A profit of $190.1 million was realized by real estate investment trust Gaming & Leisure Properties Inc. in the third quarter, as reported late on October 24. The REIT registered cash flow of $346.4 million on revenue of $385.3 million.
During the quarter, GLPI bought Bally’s Kansas City and Bally’s Shreveport, in addition to taking over in-progress Bally’s Chicago, which CEO Peter Carlino termed an “exciting greenfield development.” The REIT also holds a two-year option to purchase Bally’s Lincoln (formerly Twin River) in Rhode Island for $735 million.
In addition to providing completion money, GLPI purchased $250 million of land underneath the Chicago megaresort-to-be. Carlino said, “The completion of the Chicago land purchase is a significant milestone toward the development of Bally’s Chicago, which is expected to be a must-visit destination casino resort in the heart of Chicago. This month, Bally’s oversaw the first stage of the important redevelopment of our blue chip 35-acre site on the Las Vegas Strip with the demolition of the Tropicana,” Carlino said. “This is a historic first step in bringing Major League Baseball’s Athletics to Las Vegas through the development of a new 30,000-seat stadium surrounded by an integrated casino resort facility.”
In another third-quarter transaction, GLPI underwrote the Ione Band of Miwok, to the tune of $110 million, for the development of a tribal casino near Sacramento. The loan may be converted into a 25- or 45-year lease.
GLPI is also underwriting the land-based replacement for Louisiana’s Belle of Baton Rouge riverboat at a cost of $111 million. The latter grossed a state-low $100,000 in September. Its successor is expected by GLPI to be on line by September of next year.
Other recent acquisitions were Silverado Franklin Hotel & Gaming Complex, the Deadwood Mountain Grand casino, and Baldini’s Casino, purchased for $105 million. Earlier in 2024, GLPI spent $175 million to buy and lease back Tioga Downs racino in New York.
Summarized Carlino, “GLPI’s expansion and growth momentum continues unabated with strong third quarter financial results reflecting the consistent performance of our legacy tenant portfolio and the addition of two additional tenants earlier this year.” He credited the results to a disciplined fiscal approach, portfolio growth and higher rents.
