South Dakota-based hotel owners and operators Ramkota Companies Inc. recently purchased 103 acres in the historic gambling town of Deadwood, South Dakota from movie star Kevin Costner for .5 million. The acreage includes the site of Costner’s failed Dunbar Casino Resort, a 0 million project that Costner and his brother, Dan, would have owned and managed.
The development, first proposed in 1993, would have included a 320-room hotel, golf course and steam-powered passenger train. The land had been leveled and parking lots, a sewer system and storm drains had been built. Costner bought the land for the casino resort soon after the release of his Academy Award-wining movie, “Dances With Wolves.” It was named after Costner’s character, Lieutenant John J. Dunbar. The brothers sank several million dollars into the project but could not line up enough investors, so construction was stopped.
Ramkota plans to build a resort with hotels, cabins, a conference center, indoor water park, restaurant and lounge on the land, which consists of two parcels on both sides of U.S. Highway 85. Ramkota officials said construction will take five years to complete.
In 2013, Costner was asking $14 million for the full 1,000-acre tract. The current sale does not include Costner’s Midnight Star casino and restaurant, the tallest building on Deadwood’s Main Street, or Tatanka: Story of the Bison, the $6 million visitor attraction he owns in north Deadwood.
Ramkota President and Chief Executive Officer Tom Biegler said, “Oh boy, the first time I was actually able to walk the site and to get a feel for how grand it is, I was able to make out in my mind where a hotel and cabins could sit, and what we could do with the topography. The reality is we love Deadwood. We have a huge vested interest in Rapid City, Custer State Park and Deadwood, so anything that bolsters sales throughout the Hills is a good thing. We’re over-the-moon excited about the prospect of this new resort in Deadwood.” The company operates more than 60 lodging properties in 20 states.
