ZLD Represents Palace Entertainment in Carve-Out Asset Sale of 14 Family Entertainment Centers and Water Park to Apex Parks Group
Zuber Lawler & Del Duca represented Festival Fun Parks, LLC dba Palace Entertainment in the sale of 14 family entertainment centers and one water park to Apex Parks Group, a portfolio of The Edgewater Funds. The transaction presented many unusual challenges, including structuring highly customized security, indemnity and escrow mechanisms for many of the facilities, creating intellectual property licenses and waivers to reflect division and sharing of intellectual property and allocating obligations and liabilities in respect of contracts applicable to multiple facilities (some of which were not subject to the transaction).
The family entertainment centers that have been transitioned to the buying company, Apex Parks Group, include: Boomers! Boca Raton, FL, El Cajon, CA, Fountain Valley, CA, Fresno, CA, Irvine, CA, Livermore, CA, Modesto, CA, San Diego, CA, Santa Maria, CA, and Upland, CA; Malibu Grand Prix San Antonio, TX; Mountasia Houston, TX; and SpeedZone Dallas, TX and Los Angeles, CA.
Big Kahuna’s Water Park in Destin, Florida, also included in the sale, will be the sole water park for APEX.
The closing of the transaction marked the culmination of over a year of negotiating.
Palace Entertainment is one of the leading leisure park operators in the United States with parks located in 10 states.