DETROIT – Greektown-Casino Hotel in Detroit is being sold for $1 billion.
Dan Gilbert, who acquired the casino in 2013, has reached a sale agreement with Penn National Gaming and VICI Properties Inc.
Both are casino and gaming-related companies. Penn National already operates 40 such facilities in 18 different jurisdictions. It has a focus on slot machine entertainment.
Penn National will enter into a triple net lease agreement with VICI Properties Inc. for the facility in Detroit's Greektown neighborhood. The lease will have an initial annual rent of approximately $55.6 million and an initial term of 15 years, with four 5-year renewal options, according to a news release.
Who is Penn National?
Penn National Gaming owns, operates or has ownership interests in gaming and racing facilities and video gaming terminal operations with a focus on slot machine entertainment.
As of October 15, 2018, the company operates 40 facilities in 18 jurisdictions, including Colorado, Florida, Illinois, Indiana, Iowa, Kansas, Louisiana, Maine, Massachusetts, Mississippi, Missouri, Nevada, New Jersey, New Mexico, Ohio, Pennsylvania, Texas, and West Virginia.
In aggregate, Penn National Gaming operates approximately 49,400 gaming machines, 1,200 table games and 8,800 hotel rooms. The company also offers social online gaming through its Penn Interactive Ventures division.
Penn Gaming manages Hollywood Casino Toledo, which opened in 2012. Others include:
- Argosy Casino Riverside
- Argosy Casino Alton
- Ameristar Council Bluffs
- Ameristar East Chicago
- Hollywood Casino St. Louis
- Hollywood Casino at Kansas Speedway
- Hollywood Casino Lawrenceburg
- Hollywood Casino Toledo
- Hollywood Casino Aurora
- Hollywood Casino Joliet
- Hollywood Casino Columbus
- Hollywood Gaming Dayton Raceway
- Hollywood Gaming Mahoning Valley
- River City Casino and Hotel
- Prairie State Gaming
Who is Vici Properties?
Vici Properties is a real estate investment trust based in New York. It was formed just last year as a spin-off from Caesars Entertainment.
They operated Caesars Palace in Las Vegas and Caesars Atlantic City, along with several others around the U.S.
The sale is expected to be completed by the middle of 2019. It will need approval by the Michigan Gaming Control Board.
Greektown Casino-Hotel first opened in 2000. It features 100,000 square feet of casino space, approximately 2,700 gaming machines and 60 table games, a poker room, three restaurants, seven fast casual food outlets, four bars and a coffee shop.