither man returned a request for comment sent to emails at Elite Sports Group.

A group of bondholders had decided in November to do a financial audit of the park and look at restructuring the deal, asking the Arizona authority to issue new bonds that would pay off debt and keep the project going. But, by February, the bondholders said it would no longer entertain such a plan.

An April filing by the trustee said that Legacy Cares was looking to sell its interest in the park.

The notice to bondholders about the bankruptcy filing on Monday said that the recently-retained investment banking firm, Miller Buckfire, had already begun "preliminary marketing" for such a sale.

The facility opened as Bell Bank Park. But, in November, the North Dakota-based bank asked to end its naming agreement, no longer wanting to be associated with a facility that was in financial trouble. In April, it made the split public because the facility had taken no steps to stop using its name.

The facility was rechristened in April as Legacy Park: Arizona's Premiere Sports & Entertainment Complex.

Turmoil around the park also ensnared the co-founder of the architecture firm that designed it.

Michael Kuntz, who was part of Icon Architectural Group in North Dakota, had raised money from investors that he hoped to use to buy a portion of Legacy Sports USA, the company run by the Millers.

The North Dakota Securities Commission ordered Kuntz in April to pay back his investors. It also levied a fine of $2.88 million.

Kuntz left Icon in June.

The opening of the facility fulfilled a decades-long quest of Randy Miller, a Scottsdale man who had talked of creating such a spot since at least 1990. Deals to create the park with private funds fell through over the years, with three of the people Miller dealt with being found guilty of federal financial crimes.

Miller was able to secure the $283 million in funding with the aid of the Arizona Industrial Development Authority, an agency created by former Arizona Gov. Doug Ducey.

The authority issues bonds that are attractive for investors because their proceeds are exempt from taxation, a perk that comes from them being issued by a government agency. In turn, the projects pay a lower interest rate than they might with private financing.

Such authorities typically aid projects such as affordable housing or senior living facilities that might struggle to raise private funds. But Arizona's authority had agreed to lend its assistance to projects, some out-of-state, that on the surface seemed more like businesses.

It agreed to issue bonds for a resort in Puerto Rico, a Hilton Garden Inn in Harlingen, Texas, and another youth sports facility in Hutto, Texas, that was never built.

To get funding through the authority, Miller turned the Legacy Cares limited liability company he had formed in 2018 into a nonprofit. Court records say the conversion was done solely to get the tax-exempt funding from the Arizona authority.

Miller choked up during the ribbon-cutting for the facility. He told The Republic in an interview that he was thinking of all the twists and turns it took to bring his vision to fruition.

"I did get very emotional," he said, "because I not only put a lot of time and energy, a lot of people believed in me."

Meta has sold land in Mesa, Arizona, to data center developer company EdgeCore Internet Real Estate for ~$1.2 million.

Located at 3856 S. Everton Terrace and totaling around 15 acres of land, EdgeCore has purchased the lot as part of its large investment in the Phoenix metro.

The Phoenix Business Journal reported that Meta has sold the land as it didn’t need it, and wouldn’t be working with EdgeCore on further development. The adjacent parcel of land that Meta also owns has not been sold.

According to Inflect, EdgeCore is planning to build a 225MW data center campus on the land. The total floor space is expected to reach 1.2m sq ft (~116,130 sqm) and will offer wholesale leases. DCD has reached out to EdgeCore for comment.

The company already has a significant campus on the Elliot Road Technology Corridor in Mesa, on the outskirts of Phoenix. The campus covers 1.1m sq ft (~101,200 sqm) and offers 170MW of capacity across five data centers. The company has further data centers in Ashburn, Virginia; Reno, Nevada and Silicon Valley, California.

In 2021, Meta acquired 396 acres in Mesa under the pseudonym Redale LLC for an $800m data center at 3841 S Ellsworth Road. It is likely part of this land that Meta has sold to EdgeCore. The company later expanded this project, adding another three buildings. The first building of the project is expected to be delivered in 2023 and the 2.5 million sq ft campus is expected to be completed in 2026.

It is unclear if Meta is reconfiguring its plans at the site due to its 'rescoping' of several of its data center projects designs to better accommodate AI workloads. DCD has reached out for more information.

As DCD exclusively reported in December, the company has ripped up its data center plans and is pausing projects around the world as it redesigns them for AI workloads. It first canceled its Danish data center expansion outright, before pausing projects in Texas, Idaho, and Alabama.