New owner brings new hope for Kentucky theme park on state property

A Kentucky amusement park that sits on state property has a high-profile new operator as it attempts to put its checkered fiscal path behind it.

The owner of Dollywood has taken over operations of the Kentucky Kingdom and Hurricane Bay amusement and waterpark in Louisville.

Herschend Enterprises will become a majority partner in the operation, Kentucky Gov. Andy Beshear and Herschend CEO Andrew Wexler announced Tuesday. Financial details were not revealed.

Bloomberg News

Herschend, based in Georgia, is the nation’s largest family-owned theme park attractions company. It hosts over 14 million guests a year at its 25 properties in eight states, including Dollywood Parks & Resorts in Pigeon Forge, Tennessee and the Newport Aquarium in northern Kentucky.

Sitting on property owned by the Kentucky State Fair Board, Kentucky Kingdom and Hurricane Bay has a history full of ups and downs.

Opened in 1987, the park went bankrupt after only one season. It was updated, refurbished and expanded by businessman Ed Hart and reopened successfully in 1990. Six Flags took over running the park in 1998 until the firm went bankrupt in 2009, after which point the park closed.

The issuance of municipal bonds by either the Fair Board or by the Louisville-Jefferson County Metro Government was discussed to help finance the park’s reopening but this never happened. Instead, Hart again took over the operation of the park and reopened it in 2014. The park was closed for part of the 2020 season due to the COVID-19 pandemic. It reopened in June of last year with coronavirus protocols in place that reduced capacity.

Negotiations with Herschend Enterprises began last year.

“After opening Newport Aquarium in 2008, we’ve been actively seeking an opportunity to bring even more entertainment to the great state of Kentucky and that dream begins today,” Wexler said.

The state said the expansion will bring enhanced management experience that will benefit park operations.

“We are pleased to turn the park over to a new generation of leadership,” said Hart, Kentucky Kingdom’s President and CEO. “Herschend is an outstanding operator, who will undoubtedly take Kentucky Kingdom and Hurricane Bay to the next level. We expect their involvement will add greatly to the Commonwealth’s thriving tourism industry.”

The entertainment complex covers 65 acres and shares a parking lot with the Kentucky Exposition Center, an arrangement that has bred conflict in the past.

“Herschend is a proven innovator and leader in the tourism industry, and we are delighted that they recognize the potential Kentucky has to offer and have committed to expanding their operations in the commonwealth,” Beshear said.

Kentucky's general obligation bonds are rated Aa3 by Moody's Investors Service, A by S&P Global Ratings and AA-minus by Fitch Ratings.