Greektown Casino to be sold
The casino’s owner revealed that he reached a US$1 billion agreement to sell the facility.
US.- Dan Gilbert, owner of the NBA team Cleveland Cavaliers and the Greektown Casino-Hotel in downtown Detroit, has revealed that a US$1 billion agreement has been reached to sell the property to Penn National and VICI Properties.
JACK Entertainment, Gilbert’s company behind the casino, revealed that the facility has been planned to be sold to Pennsylvania-based Penn National Gaming and New York-based VICI Properties, in a deal that still requires state and federal regulatory approvals.
The agreement establishes that Penn National will acquire the operating assets of the casino for approximately US$300 million, while VICI Properties will be in charge of the land and real estate assets for US$700 million.
Gilbert said that his companies will use some of the proceeds to invest in real estate in Detroit and business development. “[The sale] will allow that strong trajectory to continue and provide additional capital to continue our strategic investments in our Detroit real estate and business initiatives,” he said.
The sale, which is expected to be finalised in 2019, will not interrupt casino and hotel operations. Moreover, JACK Entertainment said Greektown employees are also expected to receive compensation and benefits packages.
