PENN Entertainment Pursues Four New Growth Projects

  • PENN Entertainment Inc PENN plans to relocate its riverboat casinos in Aurora and Joliet, Illinois, to new land-based facilities.
  • The Aurora development will include the transfer of certain parcels of land from the city, and up to $50 million of the project will be funded by the city through new bond issuance.
  • The company also intends to build a new hotel at Hollywood Columbus in Ohio and a second hotel tower at the M Resort in Henderson, Nevada.
  • In connection with the above proposals, PENN has agreed with Gaming And Leisure Properties, Inc. GLPI to create a new master lease, including the two new facilities in Aurora and Joliet, in addition to Hollywood Columbus (Ohio), Hollywood Toledo (Ohio), the M Resort (Nevada), the Meadows (Pennsylvania), and Hollywood Perryville (Maryland).
  • GLPI will provide up to $225 million at a 7.75% cap rate for the Aurora project.
  • PENN may elect to receive up to $350 million of funding for the Columbus, Joliet, and M Resort projects.
  • "The overall estimated budget for these new growth projects is approximately $850 million," said PENN CEO Jay Snowden.
  • Price Action: PENN shares are trading lower by 0.59% at $30.50 in premarket on the last check Monday.
Market News and Data brought to you by Benzinga APIs
Posted In: EntertainmentNewsSports BettingGeneralBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!