Century Casinos Opens Missouri Hotel, Says Other Project in State Is On Budget

Posted on: April 6, 2024, 06:52h. 

Last updated on: April 6, 2024, 06:52h.

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

Century Casinos (NASDAQ: CNTY) said Friday that it opened the Riverview Hotel at its eponymous gaming venue in Cape Girardeau, Mo.

Cape Girardeau casino
Century’s casino in Cape Girardeau, Mo. The company opened a new hotel there on Friday. (Image: KAIT-8)

The company said in 2021 it was considering 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.

The Riverview is a 69 room, six-story building with 68,000 square feet that is adjacent to and connected with Century Casino Cape Girardeau. The project cost $30.5 million and was financed with cash on hand,” according to a statement issued by the Colorado-based regional casino operator.

Century’s other gaming venue in Missouri is a namesake property in Caruthersville.

Century Casinos Caruthersville Update

Century Casinos Caruthersville was the last riverboat casino in Missouri. In 2021, it won approval from the Missouri Gaming Commission to come ashore.

With financing from landlord VICI Properties (NYSE: VICI), Century started $51.9 million in enhancements at the venue in late 2022.

“The company is also constructing a new land-based casino with a 38 room hotel in Caruthersville, Missouri,” according to the press release. “The project continues to be on time and on budget with an estimated project cost of $51.9 million. Construction started in December 2022 with completion expected in the fourth quarter of 2024.”

Keeping the Caruthersville project on budget and on schedule are impressive feats when considering high inflation and tight labor pools have stoked delays and elevated costs at various regional casino enhancements across the US.

Century Casinos Extending Relationship with VICI

The Caruthersville project is another sign of Century’s ongoing relationship with New York-based VICI, which is the largest owner of gaming real estate in the US.

“Following completion, VICI will own the real estate improvements associated with the Caruthersville project, which will become a part of the Company’s triple net lease agreement with subsidiaries of VICI,” according to the statement.

VICI also owns the real estate of the Cape Girardeau property. The involvement of Century and VICI on the two Missouri casinos goes back more than three years with the firms acquiring the operating rights and real estate of those assets in 2019.

VICI also owns the real estate of Mountaineer Casino Racetrack and Resort in West Virginia and the Rocky Gap Casino Resort in Maryland, both of which are operated by Century.