The Missouri Gaming Commission unanimously approved allowing Las Vegas-based Pinnacle Entertainment to transfer three casinos to the Gaming and Leisure Properties real estate investment trust (REIT).
The Missouri properties to be transferred to the REIT are the Ameristar Kansas City, Ameristar St. Charles, and the River City casino in Lemay. Pinnacle then will lease the properties back from the REIT and continue running them.
The REIT already owns the Hollywood Casino, Argosy Alton, and Casino Queen in St. Louis.
Pinnacle last summer said it would transfer all 14 of its gaming properties to the REIT in exchange for $4.75 billion.
The UNITE HERE labor union opposes the property transfers and says Pinnacle controls too much of Missouri’s gaming market. The union also opposes other efforts by casino operators to establish REITs, saying it they stifle competition in the gaming market.
Although Missouri OK’d the transfer of properties, it still won’t happen until regulators in Louisiana okay similar casino transfers there.
