Penn National Gaming, a Pennsylvania-based casino and racetrack operator, said it has signed a final deal to acquire the operation of the Boisier City-based Margaritaville Resort Casino. Penn National Gaming further said it has decided to form a partnership with New York-based VICI Properties Inc. to purchase assets in the resort casino.
Following the companies’ agreement to acquire Margaritaville, located next to the Louisiana Broadwalk shopping center, VICI Properties will acquire land and property assets at the resort casino for a cash price of about $261 million. Penn National, on the other hand, will acquire Margaritaville’s operating assets for $115 million in cash.
When the acquisition agreement is finalized, a lease agreement will be signed between Penn National and VICI Properties. The company’s annual rent payable amounts to approximately $23 million over 15 years, with four five-year renewals available. Under the lease, the Pennsylvania-based operator will pay insurance and maintenance costs in addition to rent.
Sales are expected to be completed by the second half of 2018. 슬롯머신사이트
Penn National Seeks Market Expansion Through Acquisition
This is not the only pending acquisition of Penn National for the time being. In Late 2017, the company announced the acquisition of pinnacle entertainment. The latter operates four gambling river boats in Louisiana territory, including a boomtown casino and a hotel in Bossier City. But the acquisition is still awaiting official approval from local regulators.
Over the past few years, Penn National has been seeking mergers and acquisitions. The casino and racetrack operator acquired Tropicana, the second casino in Las Vegas, in 2017. In March 2018, the company acquired two Mississippi casinos, as well as Bali Casino Tunica Resort. Penn National also acquired Rocket Games, a San Francisco-based social casino game operator.
Now Pennsylvania National’s shopping boom continues with the acquisition of the Margaritaville casino operations. Over the years, the company has expanded its reach to a total of 29 gaming facilities located in 17 U.S. states, as well as Canada.
Margaritaville Resort Casino was founded in June 2013 in Bossier City. The gambling facility offers 1,215 slot machines and 50 game tables, while the resort’s hotel facility offers 395 rooms, 6 restaurants and a 1,000-seat theater. VICI Properties CEO Ed Pitoniak noted that the property is already showing “outstanding performance,” especially given the fact that the casino is the latest location to hit the local market. Mr Pitoniak also called the property one of the region’s current market leaders.