JACK Entertainment LLC (JACK Entertainment) announced that the sale of Greektown Casino-Hotel for $1 billion cash to Penn National Gaming (Penn National) and VICI Properties (VICI), an experiential real estate investment trust, has been completed. Under the terms of the agreements, VICI acquired the land and real estate assets of Greektown Casino-Hotel and simultaneously entered into a favorable triple-net leased fee agreement with Penn National, who will be responsible for the operations at the property.
“We are pleased to welcome Penn National and VICI to Detroit as they add Greektown Casino-Hotel to their robust gaming portfolios,” said Matt Cullen, CEO of JACK Entertainment. “We are confident that Penn National, an operator known for its excellent culture and leadership, will be a great addition to this city and further Greektown Casino-Hotel’s success, elevating the property to reach new levels of growth.”
JACK Entertainment and Penn National will reportedly work closely together to ensure a smooth transition for all guests and team members.
“We would like to express our sincere gratitude to the Greektown Casino-Hotel team members and management for their unwavering commitment to delivering exceptional guest service over the last six years," said Cullen. “Greektown Casino-Hotel’s success is a true testament to their hard work and dedication, and we know they will continue to thrive under Penn National's leadership."
The Rock Family of companies remains committed to Detroit and aims to use the capital proceeds from the sale to continue investing in Detroit real estate and business development, furthering the organization’s mission to create opportunity, jobs and growth in the Motor City. The Family of companies will also remain heavily invested in the Greektown District, continuing to own multiple retail and office spaces, in addition to developing the Monroe Block and planning for the Gratiot site, which will both have a lasting positive impact on the district and city.
Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. acted as financial advisors and Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as legal advisor to Greektown Holdings and certain of its affiliates in connection with the transactions described above.