Go-kart tracks are taking off across the country.

They’re getting bigger and moving indoors, enabling them to remain open year-round. They are often debuting in growing population centers, with operators constructing build-to-suit facilities or moving into vacant big-box retail space.

And they’ve transitioned into becoming anchors of multimillion-dollar family entertainment centers that offer patrons a variety of activities — not just go-karting but bowling, arcades, ax throwing, laser tag, virtual reality areas, rock climbing, meeting rooms and restaurants — all under one roof. Those centers are thriving after the worst of the pandemic, with Americans eager to get out of the house and have fun together.

In November, what’s being touted as the world’s biggest go-kart track is scheduled to open in Edison, New Jersey, from Supercharged Entertainment. The chain Andretti Indoor Karting & Games, based in Orlando, Florida, is mounting a national expansion, with new locations soon slated for Arizona and Texas.

Industry giant K1 Speed is increasing its reach with last month’s acquisition of Pole Position Raceway. The Showboat Resort & Convention Hotel in Atlantic City, New Jersey, added an indoor go-kart track to its Lucky Snake arcade a few months ago. Even Norwegian Cruise Line has put go-kart tracks — with the newest one featuring three levels — on some of its ships.

Go-kart tracks are "the icon du jour, if you will, for our industry because it is that area that is growing. … A lot of people are looking at them now to see if they can make them work,” said Dennis Speigel, founder and owner of consulting firm International Theme Park Services. "I would say they are on the comeback trail."

After the worst of the coronavirus outbreak, families are eager to get out and partake in activities together, spending more of their dollars on that than goods, according to retail analysts. Go-kart track operators said they see that as an opportunity. Visits by celebrities such as Billie Eilish, David Letterman, Brad Pitt, Bad Bunny and Ye, formerly known as Kanye West, have added to the tracks’ cool factor.

Even so, some consultants predict the trend and interest in go-karting could peak and then decline once the drive for social activities calms down as the pandemic shows signs of easing. The sudden surge in interest could also boost the number of competitors to the point that it leads to a shakeout in the industry.

Go-kart tracks became popular in the 1960s and 1970s, but concerns about their safety and operator liability put the brakes on the business, according to Speigel. With advances in technology, the cars are now electric and have sophisticated safety features. And new facilities are installing multilevel tracks, which duplicate the effect of riding a roller coaster.

Today the industry has moved beyond the mom-and-pop operations of yore and is attracting Wall Street investors.

"These are all corporations with very smart people behind them and a lot of money," said Edison "Eddie" Hamann, one of the managing members of Andretti Indoor Karting.

One of the company's major financial backers is EPR Properties, a real estate investment trust focused on what it calls "experiential" and entertainment-oriented retail properties. The Kansas City, Missouri-based REIT also has partnered with Topgolf on driving ranges across the country.

Go-karts are just one aspect of the overall boom in family entertainment centers, according to Randy White, CEO of White Hutchinson Leisure & Learning Group, a consulting firm.

“A lot of this is being driven by vacant retail space, whether it’s in malls or large box stores that closed," he said. "And we have landlords chasing entertainment to try to drive traffic to their locations. So a lot of these chains are able to get sweetheart deals on the real estate. And there’s also a lot of private equity money chasing the industry for some reason. I guess because they can’t put it anywhere else.”

Supercharged Entertainment already has one go-kart track in Wrentham, Massachusetts, and the new one it's building in North Jersey is 37% larger. The racetrack at 987 U.S. 1 in Edison overall will be 131,000 square feet, with just over 80,000 square feet dedicated to the track, according to Michael Dawson, director of operations at the facility.

The cost for the Edison center is about $25 million. It will include an arcade with 140 games, 19 ax-throwing lanes, a restaurant and several bars, and a Drop-and-Twist tower ride.

“We build our centers to have something for literally everybody, whether you’re a family of four, whether you’re on a date, whether you’re going out with your friends," Dawson said. "We want to give something to everybody. ... We don’t want to be for just older people or younger people."

As for the actual go-karts, they are expected to attract a broad demographic.

"We have young kids that are driving," Dawson said. "We have bachelorette parties that really love it. We have bachelor parties that love it. We have corporate events. It’s really broad. As long as you like roller coasters or a ride like that ... because the track is multilevel and goes up, down, turns left, right. It’s kind of a roller coaster you can control."

Supercharged Entertainment's biggest competitor in New Jersey is RPM Raceway in Jersey City. That operator recently renovated and made improvements to that track. RPM, which didn't respond to an email and phone call seeking a comment, has six facilities.

The Edison track is located next to a Topgolf, as are many of the sites that Andretti Indoor Karting has now or is opening, according to Hamann. Parents can hit some balls at Topgolf and their families can experience various attractions at its centers, not only the racing but bowling and laser tag. Andretti Indoor Karting also looks for neighbors such as food-and-entertainment chain Dave & Buster's at locations it is considering, according to Hamann.

“We like the synergy with other attractions, other brands of entertainment like Topgolf," he said. "Most of our locations are next to Topgolf. ... Their customers are very affluent, and we are funded through [EPR Properties] that also funds those golf clubs."

In Orlando, the Andretti go-kart track and adjacent Topgolf draw about 3 million people a year, according to Hamann.

Several members of the Andretti racing dynasty, including champion and legend Mario, are involved in Andretti Indoor Karting. Hamann started the go-kart business years ago by partnering with his friend John Andretti, who is the son of Mario's twin brother, Aldo. John died of cancer in 2020, but the Andretti "family is very much involved in the design of the tracks and look of the stores," an Andretti Indoor Karting spokeswoman said.

The company has six locations now: Orlando; Buford and Marietta, Georgia; and The Colony, Katy and San Antonio in Texas. And it has big plans for expansion.

"We’re either in [letters of intent] or purchased or have some type of engagement with about 16 properties around the country right now," Hamann said. "Our goal, we feel that because of our investment, we can be in about 35 to 40 [sites] by the end of 2030-2031 that can support the type of investment that we’re making.”

The company already has new locations for tracks in cities such as Glendale and Chandler, Arizona, as well as Albuquerque, New Mexico, and Fort Worth and Grand Prairie, Texas, according to Hamann. It is also eyeing locations in North Carolina and Illinois.

Andretti makes “huge capital investments” in its go-kart tracks, from $40 million to $50 million, Hamann said. The properties range from 96,000 to 140,000 square feet and generate $17 million to $25 million in sales a year.

K1 Speed, based in Irvine, California, is the the world's largest indoor go-kart racing operator and says by next year it will have 73 locations in seven countries and 23 states. But its market is really NASCAR and Formula One racing fans, "gearheads that want to go out and race against each other. ... It’s very competitive,” according to Hamann. Andretti wants a broader clientele.

"We decided if we want to make the type of investment that’s going to generate the type of revenue we need, we need to appeal to everyone, and not everybody wants to drive a go-kart," he said.

Andretti Indoor Karting's facilities have meeting rooms for corporate customers, who can hold their events and presentations and then employees can drive go-karts or do other activities for a few hours, according to Hamann. And there are go-kart tracks for all age groups, from 5-year-olds with "Mini Mario Karts," junior tracks for those ages 8 to 12, and adult tracks.

The go-karts themselves are now "tremendous" pieces of equipment, according to Hamann.

"It’s a controlled environment," he said. "If someone hits the bumper system, it absorbs 80% of the energy. ... They have disc brakes. If you get close to another car you slow down automatically.”

According to Speigel, "They’re not your grandfather’s go-kart, OK. They get up and go."

Andretti Indoor Karting and anyone involved in the family entertainment center business are all competing for consumers’ discretionary income at a time of high inflation. Hamann is still upbeat despite that challenge.

“Our business is not recession-proof but it’s recession-resistant, which means that when things get tough and gas is at $5, yeah [families] might not go out three or four times a month, but they’ll go out twice, because they want to spend quality time" together, he said.

White isn’t quite so optimistic.

“What’s happened is there’s been a recent surge in attendance at these facilities and people are taking that as a long-term trend," he said. "But a lot of that is just everybody trying to catch up with what they missed for two years. ... It could drop off, so I think there’s going to be a lot of shakeout, especially at older facilities.”