Racing, wagering and leisure operator Churchill Downs Integrated (CDI) introduced Friday that it has efficiently closed the transaction for the sale of 115.7 acres of extra land close to Calder On line casino in Florida.
Plans for Further Gross sales of Land
The $291-million sale of land close to CDI’s wholly-owned Calder On line casino was initially introduced in November final yr, when CDI and Hyperlink Logistics, an organization based in 2019 by Blackstone, agreed on a worth of roughly $2.5 million per acre for the surplus land close to the playing institution in Miami Gardens.
Following the completion of the sale, CDI retained its possession of the land below its wholly-owned Calder On line casino, roughly 54 acres, however could promote one other 15 to twenty acres of land alongside NW 27th Avenue within the Miami Gardens space for retail growth. The land is at present used as a car parking zone.
As for the proceeds of the sale, CDI acknowledged it will be utilizing sure proceeds to buy property as a part of the corporate’s acquisition of Peninsula Pacific Gaming (P2E), a $2.485 billion deal involving belongings in Virginia and New York, in addition to operations of the Sioux Metropolis on line casino in Iowa.
The overall worth consideration could go as much as $2.75 billion if situations set to the acquisition of the Laborious Rock Sioux Metropolis on line casino in Iowa – the sale of the property to a 3rd get together after which leasing it again – should not met by a specified deadline, in accordance with the definitive settlement CDI and P2E signed earlier this yr.
Funding in Substitute Properties
Proceeds of the $291-million sale of land may even be used to put money into different alternative properties which qualify below the Inside Income Code 1031 and can permit CDI to keep away from paying the capital positive factors tax on the proceeds as it will be changing one property with one other.
In March, CDI moved one step nearer to having its closing plans for the Queen of Terre Haute On line casino Resort in Indiana authorized. The operator of land-based on line casino properties in eight states formally offered to the Indiana Gaming Fee (IGC) the brand new location for its on line casino resort, two parcels totaling roughly 50 acres of land off of E. Margaret Dr. in Terre Haute.
CDI retained the size of the on line casino undertaking which was authorized by the state regulator within the aggressive bid in 2021 however there have been nonetheless unresolved points associated to the proposed peak, in addition to the merging of the 2 parcels into one subdivision plot.
