More than 600 investors and developers have voiced an interest in buying South Africa’s Formula One Kyalami racetrack. The 2.6 mile circuit is being sold at auction with a court imposed reserve of £11m.
Johannesburg’s High Court ordered the sale of the track — which last hosted a Grand Prix in 1993 — after the collapse of its owner, Farm Bothasfontein (Pty) Ltd. An original sale was cancelled when creditors feared a non-reserve sale would fail to raise enough money to pay the majority of the company’s debts.
When the Midrand circuit first opened in 1961 it was surrounded by bare countryside. That has now been swallowed up by commercial and residential development to become a suburb of the Republic’s capital and it’s known several global investors are interested in the 178-acre site.
“With average homes in the area of Kyalami selling for as much as 5.5-million rand (£305,000), the racetrack is prime land for residential or commercial property developers,” explained Beulah Thomas, of local agents Harcourts. “In this vicinity I would say it’s about the last available piece of land of this size, apart from Leeuwkop Prison.”
But Kyalami — where motor racing superstars Michael Schumacher and Ayrton Senna once competed and former world champion Jody Scheckter won the 1975 South African Grand Prix on home soil — is still a powerful attraction among the sports’ faithful.
“There is a possibility that a developer will buy it,” said Lance Chalwin-Milton, joint managing director of The High Street Auction Co. “But we’ve had serious interest from both groups, from people that are wanting to develop the site and those who want to keep the track as a racing circuit.” He estimates the on-site sale could attract at least 800 people, with bidding interest from around 600.
“Kyalami remains an iconic name around the world,” admitted Motorsport South Africa spokesman Jaco Deysel. “As the sport’s governing body we hope the circuit finds the right buyer, with an agenda of restoring it to its former glory.”
If so, it will not be the first time the circuit has been remodelled to suit commercial imperatives. When political sanctions forced the South African Grand Prix out of the championship series in 1985 the track remained closed until it was redesigned five years later as part of a commercial development.
Formula One abandoned the rebuilt Kyalami a second time in 1993 after just two races and the bankruptcy of the race’s promoter. Under the ownership of Farm Bothasfontein, the circuit survived for a number of years by hosting rounds of the Superbike World Championship.
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