Dec. 24–Mohegan Sun and the city of Revere, Mass., on Monday announced a host community agreement that cements their plans for a resort casino in Greater Boston.
Also on Monday, MGM Resorts International and its partners were deemed suitable to operate a casino in the state, a key ruling by the Massachusetts Gaming Commission on MGM’s plans to build an $800 million gambling resort in downtown Springfield.
Mohegan Sun and officials in Revere announced their agreement Monday afternoon.
Revere would get annual revenue of $25 million to $30 million, payments of $33 million before the casino opens, and about $40 million in infrastructure improvements, new athletic fields and funding for schools, public safety and other items.
The agreement will be put to voters in early 2014, probably in February, according to Mohegan Sun.
“Mohegan Sun is going to create a wonderful destination that will both celebrate Revere’s unique history and provide great opportunity for its future,” Mohegan Tribal Gaming Authority’ CEO Mitchell Etess said in a statement. “This agreement formalizes the strong partnership we’ve quickly established with Revere, and lays out the many ways the City and its residents will benefit from Mohegan Sun Massachusetts.”
Mohegan’s proposal for a $1 billion resort casino includes two hotels in addition to dining, retail and entertainment on Suffolk Downs’ 52 acres in Revere. It is projected to create 2,500 construction jobs and 4,000 full-time jobs.
Mohegan’s plan will compete with a rival proposal by Las Vegas casino magnate Steve Wynn for a casino the Mystic River in Everett, Mass.
Revere Mayor Dan Rizzo said in a statement: “Through this partnership, Mohegan Sun and Suffolk Downs will create jobs, enhance our local and state economy, and generate much needed revenue. This project will not only be beneficial for the City of Revere, but will help stabilize and support our regional economy. I look forward to sharing the details of this agreement with our residents over the next several weeks.”
Mohegan Sun moved quickly to pursue a development in Revere after its plans to build a $1 billion casino in Palmer, Mass., were rejected by voters Nov. 5.
The Massachusetts legislature passed a law in 2011 that called for three resort casinos, one in each of three regions of the state: Western Massachusetts, Greater Boston and southeastern Massachusetts.
Several plans failed to get past voters, who turned down host community agreements by Hard Rock International in West Springfield, Mass., Mohegan Sun in Palmer and Foxwoods in Milford, Mass.
Springfield, Fall River
The only remaining plan for a casino in Western Massachusetts is MGM Resorts International’s plan for downtown Springfield. MGM still needs site plan approval from the gaming commission before it can hope to be awarded a license.
The regulatory process requires site plans with specific design details by Dec. 31 for casinos in Greater Boston and Western Massachusetts. The process for southeastern Massachusetts is about six months behind.
The Boston Globe, citing an unnamed source, reported Monday that the Mashantucket Pequot Tribal Nation, which operates Foxwoods Resort Casino in Connecticut, is in conversations with officials in Fall River in southeastern Massachusetts.
Another factor in the southeastern Massachusetts license is the Mashpee Wampanoag tribe’s pursuit of federal approval to allow a casino in Taunton. If approved by federal officials, that could effect whether the gaming commission would allow a southeastern Massachusetts casino.
