At the September 20, 2022 meeting of the Virginia Beach Development Authority, Atlantic Park Surf Park requested the issuance of 501(c)(3) bonds.
The question everyone wants to know, “Who is P3 Foundation, Inc.?” Essentially, P3 Foundation Inc. is a nonprofit set up to exclude bond interest from taxation.
At first glance, it is a nonprofit whose mission is, “to partner with public and charitable entities to develop services, activities, and programs designed for senior housing, education, health care facilities, affordable housing, and governments.” The address listed on Charity Navigator is 4100 Carmel Road, Suite B, #214, Charlotte, North Carolina which is a UPS Store.
The organization was founded on July 6, 2017 and has “Corporation Service Company” as a registered agent with a mailing address of 2626 Glenwood Avenue, Suite 550 in Raleigh, North Carolina (a law firm with thousands of registered companies).
The Articles of Organization show an address of 525 North Tryon Street, Suite 1600, Charlotte, North Carolina.
filed in North Carolina
For years 2017 and 2018, P3 Foundation Inc. had less than $50,000 in gross receipts with Jeffrey Klein listed as the Principal Officer.
Seems Kosher, right? Not so fast . . .
On August 8, 2019, the Foundation was issued over $26 million in Lancaster IDA Revenue Bonds.
The members at that time were:
Jeff Klein, President – an asset/investment manager and manager/member of numerous LLC’s organized to transfer funds
Greg Fawcett, Secretary – the president, managing member, and founder of Piedmont Securities LLC
Jim Moore, Treasurer – an asset/investment manager and financial advisor
Kim Wyatt, Executive Director – an asset/investment manager and financial advisor
Andrew Kittleson, Director – a wealth advisor in ‘alternative investments’
Christopher Liedel, Director – an investment banking and strategy consultant
Louise Waller, Director – an asset/investment manager
In a filing with the IRS, payments to closely affiliated organizations totaled $245,750. These for-profit entities were organized by the Foundation’s board members.
Form 990 (2019)
Edgesight LLC received $96,750 for, “bond-related services,” performed on behalf of the Foundation. Edgesight was organized by the Foundation’s executive director, Kim Wyatt, on 8-18-2018 in Texas, with its principle address in Denver, Colorado.
NP Asset Services LLC received $145,000 for, “asset management and bond-related services,” performed on behalf of the Foundation. NP Asset Services was organized by the Foundation’s president, Jeff Klein, on 8-2-2019 in Texas. Greg Fawcett and Jim Moore are also managing members of NP Asset Services.
Associated funds:
California Municipal Finance Authority
There are several organizations tracked back to P3 Foundation Inc. in North Carolina, all of which are for-profit investment companies:
Frame Financial Systems LLC (operated from the same UPS store as the Foundation)
JSK Enterprises LLC
Kensington CA LLC (with a principle office at a $3.5 million residence in Charlotte, North Carolina)
Kensington Capital Advisors LLC registered as a municipal advisor until February of 2019. Principle office is another UPS Store.
Piedmont Securities LLC a brokerage firm started by Greg Fawcett, the Foundation’s secretary, and located at 215 South Main Street, Suite 304 in Davidson, North Carolina.
Associated companies:
Fourth Ward Capital Holdings LLC in Columbia South Carolina.
P3 CPTC Holdings LLC organized in Delaware with a controlling interest in P3 Foundation Inc.
CPTC Acquisition LLC located in San Diego, California.
P3 FMC Holdings LLC located in Lancaster, Pennsylvania with a principal address at a UPS Store.
Atlantic Park Project
March 16, 2021
August 10, 2021
On August 17, 2021 the Atlantic Park Community Development Authority was created after Rocky Holcomb was seated to VBCC as an $84,000 asset bought by Delegate Barry Knight.
April 5, 2022
July 12, 2022
Background leading to the approval:
10/4/2016 VBCC considers bond resolution (fails 8 to 3)
A slew of campaign contributions from Venture Realty and associates to state electeds sealed their bid (and bond approval) for the Atlantic Park wave pool project.
On September 29, 2019, Venture Realty registered Atlantic Park Inc. with the State Corporation Commission listing Michael A. Culpepper, Donna L. Whitaker, John L. Gibson III, and Bruce Berlin as officers.
October 22, 2019, less than a month after the corporation registered and before Delegate Knight reintroduced the legislation, Atlantic Park was the approved contractor for the Dome project.
Keep Virginia Beach Above Water 
Wow. This deal needs to die. So many tortured twists and turns and gimmicks and lies to keep it on life support. Here’s more perspective from “inside” the City. Venture was selected as the “preferred” developer by the Virginia Beach Development Authority way back on November 21, 2017. A currently APPOINTED member of City Council, Linwood Branch, was a Development Authority commissioner back then and pushed, motioned and voted for Venture. (ESG, the Cordish Companies and Breeden lost the bid for “preferred” status…oh well).
Since his October 2021 appointmenAPPOINTMENT to City Council, Branch has been shoving this flawed deal through, with all sorts of amendments and votes, come hell or HIGHWATER. In the Development Agreements, Venture promised to develop the wave pool, retail, office and residential mixed-use projects with the City (i.e. TAXPAYERS) paying for a new concert/entertainment venue, streetscapes and parking. The City has already appropriated most of the many millions of $ for its part of this rotten deal, including a $17 million LOAN last year to yet another “fictitious” entity, the Atlantic Park Community Development Corporation – all the members of City Council – someone pass me an Excedrin!), to start working on the City’s portion of the project. After five long years, Venture has come up with…NOTHING…except requests for the City to DO MORE.
Venture missed its first private financing deadline last December 2021 and missed the extended deadline this past June 2022. Questions regarding a new deadline date went UNANSWERED. How do I now interpret this? Venture has OPEN, ANY-TIME ACCESS to the City’s bank account (NOONE in the City is looking out for taxpayers in this deal_. And why not? In the minutes of several VBDA meetings, TOWNEBANK is explicitly mentioned as a possible source of financing for the developer, Venture. Venture is partially owned by Doug D. Ellis…who happens to also be the President of the Virginia Beach Board of TOWNEBANK and is the 2nd largest individual shareholder in the bank. And, by the way, Ellis served two terms on the Development Authority. (When he left in 2010, he was replaced by…you guessed it…Linwood Branch). The Development Authority’s checking account is with TOWNEBANK and the City government has investments with TOWNEBANK.
So, is this deal SO BAD that even Doug Ellis and Pharrell Williams, with all their access to tons of $money$ cannot get financing for this ridiculous waste of taxpayer money? Yes. So the corrupt Development Authority has now stooped so low that they have agreed to Venture’s request to VIOLATE the Development Agreements and now use a “non-profit”, P3 Foundation, which has absolutely no Past Performance in “developing, financing, owning and operating” a Wave Pool, to get P3 to ask the Commonwealth of Virginia (Virginia Small Business Financing Authority) to issue bonded debt to finance a wave pool, one block from the Atlantic Ocean. If the Commonwealth of VA cannot see that this is insane and protect the interests of all state taxpayers, then God help us all. (I am personally hopeful that they will shut it down).