Bally’s and GLPI complete sale-leaseback for Tiverton And Biloxi properties
The sale-leaseback covers the land and real estate assets of Bally’s Tiverton Casino & Hotel, in Rhode Island, and Bally’s Hard Rock Hotel & Casino Biloxi, in Mississippi.
US.- Bally’s Corporation has announced the completion of its previously announced real estate transaction with the operating partnership of Gaming & Leisure Properties (GLPI). The sale-leaseback transaction relating to the land and real estate assets of Bally’s Tiverton Casino & Hotel in Tiverton, Rhode Island, and Bally’s Hard Rock Hotel & Casino Biloxi in Biloxi, Mississippi, is worth $635m.
The transaction was structured as a tax-free capital contribution. The venues have been added to Bally’s Master Lease with GLPI, which now includes six properties. The rent for the Master Lease was increased by $48.5m on an annual basis on account of the transaction.
Bobby Lavan, Chief Financial Officer of Bally’s, said: “We are pleased to have completed another transaction with GLPI. This marks an important step for us, ensuring Bally’s is best positioned for continued growth.”
In December, Chicago City Council gave final zoning approval to Bally’s Corporation’s plan for a $1.74bn casino and resort located at the Tribune Publishing site in River West. The council voted 39-5 to approve the change of zoning. The casino now needs approval from the Illinois Gaming Board.
The City Council approved the overall casino plan in May. Bally’s plans to launch a temporary casino in the summer of 2023 and the permanent site in late 2025 or early 2026.
The proposed permanent casino at the 30-acre Tribune Publishing Center at the intersection of Chicago Avenue and Halstead Street will have 3,400 slots, 170 table games, 500 hotel rooms, six restaurants, three bars, a 3,000-seat theatre, an outdoor park and other amenities.
Bally’s reports Q3 results
Bally’s Corporation has reported financial results for the quarter ended September 30. Revenue increased by 4.7 per cent from the previous quarter to $578.2m. Revenue was up 83.7 per cent year-on-year from $314.8m.
Operating expenses were $524.6m, with a further $51.9m in other expenses. This left a net income of $593,000. Adjusted earnings before interest, tax, depreciation or amortisation (EBITDA) stood at $151m for the quarter, compared to $78m last year. Earnings per share stood at $0.01.
