The company that owns Six Flags New Orleans does not want to re-open the flood-ravaged eastern New Orleans theme park, and has sent a proposal to the city that would allow the amusement company to walk away from its 75-year lease, according to documents.
Six Flags Inc. has offered to pay the city $10 million to cover rent to the city, give the city 66 acres of land the company owns adjacent to the park, and give the city 20 percent of its insurance proceeds above $75 million. The amusement parkhas been closed since Hurricane Katrina.
News of the proposal marks a change from Six Flags’ public stance so far. Until this disclosure, the company said that the park would be closed for the 2006 season, but that it hoped to reopen the property and was working with its insurers. The company now says it wouldn’t make sense to open the park, which was not successful even when the city had nearly a half-million residents.
“It’s clear that the people of New Orleans weren’t embracing the park” even before the storm, Six Flags spokeswoman Wendy Goldberg said. “We think it presents a mutually beneficial solution to both of us. We thought it was a win-win. The city would get land it could use for other purposes, as well as liquidity.”