Delaware North sells Long Island casino
A Long Island casino has been sold by operator Delaware North, to the company that has long been operating the venue’s gaming machines.
Casino.org reports that Jake’s 59 Casino in New York has been sold to the Suffolk County Regional Off-Track Betting Corporation.
The reported purchase price is in the neighbourhood of US$120 million.
Suffolk OTB operates three off-track betting locations on Long Island and has “Qwik Betz” kiosks at numerous bars, restaurants and convenience stores through the region.
As part of the management agreement between Suffolk OTB and Delaware North, Suffolk OTB has an option to purchase the Jake’s 58 property and buy out the remaining term of Delaware North’s management agreement for the operation,” Suffolk OTB spokesperson Jon Schneider said.
“Simply put, ownership of the Jake’s 58 property and management of the casino hotel will put Suffolk OTB in a position to contribute more money to Suffolk County than it otherwise would, a benefit that will only grow in time,” Mr Schneider said.
Jake’s 58 offers guests more than 1000 gaming machines and electronic table games, as well as off-track betting.
It opened in February 2017, several years after the state decided to allow horse racetrack and pari-mutuel betting facilities to operate video gaming terminals.
Suffolk partnered with Delaware North, a global food service and hospitality company to purchase the facility, with Delaware North paying $40.41 million from the Marriott, transforming the Marriott Islandia into Jake’s 58 Casino Hotel.
The name is derived from the Jacobs family, which owned Delaware North for more than 100 years.
The 58 is in reference to the closest exit number to the casino off the Long Island Expressway.
Since 2017, Suffolk has been leasing the gaming floor from Delaware North at an undisclosed cost.
Both companies are privately owned.
Delaware North will still have gaming interests following its Jake’s 58 sale.
The company retains gaming properties in upstate New York, Arizona, Arkansas, Florida, West Virginia, Ohio, Illinois and Australia.
Delaware North sells casino to Twin River
Delaware North has agreed to sell an Illinois casino and hotel property for $120 million.
Biz Journals reported in September that the Buffalo-based hospitality giant is selling Jumer’s Casino and Hotel in Rock Island, Illinois to Twin River Worldwide Holdings.
The deal is expected to be completed in the second quarter of 2021.
Rock Island is in the Quad Cities region, along the Illinois-Iowa border.
Delaware North purchased the property for $180 million in 2011.
It includes more than 870 poker machines, 25 table games and a 205-room hotel.
Delaware North said it had been seeking to sell the venue for a year, well ahead of the coronavirus pandemic.
The company said it has invested more than $14 million in the property since 2016.
President of Delaware North’s gaming business Brian Hansberry said it was difficult for Delaware North to consider selling Jumer’s, but that the company was focused on new casino projects, including a proposed casino in Calumet City, Illinois and a North Carolina project where Delaware North is advising the Catawba Indian Nation.
Staff axed as Darwin casino makes cuts
Staff at Darwin’s Mindil Beach Casino Resort will be laid off and dozens of casual staff will see their hours reduced as part of a drastic restructure.
NT News reported in December that 12 full-time and part-time roles were axed and 200 casual staff will have their shifts cut in the aftermath of the coronavirus pandemic, with more cuts to follow if business conditions don’t improve.
Owner of the casino, Delaware North, told the NT News it had to continue to make difficult decisions necessary to stabilise the company in the wake of the pandemic.
General manager Mark Bennett said while the company was hopeful next year will see operations return to normal, the business conditions will continue to be monitored as will the subsequent effect on operations and its impact on workforce.
The company foreshadowed cuts with the end of the government’s JobKeeper funding.