INTO THE VICTORY LANE

A Grand Prix for South Dade businesses

By MARCIA C. SMITH
Special to The Herald

They can look at areas once devastated by Hurricane Andrew and find flashes of a South Dade business community revitalized by a sport some never followed before.

Near the intersection of Palm Drive and U.S. 1 in Florida City, checkered flags wave in front of the Gateway Shell station. The message ``Welcome Race Teams'' glows on the Hampton Inn marques.

Across the street, a new restaurant, Victory Lane Motorsports Grill, opens its doors to auto racing fans. And banners touting next weekend's Powerade Superbike Challenge hang from light posts.

A few miles east -- they can see it -- lies the stunning 65,000-seat Metro-Dade Homestead Motorsports Complex. For many, the $61 million facility has become the beacon of economic well-being businesses have sought since the storm roared through in August 1992.

``This racetrack is the first large, visible entity that tells everyone what our future of redevelopment is going to look like,'' said Kim Sovia, president of the Greater Homestead Florida City Chamber of Commerce. ``It's still young, but the track's economic impact has definitely been all positive, millions of dollars positive.''

The response shows an optimism unrivaled since Andrew pummeled through 90 percent of Homestead's homes and buildings, caused about $2 billion in destruction and drove away more than 10,000 residents (40 percent) and 300 businesses (30 percent).

Homestead Vision Council President Dick Bauer estimated that the city's property tax base plummeted more than $300 million (50 percent) overnight, but said it has steadily recovered due largely to the complex and time.

``The track has helped us dispel the idea that we're still devastated or still backward in the business sense,'' said Bauer, whose nonprofit group aims to redevelop South Dade's economy. ``We've tried to piggyback off events like the Grand Prix, and it has been successful.''

Since November 1995, the six-story, 344-acre complex has sponsored four major events: NASCAR's Busch Grand National Series Jiffy Lube 300, IndyCar Spring Training, IndyCar's Marlboro Grand Prix of Miami and the NASCAR Craftman Truck Series Florida Dodge Dealers 400.

The events' combined draw about 200,000 racegoers. And they spent money in South Dade, crowding into local hotels, buying gas from surrounding stations, waiting 90 minutes to be seated in restaurants, shopping at the Florida Keys Factory Outlet, and queuing up for Florida's Turnpike tolls.

An American Coalition for Entertainment and Sports Sponsorship study estimated the March 1-3 Grand Prix alone generated $21 million in direct dollars to the South Florida economy. That is only a fifth of what racing promoter Ralph Sanchez, whose Miami Motorsports venture operates the track, said the complex should provide annually through its draws for events, racing schools, performance testing and police academies.

``There is a lot of pride in the community about `the complex,' '' said Sanchez, who led the campaign for the speedway built largely with proceeds from Homestead bond issue and Dade County tourist-tax revenue. ``Pride is added to the economic impact, and that you can't put a price tag on.''

Sanchez can measure the economic impact beginning with the revenues from ticket sales ($25-$75) and usage fees such as the $834,800 from Championship Auto Racing Teams Inc., which rented the facility for its PPG Indy Car World Series Spring Training and Grand Prix.

The track has employed more than 200 local workers for its plumbing, construction, painting, security and electrical needs. Florida Keys Gate Golf and Tennis Club catered events. McLean's Florist in downtown Homestead often provides flower arrangements for the teams' suites.

``Our revenues and orders tripled from 150 to over 450,'' said Homestead native John McLean, whose family has run the florist shop at 820 N. Krome Ave. since 1928. ``I wouldn't have that business if it weren't for the track.''

Like many hotels from the Keys to Kendall, the Florida City Hampton Inn sold out its 123 rooms at Palm Drive and U.S. 1 for all the track's race weekends. Manager Mike Pingston said motorcycle teams arriving this week booked the hotel in February and called the complex a ``welcomed addition.''

Service station/restaurant owner Michael Moore said business at Gateway Shell on U.S. 1 and Palm Drive triples during race weekends. He noted the surge with the track's first event, the Jiffy Lube 300, and invested $350,000 to open Victory Lane with eight partners including Rip Tosum, Mark Otto and Wayne Otto Fitzdam.

The Florida City family-oriented grill, at 326 SE First Ave., has a race car near its entrance and racing helmets and autographed photos lining the walls. It draws hundreds of fans Sundays to watch televised races. During the recent Florida Dodge Dealers 400, more than 500 people dined there.

``Starting Victory Lane was a risk, but we're sure with the way racing is taking off, our time has come and will come,'' said Moore. ``Our purpose was to be the first and establish a local base before everyone comes to cash in.''

And they are coming.

Bauer said the Vision Council receives about 10 inquiries from entrepreneurs interested in coming to South Dade. The businesses, mostly cosmetic, pharmaceutical and electronic manufacturers, want to set up in Homestead's Park of Commerce, while restaurants seek locations along the route to the racing complex.

Sanchez said he, too, receives calls from investors interested in building hotels, restaurants and bars in the South Dade area.

``The response to the events has been overwhelming,'' Sanchez said. ``South Florida is being seen around the world in a positive light; and this response to the complex is the first major element in the comeback of Homestead.''