Churchill Downs to buy 90% share in Casino Salem
Churchill Downs Incorporated (CDI), best known for its management of the Kentucky Derby, has announced it intends to buy 90% of Casino Salem in New Hampshire.
The company has also expanded to acquire and own multiple casinos and other gambling properties across the country, including online casinos too.
The Rockingham Park project was only opened a week ago and features 100 historical horse racing machines as well as 13 table games.
There are existing plans to expand this to offer 900 slot machines, 40 table games, plus food and beverage outlets.
CDI will pay $180m in cash to complete the deal, and it is expected to finalize in the third quarter.
Casino Salem plans
Casino Salem opened its doors on July 9. The first phase included 100 horse racing machines as well as live poker, slot machines and casino table games. The venue also includes a bar and restaurant.
Planned future phases of the development, which are set to be completed in the coming months, include a rebrand as well as an expansion of the gaming floor and the addition of further food and beverage areas.
The three-storey casino will also incorporate a signature center bar with accompanying sports lounge, event space and golf simulators. If the casino proves to be popular, it could eventually include a hotel.
The Casino Salem joint venture
The casino was developed as a joint venture between The Cordish Companies, which owned 51% of the project, and Joe Faro and Sal Lupoli, local development companies.
Under the deal, CDI plans to take the 51% controlling stake from Cordish as well as 39% from F&L Gaming, leaving F&L with a 10% interest.
F&L Gaming said, in a statement: “We are thrilled to move forward in partnership with Churchill Downs, one of the country’s preeminent gaming and entertainment operators.
“With our vision for Salem, we remain committed to driving economic stimulus to our local economy, creating new jobs, and increasing tourism while delivering a world-class destination that will create lasting benefits for the community for decades.”
The casino is located in The Mall at Rockingham Park, a short distance from downtown Boston. Although Churchill Downs is a Kentucky-based business, it does have an existing interest in New Hampshire through its ownership of Chasers Poker Room in Salem.
Churchill Downs Incorporated is the parent company of the Churchill Downs racetrack, famed for running the Kentucky Derby.
The group has said it will continue to operate the poker room after the acquisition has gone through. The deal is expected to be completed in the coming months but is subject to closing conditions and requires approval from the New Hampshire Lottery Commission.
William ‘Bill’ Carstanjen, Chief Executive Officer of CDI, said of the deal: “New Hampshire is an exciting opportunity, and this transaction – and our new partnership with Joe Faro and Sal Lupoli – allows us to develop a regional destination to draw patrons to Salem from across the growing New England market.
“We look forward to sharing more about our plans to build an expanded, state-of-the-art gaming and entertainment facility in Salem and to support charitable organizations throughout New Hampshire.”
