Slots at Chicago airports could be profitable
A study shows that featuring slots at Chicago airports may be as profitable as the ones in Las Vegas’ airport.
US.- After a study showed that a casino in Chicago may not be as profitable as expected, more information from that research indicates that slots at airports could be a good source of revenue. Slots at O’Hare and Midway could bring in US$37 million per year and outpace Las Vegas’ airport’s slots.
The study from Union Gaming Analytics establishes that 500 slots at Chicago’s airports could bring approximately US$37 million. However, this number would still be far from being profitable if the state keeps the 72% effective tax rate established in the regulations.
With approximately US$200 bet per day per terminal slot, 500 machines at local airports would bring around US$36.5 million every year. ”Ultimately, slot machines at Chicago airports should perform notably better than those in Nevada’s airports,” Union Gaming explained.
The operator that ends up running the Chicago casino would run the slots at the airports. The number of slots would count against the 4,000 gaming positions given to the operator. ”As such, greater total revenues and taxes would be achieved by [allocating] a few hundred slot machines to Midway and O’Hare airports,” the study reads.
Once the slots are placed in the Chicago airports, they would become the third and fourth in the US to feature gambling options. Nevada is the first state to allow such thing, while Pennsylvania legalised them last year but still has to act on it.
Problems with the Chicago casino
Last week, it was reported that the high tax and fee structure in the Illinois law would make the Chicago project “generally not financially feasible.” These results would be the same regardless of where the casino is located.
After the findings, the city’s Mayor Lori Lightfoot called for a review of the law. Chicago had been expecting a casino to generate revenue for its underfunded police and firefighter retirement systems. “While the study confirms our concerns about the tax structure that the legislature passed, we know this can be addressed. We look forward to working with the governor and legislative leaders to revise the legislation,” she said in a statement.
Emily Bittner, spokeswoman for Governor J.B. Pritzker, said that he would review the way the state approached the casino to ensure maximum job and revenue opportunities.
