Roger Penske didn’t invent motorsports. However he definitely discovered a option to dominate it, successful 17 championships within the IndyCar sequence he owns and 5 NASCAR titles. His drivers have gained the Indy 500 a file 20 occasions, which can be one purpose he determined to purchase that monitor as effectively.
On Thursday he expanded his empire by buying the , the longest-running main avenue race in North America and one of many largest and extra necessary occasions on Southern California’s sporting panorama. Monetary phrases of the deal between Penske and Gerald R. Forsythe, the long-time proprietor of the occasion, weren’t disclosed. Forsythe and associate Kevin Kalkhoven paid a reported $15 million for the occasion in 2005.
Not that the associated fee mattered to Penske, who stated he considers the Grand Prix priceless.
“It’s an iconic race,” he stated. “When you concentrate on markets and the place we need to make sure that we have now IndyCar long run, this can be a place we need to put money into for positive.”
The three-day occasion, which can have a good time its fiftieth anniversary in April, attracts almost 200,000 individuals to the streets of Lengthy Seaside, contributing an estimated $63 million to the area’s financial system yearly. However Penske is extra fascinated with what the Grand Prix does for racing, significantly IndyCar. The sequence will stage 17 occasions subsequent yr, six on oval speedways, seven on highway programs and 4 on the streets, making it probably the most eclectic racing sequence within the U.S.
“I’m a enterprise man and I believe the range makes an enormous distinction,” Penske stated. “We’ve been taking a look at, from a administration perspective, to attempt to make our sequence higher.
“We’re not competing with NASCAR, Method 1.”
The acquisition of the Lengthy Seaside race, the second-longest-running race on the IndyCar schedule, enhances one other main change the sequence is making in 2025. After 16 years with NBC as its major broadcast associate, IndyCar is leaping to Los Angeles-based Fox, which reportedly supplied greater than $25 million a yr for the rights, stated to be a major improve from what NBC paid. Fox additionally promised to broadcast all 17 races on linear tv along with protection on its Spanish-language cable community, Fox Deportes.
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Rumors of Penske’s curiosity in buying the Lengthy Seaside race have been swirling for months, with the lengthy record of different consumers stated to incorporate the France household, founders of NASCAR; , chairman of the ‘ possession group; and Liberty Media, which has a stake in Method 1 racing.
The occasion was the shared property of Forsythe, 87, an American businessman and auto racing magnate, and Kalkhoven, his Australian-born associate. After Kalkhoven died in 2022, his property put its 50% stake within the race up on the market and Forsythe purchased it final March, promising to maintain it an IndyCar occasion whereas additionally making ready to promote.
At a time when the land that racetracks sit on has develop into so helpful that builders are paying file sums to tear them down and construct industrial parks of their place, shopping for a race that’s run on metropolis streets was a wise funding on numerous ranges.
“It was completely necessary strategically,” Penske stated. “Jerry Forsythe I’ve recognized for a protracted, very long time. We raced collectively, raced in opposition to one another. When Kalkhoven handed away I contacted him and stated, ‘Look, if you are going to do one thing with Kalkhoven’s share, we’ll purchase it. In truth, we’ll purchase the entire thing.
“It was a handshake over the telephone. And we’ll shut this factor this week.”
Penske, 87, stated he plans few noticeable modifications to what Jim Michaelian, the Grand Prix’s president and CEO, has set for subsequent yr. However he’s prone to get extra concerned within the race going ahead.
“I by no means name me a hands-off proprietor,” he stated. “We’re going to take the teachings discovered and have a look at what the followers need and we’re going to execute the playbook Michaelian has put collectively. He’s finished a terrific job.
“We’re very fortunate that Jerry [Forsythe] would give us the chance.”
The acquisition of the Grand Prix of Lengthy Seaside, the second-largest avenue race on the earth behind solely the Method 1 Grand Prix in Monte Carlo, additionally marks Penske’s return to Southern California racing at a time when the game seems to be in retrenchment. Penske was on the board of the short-lived Ontario Motor Speedway within the Seventies, then constructed the California Speedway on the positioning of the Kaiser Metal mill in 1994. Each tracks have since been demolished, a destiny that awaits the Irwindale Speedway after its last program subsequent month.
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That leaves the Grand Prix of Lengthy Seaside as the one main motorsports occasion in a area that after hosted dozens of racing sequence every year.
“One of many good issues concerning the race in Lengthy Seaside, it has been there, and the town and the individuals have supported it,” Penske stated. “So look, we’re vast open and we’re in for enterprise. This isn’t a hold on or one thing. We need to attempt to roll over and make it higher.
“What we need to do is add to the visitor expertise and make it a spot so we will take our sponsors. Fairly truthfully, it is a terrific spot to entertain in.”
This story initially appeared in .
