According to local outlet WHRO, Boyd will take majority ownership of Golden Eagle Consulting. The tribe will take a 20% stake. The Norfolk City Council must vote on the deal.
Golden Eagle is the development company founded by billionaire Jon Yarbrough, the tribe’s original development partner. It is unclear at this time whether Yarbrough has exited the venture as a result. By acquiring Golden Eagle, Boyd will be able to take over financing, development and operations for the stalled $500m (£381.7m/€452.6m) project.
The tribe first proposed the casino in conjunction with Yarbrough in 2017, after becoming federally recognized in 2015. In the years since it was first proposed, the project has gone nowhere. The tribe has yet to secure city approval for its site at Harbor Park. Several versions of renderings have been presented but none have been finalised.
The latest round, released 19 August, did not include the Headwaters Resort & Casino name that was featured in previous versions. In hindsight, that might have been a harbinger of the Boyd deal. No new name or construction details were announced.
“Boyd Gaming has started the process required to help the Tribe bring its vision to fruition, in a way that will deliver meaningful benefits for the Tribe, the City of Norfolk and the Commonwealth of Virginia,” both sides said in a joint statement to WHRO.
The regional operator has a portfolio of 28 casinos across 10 states. It also operates the Sky River Casino in Elk Grove, California for the Wilton Rancheria tribe. That property celebrated its two-year anniversary 15 August.
Casino project was first to surface, could be last to open
After the tribe announced its plan nearly a decade ago, Virginia’s General Assembly in 2020 legalised digital sports betting and brick-and-mortar commercial casinos in up to five cities: Norfolk, Danville, Bristol, Portsmouth and Richmond. Every city except Richmond approved referendums. Voters there rejected the idea twice.
Petersburg has since been selected as the fifth site. The Cordish Companies will be the developer after a controversial process. City voters will now decide the matter in November.
The frustration over the lack of movement with the Pamunkey project is exacerbated by progress elsewhere. Rivers Casino in Portsmouth has been open since last January, and reported $250m in revenue for its first year. The Caesars Virginia casino in Danville and the Hard Rock Hotel & Casino in Bristol will both open by year’s end.
With new financing secured, Boyd and the Pamunkeys are now in a race against time. A temporary facility close to the permanent site must start taking wagers by November 2025 per the referendum.
“It gave us concern that (Golden Eagle was) running out of time to meet their obligation to secure a license,” Norfolk Mayor Kenny Alexander told WHRO. “It gave pause and concern that they had not submitted a full set of building plans that we can respond to.”
Original article: https://igamingbusiness.com/casino/boyd-new-developer-norfolk-casino/
