Century Casinos Says Caruthersville Casino Can Come Ashore

Posted on: July 16, 2021, 01:33h. 

Last updated on: July 16, 2021, 01:51h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.

Century Casinos said Friday efforts to bring ashore its namesake venue in Caruthersville, Mo., the last riverboat casino in the state, are paying off.

Century Casinos
Gamblers at slot machines at a Century Casino in Missouri. The company got approval to bring its Caruthersville venue ashore. (Image: CNBC)

The Colorado-based gaming company moves to alter Missouri law that previously mandated the casino be a “floating facility” or riverboat are bearing fruit.

Going forward, the Missouri Gaming Commission will have the ability to approve a casino facility that is built as a standard building, as long as it also includes a container with at least 2,000 gallons of water beneath the facility,” according to a statement issued by the company.

Century Casino Caruthersville, which is one of a pair of properties operated by the company in Missouri, “is the last remaining riverboat casino on open water in Missouri.”

Century History Missouri

Century acquired the Caruthersville venue and its namesake property in Cape Girardeau in 2019, partnering with gaming real estate investment trust (REIT) VICI Properties on the deals.

Those assets were acquired from the company previously known as Eldorado Resorts. It was part of that firm’s plan to offload some smaller venues leading up to its acquisition of Caesars Entertainment. Those gaming properties, along with the Mountaineer Casino Racetrack and Resort in West Virginia were included in one transaction.

The total purchase price was $385 million, with Century doling out $107 million for operating rights. The Caruthersville casino “consists of a dockside casino featuring 21,000 square feet of casino space, 513 slot machines, nine table games, two dining venues, a 40,000 square foot pavilion, and a 28-space RV park,” according to Century.

Century Aiming for Big Things in Missouri

Leading up to the Missouri decision on the Caruthersville venue, Century purchased parcels of nearby land and leased a land-based pavilion building that’s home to a restaurant and multifunctional spaces. There’s also a small two-story hotel on that land. The operator is planning to enhance that hotel, broaden it to 36 rooms, and have it operational some time in 2022. Data confirms the state is a vital market for Century.

Century’s “two casinos in Missouri, Century Casino Caruthersville and Century Casino Cape Girardeau, operate 1,365 slot machines and 32 table games and generated 43 percent of the company’s net operating revenue and 104 percent of the company’s adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) in Q1 2021,” said the operator.

In May, news broke that the company is mulling the addition of a hotel to its Cape Girardeau casino. The addition of lodging there could make the regional gaming venue a more appealing destination, and help the operator better capitalize on some built-in geographic advantages. The town is home to Southeast Missouri State University, and is just 100 miles away from St. Louis and 150 miles from Memphis.

Century’s US venues consist of the two Missouri properties, the Mountaineer in West Virginia and a pair of casinos in its home state of Colorado. The company also operates gaming venues in Canada and Poland.