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February 27, 2014

State picks Plainville for slots license

Courtesy Rendering

The state gaming commission has picked Plainville over Leominster and Raynham for the one slots parlor license mandated in the 2011 gambling expansion law.

The five-member commission Thursday concluded several days of public presentations and deliberations with a 3-2 vote in favor of the Plainville site. In a final vote today, the commission voted unanimously for the proposal from Springfield Gaming and Redevelopment LLC (also known as Penn National) after it agreed to satisfy a list of 18 licensing conditions. Chairman Stephen Crosby and Commissioner James McHugh had voted no Thursday, but McHugh said today marked the beginning of the next phase in the gaming application process and called Penn National "an excellent licensee."

Penn National President and CEO Timothy Wilmott told the commission today that he will have a better idea next week of when construction will get underway, but he said he expects the facility to open in the second quarter of 2015.

The slots parlor will be located on the grounds of the Plainridge Racecourse harness racing track. Plainridge officials have reportedly said the track would close if they were not awarded the slots license. Wilmott said he’s heading to Plainridge to meet with current employees today.

The decision appeared to come down to either the Plainville or Leominster proposals as the commission’s deliberations unfolded this week.

Disappointment in Leominster

David McKeehan, president of the North Central Massachusetts Chamber of Commerce, said Thursday that the Leominster slots parlor proposal represented an “extraordinary opportunity” for the region.

“I think there are a lot of disappointed people in North Central Massachusetts right now, with this decision,” McKeehan said.

The chamber had commissioned a study measuring the economic benefit a slots parlor would have in North Central Massachusetts, and McKeehan said that while some Leominster residents opposed development of a slots parlor for personal reasons, community support was generally strong.

Still, the fact that the Plainville community has experience as a host to a betting business, the racecourse likely helped Penn National’s proposal, according to McKeehan.

“That was a new element here in Leominster,” McKeehan said, adding that he wishes Penn National well. “We’ll see if the market supports that growth.”

Meanwhile, Leominster Mayer Dean Mazzarella was somewhat puzzled by what he said were commissioners’ sentiments that awarding a license to Penn National was preferable in part because it was would keep horse racing alive in Massachusetts. Mazzarella said Leominster offered a prime location, away from competing casinos, like Twin River Casino, which is about 20 minutes south of Plainville in Lincoln, R.I.

“There were a whole lot of reasons (Leominster was a good location.),” Mazzarella said Thursday. “But they had their own.”

Leominster site earned high marks

Earlier this week, the gaming commission gave the Leominster proposal by developer Cordish Cos. high marks in its reviews. The proposal for Plainville also ranked high. Raynham is the third community in the running for the license.

McHugh's team rated the Leominster site proposal and design "very good/sufficient," citing its emphasis on gaming, dining and live entertainment, each of which the commissioner determined "is a draw in and of itself." The proposal "excels with its approach to balanced entertainment" and only three of 79 questions were rated insufficient. However, one question, regarding how the facility would integrate with surrounding venues, was considered "somewhat of a misfit question" because of the proposed site's secluded location on Jungle Road.

McHugh said Cordish, based in Maryland, was overly optimistic in its anticipation of the venue being open this year.

Plainville also received high marks in the category for its plan to join existing harness racing and simulcast with the slot parlor. The Raynham plan was ranked the lowest and considered insufficient because it lacked detail, "overlooked some requirements, and missed opportunities to present the project in its best light."

Cordish was given a rating of "very good" for financing, demonstrating that the company has the financial capabilities and funds necessary for the development. However, Commissioner Enrique Zuniga said that while the site plan is strong, the plan isn't "completely aligned with the future Massachusetts competitive marketplace."

Plainville ranked the highest in the category with a "very good/outstanding" ranking, while Raynham's was also "very good," but wasn't considered to have demonstrated that it has the necessary financial capabilities.

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