Online Casinos Directory

The world of gambling is competitive and so far there are two big companies fighting it out for the M Resort. It is Penn National Gaming and Leonard Green & Partners that have submitted formal bids for the resort and are hoping they win out on the millions of dollars the move would bring in. Both parties are negotiating in private for the hotel. It is a 390-room facility with a state of the art casino. Originally it opened in the Las Vegas Valley in March of 2009. So far it has made a great name for itself in the market, though it was hit hard by the recession as were many other casinos in the area. The M Resort however is now rallying and coming to an even better potential market as things turn around.

There are some ownership problems though. If Penn National is the one that wins the bid, there could be a problem. M Resort is owned by Anthony Marnell III, who originated the hotel casino for $1 billion. The resort is on the market for a much smaller amount and reportedly owes over $700 million. This would leave Marnell with a considerable loss in investment. Whether or not he is going to be willing to take the revenue cut has yet to be seen. The market is unpredictable still though so he may be alright with the deal as is. Penn National comes with a great reputation for gaming and can easily handle the addition. Right now the company runs various racetracks and sixteen casinos in the US, in addition to some overseas. Overall this is a great business deal for the two companies. Only time will tell whether or not Penn National or Leonard Green & Partners win the bid in the end and what problems that means. It is a fact that whichever company does win-win no doubt have the chance to turn the business around and have millions of dollars in revenue at their disposal in coming years. It may take some time to turn things around, but with the growth in gambling, that shouldn’t be a problem for long.

Everyone knew that Ohio was set to make waves in the gambling market. It announced last year that it would be solidifying plans to create four new casinos—each one huge, each one premiere in its own right. The state positioned the casinos at the four main cities of Columbus, Toledo, Cincinnati and Cleveland.  Penn National Gaming company is heading up the developments and already have released details on the Columbus Hollywood Casino. So far, it is set to be a 3,000 slot machine location that also allows for thirty poker tables along with seventy other table games. Any gambler should have hours of fun here—even seasoned gamblers who aren’t impressed by much in the world of gaming.

The casino is set to be a “moderate-sized” location despite the huge amount of games available. Penn National Gaming of course is a huge company that specializes in gaming developments. If you are a fan of gambling and visited large casinos throughout the nation most likely you have been in a Penn National Gaming creation. The company has been around for a while now and knows how to build casinos that are top-notch and create a huge buzz in the market. The secret partially is due to their expertise at varying games. You won’t just find one specialty here—rather the huge space allows for poker, baccarat, slots, roulette, backgammon and any other game you can think of. You will never get bored here if you just visit and test out all the games they have to offer.

Ohio is a state that is truly taking advantage of the gambling market. The state is set to develop four locations for premiere gaming and estimates that once they are all up and running, they could potentially bring in $1.8 billion a year in gambling revenue to the state. That’s a huge amount and any state would welcome it to help rebuild after the difficult recessionary period of last year. This is a great time for the state and most likely they will begin to reap benefits in coming months. Expect projections to be surpassed due to the overwhelming interest the public has shown in the new casinos and in gambling in general.

The state of Kansas is in the midst of debates over gambling expansion. Gambling within the state is available, without question. It has already brought in millions of dollars to the state and that is a welcomed difference in revenue than it was during the recession. Of course, the recession put a damper on all forms of revenue but gambling in particular took a hard hit. With little discretionary money and a heightened unemployment rate, it was hard for people to maintain their gambling activities. Most gambling activities came to a screeching halt and have yet to return to the levels they were prior to the recession.

That doesn’t mean that there aren’t changes in the world of gambling for Kansas. Operators of a casino to be located in Wyandotte County have already submitted their two initial payments to county officials. It’s a welcomed added revenue source for Wyandotte County officials who have been suffering a while now due to the recession. Counties all over the US are hurting for cash and looking to a new year of major cutbacks and postponement of plans for development. In particular, education, building and police expansion efforts are the most targeted aspects of budgets over the US territory. Each county is looking to come up with money-generating efforts and bringing in casinos is one of the most popular and viable options in today’s market.

Kansas has particularly been plagued over the years with developers who made plans to bring in casinos and then pulled out. Penn Hollywood Kansas and Speedway Development company are both corporations that have made inroads to build casinos in the area. They were turned down for development a few times in the past and it isn’t until recently that they officially partnered to come up with a viable project. Kansas Lottery regulators are excited about the move and are hoping that it will bring in revenue to the state. They also are focused on expanding the market and bringing it to a new level of profitability. It will take a few months, but hopefully regulators will see how lucrative gambling is and how it is able to turn the economy around.

Vote No Casinos is a group opposing a new casino to be built by Penn National. The casino is scheduled by Penn, owner of Argosy Casino, and the proposed development will include a 22,000 square foot casino. The casino itself will have 5,000 slot machines and 100 gaming tables. A hotel with 1,500 rooms will form part of the development. The total price tag of the casino resort is estimated around $600 million. The casino will be just off the Interstate 71 at Route 73. Penn National Gaming, owner of the Argosy Casino in Indiana are opposed to the new casino and has filed a protest which was rejected by Secretary of State Jennifer Brunner. Penn National Gaming claims that the developers have not properly filed their paperwork. They are also running a television and radio campaign for Ohio voters to reject the new casino development. They are cautioning the voters about all the ramifications of bringing gambling to the area.

When it comes to Vote No Casinos, this is a group that is voicing its strong opinion against the casino. The organization is run by the Ohio Roundtable and does not want to be associated with Penn National Gaming. It is decrying its construction and noting how bringing a casino resort to the area is a high price to pay for the community and surrounding areas. Commercials against the casino are claiming that due to certain loopholes tax money from the casino may not be as much as is currently foreseen. Rick Lertzman, co-owner of MyOhioNow.com denies this, he says that the casino would distribute some 30% of their profits to all 88 counties in Ohio which would amount to roughly $240 million. Lertzman also said that Penn National is afraid that the new casino would take some of their business. The new casino will be 40 miles away from the Argosy Casino and he says that it will attract Ohioans who currently cross the border to Indiana to gamble. Eric Schippers of Penn National says that a yes vote will give MyOhioNow.com a casino monopoly. It will take time for the issue to be settled but it seems like the Ohio voters are the ones that will make the final decision.

Kansas Entertainment, a joint venture of Penn National Gaming and Speedway Development Corporation, announced that it is ready to receive final approval under the Kansas Expanded Lottery Act for the Kansas Racing and Gaming Commission to proceed in developing a Hollywood-based casino. The casino will be at Turn2 at Kansas Speedway. In 2009 the Unified Government of Kansas City and Wyandotte County approved the project and Kansas Entertainment, which successfully negotiated a management agreement with the Kansas Lottery Commission. That agreement was next approved by the Lottery Gaming Facility Review Board. Kansas Entertainment plans to begin construction of the facility during the middle of 2010 with a planned opening in the first half of 2012.

Peter M. Carlino, Chief Executive Officer of Penn National said, “Today’s approval formally cements our role in the Wyandotte County community and we are excited to begin working alongside our partner, International Speedway Corporation, and with local businesses to construct a distinctive, first-class entertainment facility and destination resort. Kansas Entertainment is committed to the long-term economic growth of Wyandotte County and the state of Kansas and we believe the Hollywood Casino at Kansas Speedway will be a growth engine bringing over 1,700 construction jobs, over 1,000 full time jobs and significant additional economic benefits to the Kansas City region. We are grateful to the Unified Government of Kansas City and Wyandotte County, the Kansas Lottery Commission, the Lottery Gaming Facility Review Board and the Kansas Racing and Gaming Commission, for their assistance and their support of our plans as we embark on the creation of Hollywood Casino at Kansas Speedway.”

The $386 million phase one development of Hollywood Casino at Kansas Speedway includes a 100,000-square-foot casino floor with capacity for 2,300 slot machines and 86 table games, a high-energy lounge and a variety of dining and entertainment options. Kansas Entertainment’s plans include additional phases, which include building a hotel, expanded gaming space, a spa, convention center and an entertainment retail district to Kansas Speedway, pending market demands. Pursuant to the terms of the joint venture, Kansas Speedway Development Corporation contributed 101 acres at Kansas Speedway for the development of the new facility. Penn National Gaming and International Speedway Corporation will equally share the full project development costs.

There really is not a way to shoot for any time frame sooner then 2012 experts concluded. Penn National will own and operate the two casinos for Toledo and Columbus and will put about $600 million into them. Developers are hoping for 2,000 to 5,000 slot machines and anywhere from 50 to 100 table games to be available in each facility. Gaming analyst David Katz said, “Although we expect legal challenges and market infrastructure to take 24 months, the development is bullish for Penn.” Penn National, a racetrack and regional casino giant, bankrolled the campaign in support of the referendum, along with Gilbert, who is the founder and chairman of Quicken Loans. They hoped for the move to help the company form its brand in the state via the new casino projects.

The state of Ohio is giving licenses to each facility at a price tag of $50 million and a minimum investment of $250 million per location. The tax rate on gaming revenues will be 33 percent. In spite of the huge license fees and investment requirements needed, many analysts believe that the resort-style casinos in Ohio are a sure fire hit. “The passage is a positive for Penn and for the equipment companies as it opens up a new market,” Susquehanna Financial Group gaming analyst Robert LaFleur said. Several analysts, including Katz and Janney Montgomery Scott’s Brian McGill, said the casinos’ opening could add up to $5 a share to Penn’s stock price and investors agree. Shares of Penn National have already went up as much as 10% on the NASDAQ and closed at $28.19, which is up 7.6% or just short of $2 per share.

Industry insiders are saying that Penn National could possibly be tasked with opening the two other facilities in Cincinnati and Cleveland also. Macquarie Securities gaming analysts Joel Simkins said, “Clearly, we believe this is a home run for Penn National, but we believe there could be even more incremental opportunities in a potential management contract with Gilbert’s properties, given his lack of experience in casino operations.”  If Penn National is called in to develop all four casinos this could be great news for the company and for the state of Ohio if it is successful.

Ohio voters have spoken and in a 53 to 47% vote they have decided to support the building of one casino in each of the state’s four largest cities—Toledo, Cleveland, Cincinnati, and Columbus. The vote that happened last week reversed over two decades of opposition to allowing legalized gambling in the state.  In fact, residents rejected the proposition of the four casinos on four different occasions in previous years. It was anyone’s guess if the referendum would go through this year and fortunately for casinos, it did.

Analysts believe that things are different this vote because people are seeing the economy and looking for things that could reinvigorate it. Namely, the casinos were presented to the public as a way to 1) bring more money into the economy due to tourism, 2) bring more tax revenue dollars to the state government and 3) create more jobs. One analyst Carl Petro of Baird and Warner, stated, “How can you not really weigh out the benefits of creating over 30,000 full and part-time jobs in an economy that is sorely lagging?” Petro is referring to heavy campaigning casino operators did prior to the referendum where “34,000 full and part-time jobs” was the key tagline. Whether voters saw advertisements in print, on billboards or on TV, the job prospects were number one in focus. Petro added, “The Ohio casino operators know that there is an unemployment rate upwards of 10% now and so does the voting public.”

The state of Ohio is facing a huge deficit and unemployment numbers that are among the highest in the nation. Referendum backer Dan Gilbert, owner of the National Basketball Association’s Cleveland Cavaliers, said, “This is not going to be a savior by any means, but it’s another brick wall.” He was referring to the problems with construction. The set date for the four casinos to open is some time in 2012. That gives opponents of the casinos plenty of time to rile up their own forces and explore legal challenges or introduce additional referendums to replace part of the measure. Although the vote was in favor of casinos, like Petro stated, “It wasn’t a landslide, though. The vote was separated by a mere 6%.” 

Part two coming next.

One thing the casino debate is bringing to the community is competition.  Casinos are having to work hard to keep customers coming in and draw in new patrons. No longer is a casino in a large metropolitan area alone. Gaming Analyst Maura Sutherland stated, “Casino developers have to be aware that competition is getting more difficult. And with the advent of online gaming, it is fierce. Without top-notch gaming and outstanding promotions, a land-based casino won’t be around for long.”
Sutherland is right in that the competition is difficult to manage. Casinos that were once thought of as premiere are being replaced quickly by other facilities that are newer, larger and offer more gaming options.

Two companies that see the problem are companies there were rivals just a few short months ago. The Kansas Speedway and Penn National Gaming have decided to cooperate on plans for a state-controlled casino company. Originally Cordish Company was hoping to work with The Kansas Speedway but the deal fell through quickly. In came former competitor Penn National to take their place. Speedway spokeswoman Kelly Hale stated, “…The casino would be built on turn two at the speedway. The $361 million project would include a resort hotel in its second phase.” She also confirmed that the project “remains essentially the same, just the partner has changed….”  It is hoped that the partnership will work well due to the expertise and financial background each partner brings to the table.

With the new grouping it is hoped the casino plans will move forward quickly and without incident. Both companies are eager to resume manufacturing of the facilities and are wanting to make it quick work.  The plan is to bring jobs to the community but also to bring huge revenue dollars from the premiere venue. The plan is to have a huge floor that offers a wide range of casino games from poker rooms to slots and roulette to table games. “Creating a small slice of Las Vegas is the goal here,” stated Hale. “We want to capitalize on the market created by legalizing gambling and use it to bring a top-notch venue to the area.”

Lakes Entertainment Inc. chairman Lyle Berman inked a deal for the company to fund 10% of the cost of the ballot referendum brought up by Penn Ventures and Rock Ohio Ventures. In exchange Lakes has the chance to walk away with a 10% share in each of the casinos erected, if they decide for the option. The paperwork filed by Berman was with the US Securities and Exchange Commission and it confirmed that Lakes has already extended their first payment of $1.9 million to Penn and $2.4 million to Rock Ohio. Each one is developing the Columbus and Toledo casinos and the Cleveland and Cincinnati casinos, respectively. The four facilities should be premiere gaming houses that offer all casino games including slots, craps, backgammon, poker and roulette.

Ohio has long been contemplating expanding its casino market. The recession has been hard-hitting to the communities in the state. They are hoping that the four casinos in Columbus, Toledo, Cleveland and Cincinnati are enough to pull the state through the huge deficits they are under.  Legalization and regulation of gambling is what is hoped to bring in billions of tax-dollars.  Citizens are also hoping that the casinos are able to make good on their claims that four casinos in the area will bring in jobs. With a staggering unemployment rate and difficulty coaxing businesses into creating jobs, bringing new businesses into the market may be the only solution.  Also, the state government is hoping that spreading out the casinos in multiple Ohio-based areas will help to bring jobs to every large market in the state.

Lakes Entertainment, Inc first lost the deal for the Ohio slots parlors last year but now managed to turn their luck around and are laying claim to the facilities. It is hoped that the four casinos will bring in billions of dollars not only to the government, but millions to Lake Entertainment Inc.  If they can bring in huge revenues that they anticipate, the company will continue to grow and develop more casinos throughout the US. Their hope is that this is just the tip of the iceberg in terms of casinos and growing the Lakes Entertainment brand in the casino market.

Lakes Entertainment Inc just inked a deal with Penn National Gaming Inc and Dan Gilbert, lead owner of the Cleveland Cavaliers.  The deal would see the construction of four new casinos in Ohio with one in each city: Cleveland, Columbus, Cincinnati and Toledo. The proposal sank quickly last year but this year the voters have spoken. A referendum added to the ballot showed that voters were in support of the additional four casinos to be constructed in the cities.

Lakes Entertainment made the announcement recently citing that Dan Gilbert was the one who gave a 10% stake in the casino ventures. Lakes underwrote 10% of the cost of the ballot issue also, in exchange for a 10% piece of the venture if it went through. Penn National Gaming confirmed however that Lakes Entertainment will not be active in the operations of the casinos in Toledo or Columbus. Penn National spokesman Eric Schippers stated, “Lakes Entertainment Inc. is purely coming in as a passive investor. With all the positive momentum we are experiencing, they approached us literally in the final week to ask if they could invest for a small-equity piece in our facilities in Columbus and Toledo. They got 10 percent, but they will have no operational say or role in the campaign nor will they have any role or say in the running of these facilities.”

The Ohio Jobs and Growth Committee behind Issue 3 had reported spending $32 million to promote the ballot issue throughout the month of October. Senator Teresa Fedor stated, “Back in October, we asked for full disclosure of Issue 3 players. We believe that if you’re going to be given the keys to the constitution, we should know who we’re giving them to. Penn National was not forthcoming in disclosing who its investors were. We were told Berman was not an investor. It leads to the question of whether we can trust them.”

A partnership between Lakes Entertainment and Penn National may see odd due to the fact the Penn was the one who spent an initial $37 million last year to persuade voters to reject Issue 6. This was an old proposal for a casino resort to be built at the outskirts of Cincinnati. Lakes Entertainment owned 80% of that project.  Schippers added, “Our opposition to Issue 6 last time around was amendment- specific. It was nothing personal against Mr. Berman, and it was not personal for Mr. Berman either.”