Gavin

Gavin, an individual shareholder, sought further details on the Georgia land sale, including the total value and future plans for selling unused land. He also questioned why strategies successful in Missouri had not worked in Texas, the rationale for continuing with the Texas park given its original sale plan and lack of progress, and the expected proceeds from a potential sale of the Texas park.

Answer

Geoff Gannon, President of Parks! America, clarified the Georgia land sale involved approximately 40.5 acres for about $145,000, based on $3,000 per acre, noting its lack of utility to the company and openness to future discussions for other unused land. Regarding Texas, Gannon acknowledged its high assets and currently insufficient EBITDA return but highlighted its significant recent growth (40% in the most recent quarter) and projected it to be the second-largest park in terms of EBITDA contribution in fiscal year 2026, despite a lower return on capital. He emphasized that a fast-growing, cash-flow generative business should not be sold. For a potential Texas park sale, Gannon referenced a $14,000 per acre appraisal for 450 acres, totaling $6 million-$6.5 million, which after a $2.5 million loan, would net around $4 million, but suggested the park's value as an ongoing business is increasing.