Graceland was nearly crippled by the pandemic with a lack of tourism, leaving the King’s estate in $20million worth of debt – and squabbling between his trust and the state.
Elvis’ home had $104millon issued for the expansion of the estate in Memphis, but the bonds issued by the economic development agency (EDGE) of Memphis and Shelby Counties defaulted.
The lack of money coming through the estate was attributed to a lack of tourism during the Covid-19 pandemic, described as the ‘largest crisis’ to hit the leisure and hospitality industry in history by the Tennessee Department of Tourist development.
Joel Weinshanker, the managing partner of Elvis Presley Enterprises, claims that it is the state’s fault for defaulting – something which EDGE denies.
Elvis’ home had $104millon issued for the expansion of the estate in Memphis, but the bonds defaulted
Lisa Marie Presley was rushed to hospital hours after celebrating her father at the Golden Globes with Austin Butler, who brought him back to life on the big screen
EPE, which manages licensing and branding rights to Elvis Presley’s image and other products and ventures, is now owned by the Authentic Brands Group.
However Graceland remained with Lisa Marie, who inherited the estate on her 25th birthday, as stipulated in Elvis’ will, and it is unclear who it will go to now.
Lisa Marie also retained a 15 percent stake in EPE, after selling off the majority share in 2005 – but remained a trustee of the estate until her death along with her mother, Priscilla.
The ongoing battle is expected to get even more complicated after the death of Elvis’ only child, Lisa Marie Presley on Thursday.
Lisa Marie, 54, died after suffering a heart attack at her home in Calabasas, California, just hours after she saw Austin Butler with a Golden Globe for his portray of her father on the big screen.
Winshanker, who has been a part of EPE for more than a decade, said in July last year that the company ‘did not default’ – adding ‘the state agency defaulted’.
Speaking when Graceland reopened after the pandemic, Weinshanker said: ‘We’re going to lose money for the foreseeable future but we need to show the path forward
EPE, which manages licensing and branding rights to Elvis Presley’s image and other products and ventures, is now owned by the Authentic Brands Group
Graceland remained with Lisa Marie, who inherited the estate on her 25th birthday, as stipulated in Elvis’ will, and it is unclear who it will go to now
However a spokeswoman for EDGE countered at the time that they serve as a ‘conduit,’ adding: ‘The Graceland bonds must be repaid from taxes’ that are all generated at Graceland.
‘Neither EDGE, the City, the County, the State nor any taxpayer is liable … for the repayment.
‘The bondholders must wait for sufficient tax revenues to be generated from Graceland.’
In 2017 Graceland Project bonds were issued by EDGE for $104.3 million, some of which were unrated or identified as high risk.
Different revenue streams from Graceland, tied to a slew of new taxes — sales, tourist and property — were each pledged to different series of the bonds.
Of those, around $20million worth of them were in default last year after the pandemic, and it is not clear if the estate or state has recouped any of the money.
Speaking when Graceland reopened after the pandemic, Weinshanker said: ‘We’re going to lose money for the foreseeable future but we need to show the path forward.
Lisa Marie also retained a 15 percent stake in EPE, after selling off the majority share in 2005 – but remained a trustee of the estate until her death along with her mother, Priscilla
In 2017 Graceland Project bonds were issued by EDGE for $104.3 million, some of which were unrated or identified as high risk
‘We’ve been working closely with the county and the state governor lee in tenses has been really amazing at trying to see what we can do safety and what’s possible.
DailyMail.com has yet to receive a comment on the ongoing situation from the City of Memphis, EPE or EDGE at the time of publication.
All proceeds from the bonds went into a massive expansion which stated in 2015 and eventually added new buildings and 450-room hotel.
An Elvis auto museum and a collection of his sequined jumpsuits and other outfits were also added to the collection – along with other memorabilia and the history of his music.
The cheapest ticket following the reopening is $77, with an ultimate VIP tour costing $190 – allowing fans to access new attractions a private tour, lunch and access to his private plane.
It is unclear if the issues are still ongoing, with EPE hosting an event for Elvis’ 88th birthday – weeks before Lisa Marie died of a heart attack.
