Ho-Chunk Inc. broke ground Aug. 27 on WarHorse South Sioux, a $100 million tribal casino project in South Sioux City, Nebraska. The 63,000-square-foot development, located at 4501 G Street next to the Atokad Downs racetrack, will include 600 slot machines, 16 table games and a 100-room hotel.
City and company leaders say the project will create hundreds of jobs and generate millions of dollars in local tax revenue. It marks Ho-Chunk Inc.’s third major WarHorse casino development in Nebraska, following properties in Omaha and Lincoln.
New WarHorse project blends gaming with entertainment
The complex is designed as a broader entertainment destination, with an outdoor concert venue, conference space and a 5,700-seat amphitheater for concerts and community events. Construction will proceed in two phases, allowing part of the property to open while work continues on the rest.
Lance Morgan, president and CEO of Ho-Chunk Inc., said he wants the development to feel different from a traditional casino. Rather than an enclosed gaming floor, the project will include windows, outdoor gathering spaces and other open-air features. “I want it to be cool,” he said, adding that the goal is a destination where visitors feel comfortable spending time, whether or not they gamble.
Ho-Chunk also owns about 20 acres of nearby land that could support future expansion.
New casino expected to create hundreds of local jobs
Local leaders expect a significant economic boost for South Sioux City and the surrounding Siouxland region. Morgan said the casino itself is expected to create about 230 jobs, while city officials estimate the completed development will support more than 200 permanent positions, plus hundreds of construction jobs during the two-year build.
Lori Warner, president of the South Sioux City Chamber of Commerce, said the development should benefit businesses across the community, not just the casino. She expects visitors attending concerts, conferences and other events to spend money at local hotels, restaurants and retail stores, drawing people who might not otherwise visit the area.
Mayor Rod Koch agreed the project will spur further development, predicting new housing, roads and commercial projects will follow as the area around the casino grows.
South Sioux expects millions from casino tax revenue
City officials expect the casino to become a major revenue source once it opens. Under Nebraska law, 25% of gaming tax revenue from racetrack casinos is returned to local governments and split between the host city and county. According to KTIV, Koch estimated South Sioux City could receive $2 million to $3 million annually through that arrangement, plus additional revenue from visitor spending.
Nebraska voters approved casino gambling at licensed horse racetracks through Initiative 431 in 2020, which set a 20% tax on gross gaming revenue. Of that, 75% funds property tax relief and other statewide priorities, while the remaining 25% goes to local governments. Morgan said he helped draft the local-revenue-sharing provision and noted that Iowa does not distribute casino tax revenue to host cities in the same way.
Winnebago Tribe expands its gaming operations
The tribal gaming project is intended to benefit both South Sioux City and the Winnebago Tribe of Nebraska, whose economic development corporation, Ho-Chunk Inc., owns the WarHorse brand. The tribe also owns the WinnaVegas Casino Resort in nearby Sloan, Iowa, according to Siouxland Public Radio station KWIT.
Ho-Chunk’s earlier WarHorse projects in Omaha and Lincoln created roughly 850 gaming jobs. Morgan said the South Sioux project will continue that growth with an emphasis on hiring locally.
Across all its businesses, Ho-Chunk Inc. employs about 2,300 people, including 830 to 850 in gaming operations; once WarHorse South Sioux opens, Morgan expects the company’s gaming division to exceed 1,000 employees. He added that dealers typically earn $60,000 to $65,000 a year.
Construction is expected to take about two years, though portions of the project could open sooner. If the project stays on schedule, gaming operations could begin in late 2027.