Atlantic City's landmark amusement pier remains on the market as public financial records reveal millions in outstanding financing at the end of 2024.
ATLANTIC CITY, N.J. — As Atlantic City's historic Steel Pier remains listed for sale at $85 million, questions are emerging about what would happen to millions of dollars in financing provided by the Casino Reinvestment Development Authority if the iconic Boardwalk attraction changes ownership.
A review of the CRDA's publicly available audited financial statements shows that the authority carried a Steel Pier loan receivable of $10,826,926 as of December 31, 2024.
That figure is significant because the Catanoso family, which purchased Steel Pier in 2011, is now seeking a buyer for the property, creating the possibility of a major transaction involving an attraction that benefited from public-agency financing.
The financing issue resurfaced Friday, October 16, when Atlantic City developer Keith Groff discussed the pier's financial history during an appearance on The Don Williams Show on News Talk 1400 & 92.3 WOND.
Groff said he had examined recorded property documents through the Atlantic County Clerk's Office to better understand the financing arrangements.
His central question was straightforward: If Steel Pier is sold, what happens to the money owed to the CRDA?
What the Financial Records Show
The CRDA's audited financial statements provide a clearer picture of the financing than the estimates discussed during the radio interview.
According to the authority's 2024 financial report, the Steel Pier loan balance increased from $10,768,284 at the end of 2023 to $10,826,926 at the end of 2024.
The report recorded $58,642 in additions to the balance and no repayments during 2024.
Earlier financial statements showed a considerably larger amount.
At the end of 2022, the CRDA reported a Steel Pier loan receivable of $16,038,684.
The reduction between 2022 and 2023 indicates that the reported balance changed substantially during that period. However, the publicly reviewed financial statements alone do not establish all the circumstances surrounding that change.
The most recent verified figure available for this report is the December 2024 balance. It should not be interpreted as a confirmed current payoff amount.
How Steel Pier Received CRDA Financing
The Catanoso family purchased Steel Pier from Trump Entertainment in 2011 for approximately $4.25 million, after operating the amusement attraction under a lease for years.
The family subsequently undertook an ambitious effort to modernize the pier and introduce new attractions.
One of the most prominent additions was the 227-foot-tall Observation Wheel, which opened in December 2017 and became a recognizable feature of the Atlantic City skyline.
The CRDA provided financing for improvements and expansion of the pier, including work associated with the observation wheel.
The financing was intended to help strengthen Atlantic City's tourism economy and expand entertainment offerings beyond casino gambling.
The pier's financing arrangements also encountered difficulties.
In 2021, The Press of Atlantic City reported that the CRDA had approved modifications to a $14.3 million Steel Pier loan following the economic disruption caused by COVID-19.
The agreement allowed Steel Pier to defer much of its 2020 loan payments, with approximately $344,000 added to the outstanding principal.
At the time, CRDA officials emphasized that the arrangement was a deferral rather than forgiveness of the underlying debt.
The authority's financial records subsequently continued to list Steel Pier among its outstanding loans.
Developer Raises Repayment Questions
During Friday's interview, Groff said he began researching the Steel Pier financing after hearing questions from listeners about the CRDA's involvement.
Groff, who has developed residential properties in Atlantic City's Inlet neighborhood for approximately 25 years, said he downloaded documents from the Atlantic County Clerk's public records system and used artificial intelligence to help interpret the transactions.
He estimated that Steel Pier had received approximately $8 million in CRDA financing through two loans, although the authority's audited financial statements show a different and more extensive financing history.
Groff said he believed the loans should be repaid if the pier is sold.
"When they go to sell it, they pay back the CRDA loan," Groff said, describing his interpretation of the recorded financing arrangements.
He added that repayment would allow the authority to use recovered money for other projects.
"That's the way it should be," he said.
Groff also spoke favorably about the Catanoso family and its commitment to keeping Steel Pier operating through difficult periods for Atlantic City.
"They stuck their necks out buying that pier," he said.
He noted that the owners continued operating through the closures of nearby casino properties, including the former Trump Taj Mahal and Revel.
Groff did not accuse Steel Pier's owners of wrongdoing.
His comments instead focused on the importance of ensuring that public-agency financing is properly accounted for in any future sale.
Would a Sale Require Repayment?
That remains one of the most important unanswered questions.
Loans secured by real estate or business assets commonly contain provisions governing repayment, refinancing and the transfer of collateral.
However, the precise requirements depend on the terms of the loan agreements, any amendments, the security interests involved and the structure of a potential sale.
A property's listing for sale does not automatically mean an outstanding loan is immediately due.
Likewise, a sale price does not necessarily represent the amount an owner would receive after satisfying debt, transaction expenses and other obligations.
To determine exactly what Steel Pier would owe the CRDA upon a sale, the authority would need to confirm the current outstanding balance, the applicable loan provisions and whether any modifications or repayment arrangements have been approved since the latest audited financial statements.
No completed sale has been announced.
An $85 Million Asking Price
Steel Pier was listed for sale in September for $85 million through the New York-based luxury real estate brokerage SERHANT.
The property includes the amusement pier, restaurants, entertainment facilities and the Observation Wheel.
The pier's location along the Atlantic City Boardwalk and its development potential are central features of the marketing effort.
Anthony Catanoso has explained that the decision to sell is largely related to succession planning, as the family's next generation does not intend to take over the business.
The listing has generated interest because of the property's historic importance and the possibility that a future owner could pursue additional hospitality or entertainment development.
Atlantic City Mayor Marty Small Sr. has expressed concern about the possibility of the pier losing its amusement attractions.
For many residents and visitors, Steel Pier remains one of the Boardwalk's most recognizable landmarks.
The Public Money Question
The CRDA is a New Jersey public authority responsible for supporting redevelopment, tourism and economic investment in Atlantic City.
Its financial activities include projects supported by casino-related revenue and other designated funding sources.
That makes the status of its Steel Pier financing a matter of public interest, particularly with the property being marketed for tens of millions of dollars.
The authority's audited statements establish that substantial financing remained outstanding at the end of 2024.
What those records do not establish is the precise amount currently owed, whether the financing has been modified since then or exactly how the obligations would be handled in a future transaction.
Those questions are particularly relevant as potential buyers consider the property.
For now, the $85 million listing has renewed attention not only on the future of Steel Pier itself, but also on the public investment that helped support its redevelopment.
South Jersey NewsBeat will continue following the proposed sale and the status of CRDA financing as additional information becomes available.
About the Author
Scott Stephens
Scott has been an on-air personality, producer and newscaster for 30+ years. He has been a mainstay in the South Jersey Community and on the air across many different area stations. Scott can currently be heard on Kool 98.3 and News Talk 1400 & 92.3 WOND.
