Regulatory nod to see ownership of Caesars Southern Indiana casino to change hands in September
In Indiana, the Eastern Band of Cherokee Indians, through its EBCI Holdings, LLC (EBCI), is one particular stage closer to owning its 1st casino outside of its Western North Carolina base following acquiring approval for the obtain of Ceasars Southern Indiana this week.
EBCI agreed to purchase the casino’s operations from Caesars Enjoyment Inc. (CZR:NASDAQ) for $250 million in late December 2020, with the sale subject to essential regulatory approvals and certain other conditions. The latter possessing been satisfied, in the course of a meeting Wednesday, the Indiana Gaming Control Commission accepted the deal, which is reportedly anticipated to near in September, as reported by Louisville Courier Journal.
Vici lease arrangement:
In order to accommodate a $17.three billion Eldorado Resorts Inc. (NASDAQ:ERI) buyout, Caesars Entertainment was needed to agree on terms to promote the Harrison County casino by December 31, 2020. As element of the deal, a new lease with true estate investment believe in VICI Properties Inc. (NYSE: VICI) will see EBIC pay an original complete yearly lease of $32.five million. The lease will reportedly have an initial phrase of 15 many years with four five-year tenant renewal options.
After ownership has modified hands, EBCI will carry on to use the Caesars brand even though recent employees of the Harrison County casino will reportedly “have the possibility to retain their positions with the casino,” according to a source.
Former regional president for Caesars Entertainment, R. Scott Barber, who was named Chief Executive Officer for ECBI Holdings, said in an earlier statement…
“Caesars Southern Indiana is a stunning facility with a properly-established brand and a excellent group of hundreds of nearby workers previously in place. We want to maintain the very same friendly, fun, acquainted setting for our visitors.”
The CEO explained that they intend to “build on the facility’s success and offer visitors additional options to perform at EBCI’s Harrah’s-branded North Carolina properties while also obtaining access to all properties all through the Caesars Rewards network.”
Formation of EBCI:
On Might twelve, 2021, the Eastern Band of Cherokee Indians announced the creation of EBCI and its management group and board for the goal of diversifying the federally acknowledged tribe’s holdings in the commercial gaming and hospitality enterprise as such possibilities all through the U.S. and beyond are presented.
On dry land:
The former riverboat casino, Horseshoe Southern Indiana, operated on the Ohio River from 1998 right up until making a $90 million transformation to a land-based casino on December 12, 2019. The move to land was produced possible by a 2015 Indiana law that permits riverboat casinos to develop and operate brick-and-mortar operations on existing sites, anything that was previously prohibited in the state.
Positioned just outside Louisville, Kentucky, the recent 110,000 square foot facility is a single of three gambling amenities the Eastern Band of Cherokee Indians is accountable for, such as its two North Carolina casinos in Cherokee and Murphy. Caesars Entertainment has managed the two because opening.
Commenting on the Wednesday approval, Barber said, “we are delighted to move forward with Caesars and increase our already profitable portfolio.”
“Not only is it a lovely, recently renovated property, but Caesars is also a storied brand in the southern Indiana neighborhood,” Barber added. “We’re honored carry on that legacy as we proceed to elevate Caesars’ world-class guest knowledge,” according to the Louisville Courrier Journal.