Speedway Takes 27 Gas City Sites For $70M
Six months after Gas City filed bankruptcy, 27 of its locations will move to Speedway's portfolio in a deal estimated at more than $70 million. The sites are concentrated in the Southland. According to an article on SunTimes.com, Gas City had originally agreed to sell 46 of its stations to Canadian-based Alimentation Couche-Tard, which operates Circle K stores in the United States. However, the company walked away with just five stations at an auction held earlier this month. Those stations are located in Monee, Orland Hills and Palos in Illinois.
Speedway and Alimentation Couche-Tard are just two of several convenience store chains to submit winning bids for Gas City sites. TravelCenters of America is acquiring locations in Indiana, as well as one in Monee, Ill. In addition, 7-Eleven Inc. is taking another site in Monee, according to the news outlet.
A court hearing on the winning bids is slated for today, April 13.
Separately, William A. McEnery, son of Gas City founder William J. McEnery, submitted the winning bid for seven The Creamery ice cream shops in the Southland, most of which are near Gas City stations. A court filing put his bid at $3.26 million.
Frankfort, Ill.-based Gas City filed for Chapter 11 bankruptcy protection in October. At that time the company â which included 51 gas stations located mainly in the south suburbs and in Indiana, Arizona and Florida â listed assets of between $50 million and $100 million, and estimated liabilities of between $100 million and $500 million in its bankruptcy filing, Convenience Store News reported.