ROCKINGHAM — For the second time in a decade, Rockingham Speedway is going up for auction.
The historic track, adored by fans and drivers, is scheduled to be sold “to the highest bidder for cash” at 11 a.m. today at the Richmond County Judicial Center, according to documents filed in superior court last month.
A notice of foreclosure, dated April 7, states the sale will include “the real property, together with all rights, privileges and appurtenances thereto…and the personal property described in the deed of trust.”
The 244-acre property, which includes the 1.017-mile oval track as well as a half-mile track, is valued at $6.85 million, according to Richmond County tax records.
The notice goes on to state that the property will be sold subject to any and all matters superior to the lien of the deed of trust, including: superior mortgages, deeds of trust, liens and assessments, if any; the lien of unpaid ad valorem taxes; valid and enforceable easements and restrictions of record; and matters which would be revealed by a current and accurate survey of the property.
“The property will be sold ‘as is, where is,’ the notice continues. “Neither the substitute trustee nor the holder of the debt secured by the deed of trust, nor their respective officers, directors, attorneys, employees, agents or authorized representatives, make any representation or warranty relating to the title or any physical, environmental, health or safety conditions existing in, on, at or relating to the property, and any and all responsibilities or liabilities arising out of or any way relating to any such conditions expressly are disclaimed.”
Raleigh attorney Louis E. Wooten Jr. was named substitute trustee in February, according to records filed with the Richmond County Register of Deeds.
Although the sale is today, it will be held open for 10 days for upset bids as required by law.
SILAS BREAKS HIS SILENCE
Former driver Andy Hillenburg bought the track at auction in 2007, but in late 2014 — a year and a half after the last race — Salisbury-based Farmers and Merchants Bank began foreclosure proceedings against him and Bill Silas.
Court records show more than $3.7 million on the $4.2-million loan was still owed in December 2012 when changes were made to the loan’s term.
Silas broke his silence last month, telling the racing news blog GodfatherMotorsports.com that he has never been a partner in the speedway and that he thought his name was off the note.
“I co-signed the note for Andy to purchase the track,” he told the blog, run by Dave Moody. “I saw it as something for my son Bryan to have a hand in at some point in the future, but I was never involved in the day-to-day operation of the track.
“I never thought we’d make a ton of money, but I didn’t think we’d lose a ton, either,” Silas continued.
He said trying to bring the NASCAR Camping World Truck Series to the track was “a complete financial failure.”
Silas went on to tell the blog that the track should have been put back “on the auction block a long time ago.”
That was made evident in emails exchanged during the foreclosure case that were included in court documents.
Silas’ attorney, Alan I. Armour, wrote to David Schilli, who was representing the bank, that the Silas members wanted to list the speedway with Iron Horse Auction Company.
“The Silas members have previously suggested a $2 million minimum bid, however did not get any response from the Bank with respect to minimum bid,” he wrote on Aug. 12, 2014.
A consent order signed Oct. 8 of that year by Presiding Superior Court Judge W. David Lee states the historic racetrack should have been sold or auctioned off by March 15, 2015.
The agreement to sell or auction the property was made to stave off foreclosure proceedings. That date came and went with no word on any action.
Silas told the motorsports blog that he’s tired of the financial strain the track has had on him the past few years.
“I’ve spent more than $200,000 on attorney’s fees alone since the last race there,” he said. “I bought the note from the bank. I have spent millions of dollars. I’m spending money right now to get the track as operational as possible for a future buyer.
“I’m not trying to kill the speedway,” Silas added, “I’m trying to save it.”
According to Silas, all previous debts have been paid or forgiven by the courts, so the new owner will have it debt free.
Records with the Richmond County tax office show a payment on 2015 taxes of $11,350.61 — $9,324.91 for taxes plus $1,965.70 in interest and a $60 lien cost — was made March 21. Another payment of $47,189 was made April 5, zeroing out the speedway tax bill.
Previous records indicated that the $712.02 tax bill on the speedway equipment was paid on Nov. 16. — three days after the bank’s lien on the property was purchased by BK Rock Holdings.
“There is an opportunity here for someone to make a clean start and do what it takes to make Rockingham Speedway successful again,” Silas told Godfather Motorsports. “All it takes is for the right person to step forward.”
Kenneth Robinette, chairman of the Richmond County Board of Commissioners, told the Daily Journal last month that he was hopeful that a team with “deep pockets” would purchase Rockingham Speedway and “promote it like it needs to be promoted.”
“It’s a specialized use,” he said. “It was built as a track, and that’s what it needs to be used for.”
However, Robinette said he wouldn’t be opposed to lower-tiered races or non-racing events, such as concerts.
“I’d be in favor of anything that could bring activity out there and money into the county,” he said, comparing Steve Earwood’s scheduling of 98 events plus private testing this year at Rockingham Dragway.
Several comments left on the Daily Journal’s Facebook page Wednesday night indicated that Richmond County race fans would like NASCAR to purchase the property and bring an event back to the legendary track. Driver Dale Earnhardt Jr. was also suggested as a hopeful buyer.
Multiple attempts by the Daily Journal to reach Silas through his attorney and to contact Hillenburg and representatives of the bank since last January were unsuccesful.
Reach reporter William R. Toler at 910-817-2675 and follow him on Twitter @William_r_Toler.