The application period for a Virginia gaming license is now open.
The Virginia Lottery Board announced it will take gaming license applications from voter-approved casino operators in Bristol, Danville, Norfolk and Portsmouth, as well one in Richmond, where city officials recently approved placing on the November ballot.
The board approved preliminary casino regulations in February and considered proposed permanent regulations at its July 21 meeting. Regulations must be finalized by September 2022 and will take effect in October 2022.
Meanwhile, owners, principal operators, managers and employees of the four voter-approved operators must undergo comprehensive financial evaluations and extensive criminal background checks before the state will issue gaming licenses. Previously, lottery officials said the process could extend well into 2022. Operators pay $50,000 for each individual background investigation. A 10-year gaming license will cost $15 million.
Officials at the $400 million Hard Rock Bristol issued a statement noting, “Our team is working closely with the Virginia Lottery as part of the licensing process. We are excited for the boost the project will bring to Bristol, and the regional economy, with new jobs and additional tax revenue.” The venue will include 100,000 square feet of gaming space, a 300-room hotel, outdoor entertainment areas, dining, bar and retail options and meeting space.
Rivers Casino Portsmouth spokesperson Delceno Miles said, “The city approved our use permits, so we can start making some improvements to the site, like moving the retention spot. Of course, everything is subject to the ending licensure from the Virginia Lottery Board to do much more than that.” Officials recently held virtual job that attracted more than 1,000 people and a vendor event including more than 850 vendors. The $300 million complex, to be operated by Rush Street Gaming, will include a casino, sportsbook, hotel, event and conference venues and restaurants.
In Danville, Caesars Virginia LLC plans to build a $400 million facility at the former Dan River Mills Schoolfield site. It’s expected to open in fourth quarter of 2023.
In Richmond, the city council recently voted to place the casino on the November ballot. City officials selected the Maryland-based media company Urban One from six competitors. The company is partnering with Peninsula Pacific Entertainment, owner of Colonial Downs Group and Rosie’s Gaming Emporiums. If voters approve, the venue will offer 100,000 square feet of gaming space, a 250-room luxury hotel, entertainment venue and food and dining options.
In a referendum held last November, Richmond voters approved the Pamunkey Indian Tribe’s plan by nearly a 2 to 1 margin. The tribe’s $500 million HeadWaters Resort and Casino will offer casino, a 300-room hotel with rooftop bar, pool, spa, events space, bars and restaurants and a 2,500-seat entertainment venue. The venue would be the tribe’s first venture into gaming. Tribal Chief Robert Gray said, “I’m confident that this project will exceed the expectations of everyone. It will be the destination of choice for gaming in Virginia. We are living up to every promise we made and are determined to make this a project of which Norfolk can be proud.”
Meanwhile, the Cordish Companies recently filed a lawsuit against Norfolk in Richmond Circuit Court, claiming the city conspired against it by promoting the interests of the tribe and its investors, as well as manipulating state legislators to oppose Cordish. It’s seeking $100 million, plus punitive damages and lawyers’ fees and also asking a judge to void the city’s deal with the Pamunkey tribe.
Cordish said the company has “suffered significant damages” including lost profits. Company lawyers said it entered into the 2013 agreement with Richmond to redevelop its Waterside District. The agreement included a clause stating the city “shall cooperate” with Cordish “in obtaining any Government Approvals necessary” to allow a casino to be built on-site.
The lawsuit stated, “without the City’s commitment to make Cordish its exclusive developer for casino gaming, Cordish would not undertake the herculean task and significant economic risks of redeveloping the Waterside.”
City Attorney Bernard Pishko said Cordish’s lawsuit is “not based in fact,” adding it is “so defamatory that they asked that if I accepted their offer to receive a copy in advance in order to discuss a settlement that I would have to agree to not sue them for defamation.”
