Century to Open New Missouri Casino on Nov. 1
Century Casinos (NASDAQ: CNTY) announced that its new land-based casino hotel in Caruthersville, Mo. is set to open on Friday, November 1.
On Wednesday, the Missouri Gaming Commission (MGC) sanctioned the transition for the final riverboat casino in the state, clearing the path for the opening on November 1. The commission approved the shift of Century’s license from a temporary location to the new permanent casino resort.
"The new Century Casino & Hotel Caruthersville will have 599 slot machines and nine live table games, a 50% increase in gaming positions compared with the temporary location. The number of hotel rooms will double to 74,” according to a statement issued by the regional casino operator.
In 2019, Century obtained the Caruthersville venue along with its namesake property located in Cape Girardeau, collaborating with the gaming real estate investment trust (REIT) VICI Properties on these transactions.
Missouri Emerging as an Important Market for Century Casinos
Along with two gaming locations in Colorado, Rocky Gap in Maryland, the Nugget in Sparks, Nev., and the Mountaineer in West Virginia, Century operates the previously mentioned pair of Show Me State casinos, making Missouri a more significant aspect of the operator's long-term growth narrative.
Earlier this year, the gaming firm launched the Riverview Hotel at its Cape Girardeau location. Incorporating accommodations could enhance the regional gaming venue's attractiveness and assist the operator in fully utilizing certain inherent geographic benefits. The town hosts Southeast Missouri State University and is located only 100 miles from St. Louis and 150 miles from Memphis.
Century's shares have plummeted almost 41% this year — among the poorest results in the gaming sector — yet certain analysts suggest the stock is set for a turnaround in 2025 as the two Missouri locations begin to improve.
The casino in Cape Girardeau has done well since the hotel opened. Particular to Century Casino Caruthersville, historical data indicates positive economics, and in certain instances, enhanced profits for casinos that made the transition from boat to land.
Century Casino Caruthersville Facing Challenges
Century successfully managed the Caruthersville project to stay on schedule and within budget, which is an impressive feat given the ongoing inflation, elevated interest rates, and shortages in labor.
Construction at the site began in December 2022, with VICI supplying $51.9 million in funding.
“VICI will own the real estate improvements associated with the Caruthersville project, which will become part of the Company’s triple-net master lease agreement with subsidiaries of VICI. Annual rent under the lease will increase by approximately $4.2 million,” said the gaming company in the press release.
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