Nevada Gold & Casinos has paid a $2-million deposit to Columbia Sussex Corp. of Fort Mitchell, KY for the 36,000-sf riverboat casino and adjacent 117-room hotel at 1310 Mulberry St. The buyer has applied for its license from the Mississippi Gaming Commission. The closing deadline is contingent upon the licensing process, which can take four to six months.
A spokeswoman with Nevada Gold tells GlobeSt.com that the company will make an additional $5 capital investment to upgrade the asset after the deal closes. "We haven't finalized the budget, but we definitely know we want to upgrade the product," she explains, adding Nevada Gold will manage the asset. Daily room rates range from $110 to $150.
"We are very excited about the acquisition of this property as it represents a further step in our business strategy to own and operate casinos," Robert Sturges, Nevada Gold's CEO, says in a press release. "This is a uniquely positioned casino in Downtown Vicksburg that we believe is well positioned in the market and can benefit from our senior management team's leadership."
According to an SEC filing, the acquisition is subject to Nevada Gold obtaining its license from the Mississippi Gaming Commission as well as the requirement to enter into an assignment and assumption of an agreement with the City of Vicksburg. It also provides for an extension if the licensing process takes longer than expected.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.