Author: Casino Connection Staff

Atlantic County Superior Court Judge Michael Blee will make a determination on whether to pause the decision on the PILOT program until the appeal by the state has been heard.

Meanwhile, last month, Atlantic County asked that the appeal go straight to the New Jersey Supreme Court.

The jockeying back and forth stems from legislation passed in December 2021 to cut out online sports betting and iGaming revenue from the calculations over what the gaming industry owes the city and county as part of the PILOT, which stands for ‘Payment In Lieu Of Taxes.’

The amendments to the original 2016 law were challenged in court by the county, which would lose significant funding, hence the lawsuit.

Blee ruled in the county’s favor over the summer. He also declared the amendments benefited a private entity, namely the casino industry. He said while the pandemic caused hardships, they were not enough to change the payment parameters.

The judge issued a 90-day stay of the decision to reject the amendments, which maintained the status quo.

Apollo Global Management, owners of the Venetian Resort Las Vegas, have announced plans to spend over $1 billion in renovations to the Strip property, according to Venetian CEO Patrick Nichols.

In a recent interview with Travel + Leisure, Nichols asserted that the new renovations would update “every area of the guest experience.” He also said that the company plans “to renovate, remodel and redesign all of our suites,” for both the Venetian and Palazzo.

“We will be offering a number of new [food-and-beverage] concepts, we are taking a deep look at entertainment, nightlife, and bar offerings, and the casino floor will feel significantly different as well,” Nichols concluded.

The CEO took office in June, after serving as general manager of the Cosmopolitan Las Vegas, also on the Strip.

After Apollo’s $6.25 billion acquisition of the Venetian and Palazzo from VICI Properties was finalized back in February, the company announced plans to renovate the existing pool deck and add a $50 million TAO Beach Dayclub.

According to Nichols, Los Angeles-based design firm RIOS will spearhead the project—the prominent Italian theme is expected to stay, as Nichols said that “we are a themed hotel and we will always be a themed hotel.”

With the third U.K. prime minister this year ensconced at 10 Downing Street, the country’s gaming industry is calling on Rishi Sunak to issue the Gambling Act white paper that has been delayed over and over. But it is cautiously advising the government to not spoil “the enjoyment of the overwhelming majority of punters who bet safely and responsibly.”

Michael Dugher, chief executive of the Betting and Gaming Council, noted that the new premier represents a constituency that includes a racecourse, and that he understands the importance of the industry.

“The BGC warmly welcomes the appointment of Rishi Sunak,” he said. “As the Catterick MP, Rishi has always shown himself to be a very strong supporter of British horse racing and he knows only too well the symbiotic relationship between the regulated betting industry and racing.”

He added, “We also hope the new administration makes speedy progress on a sensible, proportionate and carefully targeted gambling white paper, one that helps to further drive up standards and protect the vulnerable, while safeguarding jobs, investment and sport.”

Last week Rishi Sunak replaced Liz Truss, who had replaced Boris Johnson, all within the span of a few months. Truss’ tenure lasted just 44 days.

Dugher added that the new prime minister had served as chancellor, and understands how the gaming sector contributes to the economy and the treasury. “BGC members contribute £7.7 billion to the UK economy, including £4.5 billion in tax, as well as sustaining nearly 120,000 jobs—something our new PM and his team fully understand from their time running the Treasury, ” he said.

Dugher added, “As well as racing, we also provide vital support to many other sports like lower league football, rugby league, snooker and darts. We stand by ready to help our new prime minister rebuild and grow our economy in every part of the UK.”

The gaming industry has been waiting for the reform of the Gambling Act of 2005 since 2020, when the government began a review of the law. The initial consultation closed March 2021 but the chaos caused by the changes in government have delayed the issuing of the paper. Its publication had been anticipated this fall when Truss’s government fell.

Some continuity is guaranteed, since Michelle Donelan will retain her job as Secretary of State for Digital, Culture, Media and Sport (DCMS), which oversees the gaming sector. She was appointed last month by Truss. She will lead the review of the Gambling Act.

The minister in charge of the actual gambling policy, Damian Collins, is stepping down as the under-secretary of state for tech and the digital economy by the Department of Culture, Media and Sport (DCMS), even though he was expected to remain in the position. He first took the job in July when the first wave of resignations started objecting to the administration of Boris Johnson. He survived the ascension of Truss, but couldn’t get beyond Sunak.

“It has been a real pleasure to work with the team at the DCMS to take forward the Online Safety Bill and other measures to strengthen our digital economy,” Collins said in a Twitter post. “I will now continue to support these efforts in parliament from the backbenches.”

The importance of the gaming sector to U.K.’s economy has begun to grow, according to the most recent statistics issued by the U.K. Gambling Commission (ULGC). Total retail and land-based casino betting and gaming rose 27 percent over the previous month. This was based on a telephone survey of 4,018 adults.

Participation in online gaming also rose, by 27 percent over the same year. This continues a “long-term trend” that the commission has recorded for the past year. Nevertheless, overall participation hasn’t reached pre-Covid levels.

However, an uptick in the use of the online National Lottery was observed.

According to a statement by the commission: “Latest data for 2022 indicates that people are starting to return to in-person activities including bingo, horse and dog racing, however, current in-person participation rates remain below pre-pandemic levels.” It added, “There have been differences observed by age group in terms of those returning to in-person activities, with the in-person participation rate for 16 to 24 year olds closest to their pre-pandemic rate.”

The latest statistics point toward “steady growth, like many other sectors,” said the statement.

The survey indicated that 42.9 percent of those who took it took part in some form of gaming in the past month, with 25.8 percent saying they participated in online gaming during the same period.

The rate of problem gaming remains stable at 0.3 percent, which is comparable to last year, and below the 0.6 percent during the depths of the pandemic.

On October 19, the Clark County Commission (CCC) gave the final nod of approval to Houston-based billionaire Tilman Fertitta’s proposed 43-story, 2,000-plus room hotel-casino on the Las Vegas Strip near the intersection of Harmon Avenue and Las Vegas Boulevard.

Fertitta, who is the cousin of Red Rock Resorts’ owners Frank and Lorenzo Fertitta, currently owns the Golden Nugget in downtown Las Vegas, but has tried for years to establish a presence on the vaunted Strip. The outspoken entrepreneur finalized his $270 million purchase of the six-acre plot on which he plans to build the new casino back in June.

Rebecca Miltenberger, an attorney and representative for the project, told the CCC during the hearing that all parties involved are “very excited to bring this project to fruition over the next two years,” and added that the end result will be a “high-end casino resort.”

Following the vote, however, Milterberger declined comment to the Las Vegas Review-Journal, and did not give any details as to when the demolition and construction processes will begin. The site currently features a number of existing buildings, including a Travelodge motel, that will need to be torn down to make way for the new project.

Jeffries’ gaming analyst David Katz asserted in a previous interview with the Review-Journal that such a project would be considered a “big-ticket” development, and would likely cost $3 billion or more to build.

That’s certainly a steep price, but one that Fertitta could stomach—the 65-year-old mogul controls a nationwide empire of restaurant brands, as well as the Houston Rockets NBA franchise, which was recently valued at a conservative figure of $2.75 billion by Forbes.

During a raucous community meeting where police removed more than a half-dozen citizens, the Aurora, Illinois City Council unanimously approved a redevelopment deal between the city and Hollywood Casino to move the casino from downtown to the northeast side of Aurora.

Penn Entertainment would invest at least $300 million in the project and the city would offer nearly $60 million in bonds. Also, the city will give the casino city-owned land worth $8 million and will also transfer $6.65 million in options to buy two sites adjacent to the casino.

The venue would feature a casino with 950 gaming machines and a Barstool Sportsbook, plus a 200-room hotel, six restaurants, meeting rooms, an outside event area and a 10,000-square-foot event center.

Opponents of the agreement said the casino can move from downtown but they’re against using property taxes to help pay for it. They noted Penn Entertainment, which reported $2.75 billion in gross profits in 2021, according to a Nasdaq report, can afford to build the casino itself. They said city money should go to schools and other taxing bodies.

The protesters also said the city should have discussed the deal in public forums to get residents’ opinions, and a traffic-impact study should have been completed. They said the deal was rushed. In response, David Dibo, director of the Mayor’s Office of Economic Development, said the redevelopment agreement would “kick-start” the process. He said public forums and a large open house could be held.

Aurora Mayor Richard Irvin countered that the city has worked on moving the casino for four years, purchasing properties near the proposed casino site. City and casino officials have said factors such as the proliferation of casinos and the smoking ban have caused casino revenue the city receives to drop from $15 million to $6 million a year. However, Dibo said casino and city officials have estimated gaming tax could double to at least $12 million a year and food and beverage and hotel-motel taxes could bring in another $1 million a year.

When the casino opened in 1993, it was required by the state to be on a riverboat that would cruise the Fox River during gambling sessions. The city successfully lobbied the state to change the law so the casino could move onto dry land without having to get a new state gambling license. As required by state law, the casino portion of the current facility is located on a permanently moored barge.

Todd George, executive vice president of operations for Penn Entertainment, said the project represents “a casino of the future. We feel with the offering we put together that we have a shot at making Aurora proud, at making Penn Entertainment proud.”

Chris Rogers, executive vice president for business development and strategies for Penn, said it was “difficult to justify expanding in Illinois” due to the proliferation of video gambling machines. He said Illinois has enough video gambling machines to equal about 40 casinos. “The status quo is not a good situation for either Penn or the city of Aurora,” he said.

But the city urged Penn to consider an expansion with a facility that’s more of a resort than a casino. Rogers said the proposed location at Farnsworth and I-88 is “spectacular” and “superior” to the downtown location. Much of the needed infrastructure is intact, with about 10 times the amount of traffic going by compared to downtown, he said.

Rogers said the new casino would employ 700 people, twice the current number. Hollywood Casino General Manager Greg Moore said the jobs pay well and about 15 percent of the employees have worked at the casino for 20 years or longer. “Team members have been loyal to Aurora,” he said.

Massachusetts’ two casinos, as well as its lone slots parlor, raked in $94 million in September, with the state expected to reap $26.5 million. Encore Boston Harbor took in $61.6 million by itself, which produced $15.4 million in taxes. Revenue from slots led the way with $32.9 million, according to State House News Service.

Gaming revenue at MGM Springfield declined to $20.6 million in September after posting almost $22 million in August. Slot revenue was almost four times higher than table games. State coffers were enriched by $5.1 million.

The handle for the slots parlor at Plainridge Park Casino came to $12.2 million last month, which sent close to $6 million in taxes and fees to the state, given the 49 percent tax.

Meanwhile, Connecticut set records for monthly gross revenue in online and sports betting results.

Online gaming collected $943.5 million in September, which resulted in $24.3 million in gross revenue, according to a report October 18 by the state’s Department of Consumer Protection. Adjusted revenue of almost $19 million set another record.

The record gross revenue fed the state $ 3.4 million in taxes, which topped $28 million in 2022.

Sports betting handle eclipsed August’s take by 63 percent to $130.5 million, topping $1 billion for the year, according to USBets.

Sportsbooks reported almost $17 million in gross revenue, setting a record. With an adjusted gross revenue of $12.9 million, the state took in $1.8 million in taxes.

The results concluded the first 12 months of iGaming and sports betting. Online casino bets came close to $9 billion with gross revenue reaching $246 million, sending $35.2 million to the state.

Sportsbooks bets for the first 12 months brought in $1.4 billion, producing $114.3 million in gross revenue, giving the state another $12.3 million.

In a battle between the two leading sportsbooks, handle grew for DraftKings but decreased for FanDuel.

The 27-acre All Net Resort & Arena project on the north end of the Las Vegas Strip, which has been up and down—mostly down—for nearly 10 years now, was recently injected with new life after its director, former professional basketball player Jackie Robinson, announced at a media event October 19 that he has secured new funding.

The $4.9 billion development, which is expected to include a state-of-the–art sports arena complete with a retractable roof, a pair of high-end resorts, convention space and more, has resumed construction, Robinson said at the event, which took place at the Stirling Club.

He added that he plans to seek extensions via the Clark County Commission next month. The expansive project is now slated to be completed by the start of 2026.

The plot, which is situated between the Fontainebleau and the Sahara, on a site that once was a water park, hasn’t been much more than a vacant, cleared site for some time—in fact, local officials have had to remove mosquitoes from the area after receiving complaints due to standing rainwater.

Todd Owen, head of an investment fund known as the Clearwater Perpetual Master Trust, was unveiled as the new source of funding for the project. Owen told the Las Vegas Review-Journal he was connected to Robinson through a mutual friend.

An attorney for the development, Torben Welch, said that Owen’s bond holdings make him more than capable of financing the long-dormant project. With Owen now on board, the total funding package is believed to have reached $6 billion.

Commissioner Tick Segerblom, who represents the district in which the All Net development is located, told the Review-Journal that he has pestered Robinson in the past about his inactivity, but now that the project appears to have momentum again, the future prospects are “so exciting.”

Segerblom also said that he is confident about Robinson’s ability to procure the necessary construction extensions, and that “everything I’ve seen to date looks very positive.”

The development was first announced in late 2013, with plans to open by 2017. Original budget estimates came in at around $1.3 billion. Clark County officials then gave the green light to construction in mid-2014, but ground wasn’t broken until three years later.

Robinson was then granted an extension in late 2017, but little progress has since been made. By the end of 2020, the commission told the former UNLV basketball player that he had six months to file the requisite paperwork. Segerblom himself told Robinson that it was “time to fish or cut bait.”

He fulfilled his obligations, and was subsequently granted another approval in April of last year.

Bureaucracy aside, Robinson has also struggled to secure the funding needed to complete his ambitious designs. Over the years, he’s announced Credit Suisse, the International Bank of Qatar and Active Capital Holdings as investors in the project, none of which came to fruition.

It’s the third arena planned or operating on the Las Vegas Strip. The T-Mobile Center is operated by MGM Resorts and is home to the NHL Vegas Golden Knights. The second arena, announced early this year at the south end of the Strip at Windmill Road, has also claimed to achieved the appropriate financing, and also features a mixed-use development of a resort and a mixed-use development. Developers claim to have a positive nod from the NBA to host a pro basketball team once Vegas is granted one.

And that’s not to forget the 18,000-seat MSG Sphere nearing completion behind the Venetian and the Palazzo. While it won’t host any sporting events, it will host high-profile entertainment in a state-of-the-art facility that takes full use interactive technology. The Irish band U2 has been announced as the opening act later in 2023.

The details of Baltimore-based Cordish Companies’ proposed casino resort in Petersburg, Virginia will be unveiled on November 1 at a community meeting at the Petersburg Public Library, officials said.

The city council recently held a special meeting where it unanimously approved a proposal to “explore the partnership” with Cordish to develop a $350 million or more casino resort at an undisclosed location in Petersburg.

The council also approved a contract, retroactive to July, with the Speller Consulting Group LLC, “for the evaluation, review and consultation as it relates to the selection of a casino destination economic development project.”

The council vote was held one day after the Joint Legislative Audit and Review Commission issued a study indicating Petersburg could develop a casino resort under a 2020 law allowing five casinos in the state. The legislature would have to approve a casino in Petersburg.

The study also reaffirmed Richmond as one of the five approved casino host cities, even if Petersburg also would develop a casino. Senate Finance Chair Janet Howell declared that situation would lead to “a brawl” when the legislature convenes in January.

Richmond voters narrowly rejected the proposed $565 million ONE Casino and Resort in a referendum last year. Casinos in the other approved cities are open or on their way. However, Richmond officials said they haven’t given up. City officials tried to put a second referendum on the November ballot but withdrew it after lawmakers included language in the state budget blocking a second vote until JLARC completed its study of a potential Petersburg casino. Jim Nolan, press secretary for Richmond Mayor Levar Stoney, said, “We are committed to our selection of ONE Casino and Resort to develop an entertainment destination in South Richmond.”

State Senator Joe Morrissey sponsored the provision in the budget bill blocking the second Richmond referendum. He already has filed legislation, Senate Bill 780, that would substitute Petersburg for Richmond as one of five casino host cities if local voters approve and block Richmond from holding a second referendum at least until after Petersburg voters have their say next fall.

The JLARC study showed a Petersburg casino could generate $204 million in gaming revenue and create 1,300 jobs in Richmond. But those numbers fall to $140 million in revenue and about 1,000 jobs if Richmond also operated a casino.

Former Delegate Lashrecse Aird, who is challenging Morrissey for the Democratic nomination in his Senate reelection bid next fall, said, “There are too many questions that remain unanswered. The fact that this has been approved and this is the first meeting, it seems like the process is backwards and lacks transparency, which is definitely concerning. Petersburg residents want to know if all the hype is a reality.”

A groundbreaking was recently held in Kenner, Louisiana for Boyd Gaming’s new $100 million, land-based Treasure Chest casino, which will replace the riverboat venue in early 2024.

The new facility will offer a 47,000-square-foot casino floor, twice the size of the riverboat’s, plus several restaurants and bars, a FanDuel sportsbook and 10,000 square feet of convention space. Mayor Michael Glaser said, “With the new set-up, we anticipate increased revenue to the residents of the city of Kenner, which will aid in capital projects. This is a wonderful day in Kenner.”

The Treasure Chest is one of the first riverboat casinos that will move to land under a 2018 law allowing the change. It’s expected to open in late 2023 or early 2024, said Boyd Gaming President and Chief Executive Officer Keith Smith. “With this project, we’ll be taking the Treasure Chest to a new level, and with it, our investment in this great community,” Smith said.

The project will be built on the riverboat casino’s parking lot; a new one for riverboat customers to use during construction is nearly finished.

The land-based Treasure Chest will be part of a new entertainment destination planned for Kenner’s Laketown area. Last year, Las Vegas-based Atlantis Gaming announced plans for a new 40-acre resort in Laketown, including shopping, condos and possibly gaming.

Atlantis Gaming President and Chief Executive Officer Donald Bailey said the company is negotiating with the state about securing a lake-bottom lease on Lake Pontchartrain; a portion of the facility would be built over water on eight specially constructed concrete barges. Glaser said Atlantis officials told him the project would cost $700 million.

Opened in 1994, the Treasure Chest riverboat casino has generated millions of dollars in revenue and has provided major funding for capital projects in Kenner. Jefferson Parish Council Member Dominick Impastato noted, “Literally every citizen in the city of Kenner benefits from the success of the Treasure Chest.”

Most gambling is illegal in Texas but poker clubs live in a gray area where some are allowed as membership-only clubs.

The clubs generally live within the law, not charging rakes, which are illegal. They do charge membership fees and usually avoid the wrong side of the law.

But uneasy sits the poker club in the Lone Star State, where law enforcement in some jurisdictions don’t make any distinction between them and illegal gambling. Whether your card club is raided depends on the municipality and how it interprets the law.

In Fort Worth on October 9, one year after the Watauga Social Lounge first opened, during its Fall Classic Poker Tournament, the deputies of the Tarrant County Sheriff’s Office, acting on a warrant signed by a local judge busted in on 54 players.

The deputies confiscated video poker machines, roulette wheels, money and ATMs among other items, the first two obviously illegal by Texas law.

They were accompanied by the federal Drug Enforcement Administration, which also issued citations for various gaming violations, including some to players, for fines up to $411. It also arrested employees of the card club for, according to Online Poker News, “keeping a gambling facility, promoting gambling, and participating in organized criminal activity.”

The card club announced that it lost about $200,000 as a result of the raid.

Caesars Entertainment announced it will invest $4 million in the Grand Victoria Casino, located on the Fox River in Elgin, Illinois. Improvements will include a new sportsbook and poker room.

Specifically, officials said the new sportsbook and poker room will replace the Indulge Kitchen Buffet. The 2,100-square-foot sportsbook will offer self-service kiosks and cashier windows. The 4,400-square-foot poker room with 20 tables will host competitions, including World Series of Poker events.

Grand Victoria Casino currently offers 1,088 slot machines, 12 poker tables and 30 table games, plus several dining options, which also will be renovated.

The Illinois Gaming Board reported $565 million in gross gaming revenue in August and $1 billion in gross gaming revenue since sports betting launched in March, delivering $175 million in tax revenue to the state.

Grand Island Casino Resort October 24 announced that its plans to build a temporary casino at the Fonner Park clubhouse have been approved by the Nebraska Racing and Gaming Commission. The building will begin immediately.

Currently there is one casino in Nebraska, WarHorse Casino, which opened its temporary casino September 24 with 433 slots. It plans to open its permanent casino resort, including a hotel, in November 2024, but any racetrack in the state is entitled to build a casino there.

Fonner Park CEO Chris Kotulak declared, “We are now shooting for an opening prior to Christmas,” noting that the timing is subject to supply chain issues.

The casino will have 300 slot machines, kiosks for live and simulcast horse racing wagering, a snack bar and club. Eventually blackjack, roulette and craps will be added to the temporary casino.

The permanent casino, when completed in late 2024 or early 2025, will include 650 slots, table games, a sportsbook, a hotel with 116 rooms, restaurants, a spa, pools and a show lounge.

The voters of Nebraska approved casinos at the state’s racetracks in 2020.

Caesars Entertainment recently announced the Isle of Capri Lake Charles casino in Louisiana will reopen December 12 under its new brand name, Horseshoe Lake Charles. The land-based casino and hotel was closed for two years due to Covid-19 and Hurricane Laura which hit in 2020. Caesars officials announced in August 2021 the former riverboat would move onto land.

Caesars Entertainment President and Chief Operating Officer Anthony Carano said, “When we closed the Isle of Capri in 2020, we were not expecting the property to be shut down for this length of time. But we couldn’t be prouder of our team and all of the hard work they’ve put into this beautiful property. We look forward to welcoming our partners and the community to celebrate with us as we commemorate this milestone and introduce them to Horseshoe Lake Charles.”

Horseshoe Lake Charles Senior Vice President and General Manager Jeff Favre added, “The support from the Lake Charles community has been tremendous, and we can’t wait to welcome our guests back to experience our all-new resort. After being closed for more than two years, to reopen as a Horseshoe casino is the cherry on top of a pretty spectacular celebration.”

A reopening ribbon cutting ceremony is scheduled for noon, December 12, pending approval from the Louisiana Gaming Control Board. Other special events are planned throughout the day, with a fireworks display in the evening.

Caesars Entertainment officials announced that Isle Casino Pompano Park will be rebranded as Harrah’s Pompano Beach in December, timed to coincide with the completion of the venue’s new marquee.

When construction and renovation are completed in late 2023 or early 2024, the casino floor will expand by 15,000 square feet. Another 12,500 square feet of outdoor gaming will replace the former horse racing track that closed in April.

The casino, Caesars’ only Florida property, will be located within the LIVE! Resorts Pompano entertainment district, developed by Caesars in partnership with the Cordish Companies.

Isle Casino, home of one of South Florida’s most popular poker rooms, hosted a World Series of Poker Circuit series in February, featuring a 725-entry $1,700 no-limit Hold ‘Em main event. The WSOP Circuit recently returned to begin a 15-event series, which will be the last major tournament series at the Isle poker room.

Since Caesars owns the World Series of Poker brand and the WSOP.com online poker room under Caesars Interactive Entertainment, observers believe the WSOP Circuit is certain to return to the new WSOP-branded poker room at Harrah’s Pompano Beach.