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Petersburg, Virginia, is closer to having a casino, following a July 9 letter from the Virginia Lottery to City Manager March Altman and City Attorney Tony Williams granting its approval. Now, all that remains is a judge’s approval for a referendum, allowing residents to vote on it in November.
“In reliance upon the information contained in the Petersburg Submission, which will be formally investigated by the Department in coordination with state and federal law enforcement and regulatory agencies should PPE subsequently apply for a casino operator’s license in the Commonwealth, the Department hereby certifies approval for the City of Petersburg to proceed to the local referendum required by Virginia Code § 58.1- 4123,” the letter read, as cited by The Progress-Index.
City officials will request court approval on Monday to add the casino issue to the ballot. If a majority of Petersburg voters support the Live! Casino & Hotel Virginia project, it will move into the licensing phase.
During this phase, state lottery officials will conduct background checks on key operators involved to ensure they qualify for gaming licenses.
Key takeaways
- The city of Petersburg has received approval from the Virginia Lottery to move forward with a casino project.
- PPE Casino Resorts, a partnership between Cordish Cos. and Bruce Smith Enterprise, is the chosen developer for the project.
- PPE will finance the entire casino project.
- With the state juggling the opening of new casinos, skill games legislation, and expanding online sports betting it seems Virginia online casinos are not top of mind.
- Virginia offers Sweepstakes and Social casinos online.
Petersburg City Council selects partner for VA casino project
In April, the Petersburg City Council voted unanimously to pick Baltimore-based Cordish Cos. and Virginia developer Bruce Smith Enterprise as their preferred partners for building the casino.
Both companies have joined forces under PPE Casino Resorts Petersburg, LLC, to pursue the project in Petersburg, Virginia. The Virginia Lottery’s letter continued: “Effective as of July 1, 2024, Petersburg (“City”) is an eligible host city for a casino as defined in Virginia Code § 58.1-4107A.5 (2024).
The City has selected PPE as its preferred casino gaming operator. PPE is a Delaware limited liability company formed on October 28, 2022.
PPE Casino Resorts Petersburg, LLC aims to construct a massive entertainment complex valued at $597 million on a 92-acre plot on Brassfield Parkway, near Wagner Road and Interstate 95 in southern Petersburg.
Two-phase development plan unveiled for Live! Casino & Hotel Virginia
The Live! Casino & Hotel Virginia’s development will unfold in two stages. The first phase involves building a temporary casino, costing around $142 million, which could be operational within a year if voters approve the referendum.
The second phase will see the construction of a permanent location for $454.2 million. This permanent complex will include:
- The casino
- A luxurious five-star hotel
- Variety of restaurants
- Dedicated entertainment venue
PPE estimates the development will create significant economic benefits for Petersburg. If built, the resort should employ approximately 7,500 people with an average compensation package exceeding $70,000 annually. This includes benefits and tips for employees.
Also, the developers project that the resort will generate an annual economic impact exceeding $200 million for the city.
PPE to self-fund Petersburg casino construction
Funding for the casino project will come entirely from PPE Casino Resorts’ own resources. There will be no financial contribution from the city of Petersburg.
According to documents submitted to the Lottery Department, PPE plans to secure a loan for up to half of the construction costs from M&T Bank, a financial institution based in Buffalo, New York. PPE will finance the remaining funds using its own capital.
PPE has ambitious plans for the future of the resort. Over the next 15 years following the initial opening, they intend to invest an additional $803 million to expand the complex. This expansion will include residential units, office space, another hotel, and retail stores.
