2008
TOPEKA, Kan. (AP) — Kansas Speedway said Monday that it would add a road course to its infield if it is awarded the contract to manage the state-owned hotel and casino complex in Wyandotte County.
Two weeks ago, the speedway offered to seek a second NASCAR Sprint Cup race if it gets the 15-year casino management contract. The speedway is part of the Kansas Entertainment LLC partnership that’s bidding against three others to build and manage a casino in Wyandotte County.
“This just furthers the economic development we can bring to Kansas and adds to our motor sports portfolio by allowing other forms of racing,” said Jeff Boerger, speedway president. “We can cater to a whole new demographic with car clubs.”
Boerger said the road 2¼-mile road course would be designed for the Grand-Am Rolex Sports Car Series and competition by various sports car clubs. It would cost between $8 million and $10 million to build.
“We are trying to provide the best opportunity for Kansas,” he said. “We are going to continue creating wealth for the state.”
Boerger said the speedway also hopes to bring in a national convention if it gets the casino contract. He declined to identify the convention, saying talks are ongoing but hoped to announce the proposal in a few days.
The Kansas Entertainment partnership has proposed a $705 million Hard Rock Hotel and Casino that would be on the speedway grounds. It is building against Golden Heartland Inc., Legends Sun and Pinnacle Entertainment Inc., all of which would build casinos near the speedway.
“If we aren’t awarded the contract, we just can’t make it work,” Boerger said.
A 2007 state law provides for four state-owned casinos — one each in four different counties. The Lottery Gaming Facility Review Board will award the contracts for Wyandotte and Ford counties Sept. 18-19, after holding hearings on Sept. 2-3. Last week, it chose Harrah’s Entertainment Inc. for Sumner County and Penn National Gaming for Cherokee County.
A dozen other states have commercial casinos, but Kansas is the only one with state-owned facilities.
“I don’t know how to throw it in the mix at this point,” said Matt All, review board chairman. “These and other issues will come up and we will be asking them about that.”
Boerger said Kansas Entertainment’s plans will be outlined in a presentation to the review board at next month’s hearings.
Boerger said the past race season generated $243 million in overall economic impact and the Sprint Cup race accounted for $111 million, averaging 100,000 visitors per day. He said the road course would generate “millions of dollars” of additional money.
The speedway wants to build a temporary casino with 2,000 slot machines to open next June, with the permanent facility with 3,000 slots and a 300-room hotel opening within two years.
Pinnacle is proposing a $624 million complex with 2,300 slots and 500 rooms to open in 2011. It would build a temporary facility with 1,200 slots to open next July.
Golden wants to build a $630 million casino with 2,500 slots and 300 rooms, and Legends plans a $767 million facility with 2,000 slots and 350 rooms. Neither would have a temporary facility, and each would take about two years to complete.
The speedway project projects first-year gambling revenue of $349.3 million; Golden projects $239.3 million; Legends projects $271 million; and Pinnacle projects $361.3 million. The state would receive at least 22% of the gambling revenue.
Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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