Legal Issues Delay Fourth Arkansas Casino

Legal issues are holding up construction of the Cherokee Nation Businesses’ $225 million Legends Resort Casino (l.) in Arkansas. The project would create 1,000 jobs and have a $5 billion economic impact in its first decade.

Legal Issues Delay Fourth Arkansas Casino

Cherokee Nation Businesses (CNB) still has not set a date to break ground on its $225 million Legends Resort & Casino in Pope County, Arkansas. The project remains on hold due to pending litigation.

CNB Chief Executive Officer Chuck Garrett said, “It is important to note that many aspects of timing are out of our hands and ultimately controlled by the courts. We remain hopeful that all will be resolved in the coming weeks and months so that we can break ground on Legends Resort & Casino as soon as possible.”

Garrett said CNB said meetings with city planners have been “productive” and the company is waiting for the results of environmental traffic studies. He said once the legal issues clear up, CNB will move forward to purchase the land it has held options on since 2019.

According to the cited news source, the CEO said CNB has had “productive” initial meetings with city planners and is currently awaiting the results of environmental traffic studies. Once hurdles are cleared, the business would be able to move forward with the planned buying of the land it’s had options on since 2019. Then, Garrett stated the facility could be built in 18 months to 24 months. He noted the project will create more than 1,000 jobs and have an economic impact of more than $5 billion during its first 10 years.

Pending litigation includes a lawsuit filed by Pope County resident John “Cliff” Gooding and a motion filed by Gulfside Casino Partnership, which initially was awarded the Pope County casino license by the Arkansas Racing Commission. However, last October, the Arkansas Supreme Court ruled Gulfside’s application was invalid because its letter of support was signed by the outgoing county judge, instead of the current one. Gulfside filed a lawsuit in Pulaski County Circuit Court requesting a temporary restraining order to halt any further development on the casino project.

Gooding’s lawyer, Jerry Malone, describes him as a “concerned resident” of Pope County. Malone said his client has two claims: 1) that the applicant for the casino license was Legends Resort & Casino LLC, but the license was awarded to Cherokee Nation Businesses LLC/Legends Resort and Casino LLC; 2) Legends has no gaming experience and therefore is an unqualified applicant. Malone said these claims mean the Arkansas Racing Commission has not satisfied the constitutional requirements to operate a casino in Pope County.

Gulfside attorney Lucas Rowan said, “Legends Resort and Casino LLC−not Cherokee Nation Businesses−was the applicant for the Pope County license. Legends has no casino gaming experience and, therefore, is unqualified. We expect this issue to be resolved through the legal system.”

Garrett noted the casino is 100 percent owned and operated by CNB. Its casino license application states CNB is the sole member of Legends LLC. It has more than 30 years of experience and operates 10 casinos through its hospitality division, Cherokee Nation Entertainment.

Garrett said Legends is a “strategic consultant” that has worked with professional sports teams, collegiate partners, live events and venues. Co-founded by Dallas Cowboys owner and University of Arkansas graduate Jerry Jones, Legends managed the major renovation of Donald W. Reynolds Razorback Stadium at the University of Arkansas, Garrett noted. He acknowledged CNB has not previously worked with Legends but the partnership will provide CNB with access to a professional team with local roots.

Another potential obstacle is the Fair Play for Arkansas committee, which aims to put an initiative on the November ballot removing Pope County as one of the four sites allowed to have a casino, according to the constitutional amendment voters approved in 2018. The majority of Pope County voters opposed the amendment. Garrett said that initiative would not deter CNB from moving ahead with the casino resort. The three other approved casinos already are up and running: Saracen Casino Resort in Pine Bluff, Southland Casino Racing in West Memphis and Oaklawn Racing Casino Resort in Hot Springs.

Through an agreement negotiated with Pope County Judge Ben Cross, CNB would fund local infrastructure and charitable causes, including a $38.8 million upfront investment and $2 million annually for local organizations.

Legends Resort & Casino would feature a 50,000-square-foot gaming floor with 1,200 slot machines and 32 table games, plus a Godin’s 200-room luxury hotel with a resort pool and spa, dining options and 15,000 square feet of multipurpose space.

Garrett said, “Today, license in hand, we’re working toward our goal of providing you with a premier resort and next-level entertainment experience while driving economic growth and opportunity in Pope County. Legends and the people of Pope County have a lot to look forward to in 2022. We remain committed to creating a Legendary entertainment experience that will provide economic benefits for decades to come.”