Bristol Borough Uses Proceeds from Grundy Arena Sale to Pay Off Debt

Bucks Local News reports that Bristol Borough Council voted to retire the debt on Grundy Arena after selling the facility to Black Bear Sports Group. The plan to sell Grundy Arena, which is located in Bristol Borough in Bucks County, Pennsylvania, was approved at an August 10 council meeting.

According to the article, “The borough will use part of the $4 million in proceeds from the sale to pay off its $3.7 million in outstanding debt and will invest the remaining sale proceeds – $250,000 – for the future recreational needs of the borough and other projects. The payoff of the debt will save the borough 8.5 mills a year in debt service and will result in a 15 percent decrease in the annual property tax rate beginning in 2021.”

Black Bear Sports Group bought a substantial number of arenas in Central New Jersey and Southeastern Pennsylvania. The sudden concentration of ownership in the hands of one private equity firm has been a topic of concern in the Atlantic District hockey community. However, Bristol Borough took advantage of a deal with a willing buyer. Council followed through on its plan to reduce its municipal debt, lower local taxes substantially, and invest further in its non-hockey recreation programs.

Grundy Arena, a two-sheet arena complex, is now owned by a group that is more willing to invest capital in the arena’s deferred maintenance, which is always a concern with facilities of this age.