The San Diego City Council decided Monday to take SeaWorld to court in hopes of recouping nearly $10 million in back rent that officials say the marine park failed to pay during the pandemic.
it owed for most of 2020 and a portion of 2021. It remains the only lessee among the city’s hundreds of tenants that is in default on its rent.“Although SeaWorld’s public disclosures show it to be in good financial shape despite the pandemic, it refuses to pay back rent on its Mission Bay leasehold,” Elliott said in a statement after the vote. “It is the only City lessee to use state-mandated closures during COVID as a pretext to withhold rent.
“It’s been bothering me for a long time, and now we’re two years into this,” he said. “I want that money now, I want it yesterday, I want it with interest. I’m getting more and more mad as I think about it because of all the things that it could be used for instead of stacking on top of the other stacks of cash SeaWorld has.”
Many city leases, like SeaWorld’s, are structured so that San Diego shares in the revenue its tenants collect. SeaWorld’s rent for its 190-acre site is calculated on the basis of a specified percentage of the park’s gross income from admissions and in-park spending or, alternatively, a minimum yearly rent, whichever is larger.
In parent company SeaWorld Entertainment’s 2022 annual report in which CEO Marc Swanson noted that he was pleased to report “another record year in 2022,” the company referenced its deferred rent payment to the city of San Diego and the financial challenges it faced when COVID forced its California park to shut down.
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