The Ohio Casino Control Commission on Wednesday gave the go-ahead for a three-year license to a subsidiary of VICI Properties and authorized the company to purchase the property for $ 558 million.
As part of a $ 745 million deal, Hard Rock International will operate and pay the casino $ 187 million for his fortune pending commission approval for his own licensethat could come at the next meeting of the Casino Control Commission.
According to reports, Hard Rock will lease the 133,000-square-foot casino and event space from VICI for $ 43 million a year and the casino will be renamed Hard Rock Casino Cincinnati. This lease has a term of 35 years, with an initial lease of 15 years and four extensions of five years, reports CityBeat.
JACK Cincinnati Casino
“Hard Rock has been number one in Ohio since opening in the greater Cleveland area in 2013.” Jim Allen, Chairman and CEO of Hard Rock Internationalsaid in a statement in April when the deal was first announced. “And now we look forward to introducing our unique brand of casino entertainment to Cincinnati.”
VICI is a two year old investment trust primarily active in the gaming industry. VICI President John Payne was previously with Caesars helping set up the Cincinnati casino.
Cincinnatis Casino is one of four state voters approved in 2009. The others are in Cleveland, Columbus and Toledo. The Cincinnati gaming facility opened as Horseshoe Casino in 2013, but became JACK Casino when the owners, Rock Ohio Caesars, were renamed JACK Entertainment in 2016. Detroit-based JACK will continue to operate its other Ohio casino in Cleveland.
JACK is also expected to sell Turfway Park in Florence as part of the deal. Executives say they don’t expect any changes in employment at either location.
“After 10 years, hundreds of millions of dollars in investments developing JACK Cincinnati Casino from the ground up and building a strong customer-centric culture, we have successfully positioned JACK Cincinnati Casino for continued future success,” said a statement from Matt Cullen, CEO of JACK Entertainment read. “We are confident that Hard Rock and its world-renowned brand will be a great addition to Queen City and the right choice to take JACK Cincinnati Casino and Turfway Park to the next level of growth.”
Cullen also helped oversee the development of the Cincinnati casino and was instrumental in the 2009 effort to legalize Ohio gambling.
The JACK Casino was opened with around 1,700 employees and currently employs around 1,000 people. The site averaged $ 17 million per month in gaming revenue over the past year.