COLUMBUS-Penn National Gaming Inc., based inWyomissing, PA, has signed a temporary agreement with the state ofOhio to build two new Hollywood racetrack andvideo lottery facilities in Dayton, OH and Austintown, OH for about$200 million. The two new commercial real estateproperties would replace the current Beulah Park in GroveCity, OH and Raceway Park in Toledo, OH.

The agreement is included in a non-binding memorandum ofunderstanding between the company and Gov. JohnKasich. The deal is far from complete, as many conditionshave to be met, including the state approving the 2,500 slotmachines at racetracks, the resolution of litigation thatchallenges the terminals, and finalized agreements by the horseowner associations and the state lottery and racing commissions.Penn reportedly already owns the 125 acres in Dayton, and has anoption on the Centerpointe Business Park propertyin Austintown.

The company, which is already developing Hollywood casinos inToledo and Columbus, wants to move its current racetracks away fromthe new properties. Tim Wilmott, president and COOof Penn, said in a statement that the two areas being discussed forthe new racetracks are “underserved with this type of entertainmentoption.” Also, the state deal could restrict any other casino orgaming facility from being located within 50 miles of the newcasinos and racetracks.