Four Developers Present Kansas Bids

Four proposals for a casino in the southeast gaming zone reached the Kansas Lottery by its January 30 deadline. The four bidders are Kansas Crossing Casino LLC (l.); Phil Ruffin and the Quapaw Tribe's Frontenac Development LLC; Castle Rock Casino Resort LLC; and SE Kansas Casino Partners LLC. A developer will be selected by mid-July.

The Kansas Lottery received four proposals for developing a state-owned casino in the southeast gaming zone prior to the deadline of 11 a.m., Friday, January 30. The four bids are:

• Kansas Crossing Casino & Hotel, at the junction of Highway 400 and Highway 69 in Pittsburg. Developers of the $62 million project are Kansas Crossing Casino LLC, including Bruce Christenson of Equity Ventures in Topeka; JNB Gaming, including Jonathan Swain, Natalie Schramm and Brent Stevens, who helped develop the Kansas Star Casino until late 2012 when they sold their Peninsula Gaming to Boyd Gaming; and Wichita developer George Laham of Laham Development.

“We were approached by Bruce Christenson and his group. After looking at the project and the people behind it, including the success that JNB Gaming and Bruce’s group had in Mulvane, we’re very excited for this project and for southeast Kansas. It’s a very important part of why we think this is a very viable deal. They’ve got a track record,” Laham said.

Added Christenson, “Kansas Crossing’s team has the experience to develop and operate a casino property that is sustainable. It’s the right size for the market and will be a driving force for increased tourism in Southeast Kansas.” The property would feature a casino with 525 slot machines and table games, a 100-room hotel, 600-seat entertainment center and a 125-seat restaurant.

• Emerald City Casino & Resort in Frontenac, at the former Camptown Greyhound Park in Cherokee County, less than mile from the Oklahoma-Missouri border. Developers are Frontenac Development LLC, including

Camptown LLC (Phillip G. Ruffin, director) and Quapaw Tribe (John Berrey, president). Wichitan Ruffin, who owns Treasure Island in Las Vegas, said the $110 million casino development would offer 750 gaming machines, 18 table games, three restaurants and bars, and could create 300-500 new jobs. Frontenac Mayor Jim Kennedy said, “We could be up and running in six months and that’s what Downstream and Mr. Ruffin like about it.”

• Castle Rock Casino Resort in Cherokee County, north of I-44 on U.S. Highway 400. Developers of the $145 million project are Castle Rock Casino Resort LLC, including Wichitans Brandon and Rodney Steven, David Burk, Dave Wells and other investors. Brandon Steven said, “We’re confident we’ve put forth the best plan both to bring an ultimate entertainment and dining destination and to generate needed revenue for the state of Kansas and for local governments in southeast Kansas. We’re optimistic that the state of Kansas will agree and choose our proposal.” Officials said the project would create 1,000 jobs.

• SE Kansas Casino Partners LLC’s project in Cherokee County at Exit 1 off I-44 on the northeast side of Highway 400. The developer is Killian Entertainment LLC headed by Missourian William F. Killian. The proposed a $140 million development would create 940 jobs and include a casino with 1,500 gaming machines, 28 table games and 8 poker table rooms; 150-room hotel; 18,000 square foot convention center; restaurants and a sports bar; an RV park; boathouse; equestrian center; and a tethered hot air balloon ride.

State lottery officials now have 90 days to review the applications and negotiate contracts with any of the applicants. On April 30 the contracts will be forwarded to the seven-member Lottery Gaming Facility Review Board, which will have up to 60 days to select a developer. The Kansas Racing & Gaming Commission then will have 10 days to complete a background investigation and approve the application, or not.

Currently the state owns casinos in Dodge City, Mulvane and Kansas City, Kansas. In 2007 the legislature authorized casinos in four regions. Developers were reluctant to build in the southeast zone partly due to competition from the Quapaw Tribe’s Downstream casino. To raise interest in the zone, last year legislators dramatically cut developers’ required fees.