Posted on: July 13, 2024, 12:35h.
Last updated on: July 12, 2024, 03:35h.
The Iowa Racing and Gaming Commission (IRGC) says it will consider a proposal for a commercial casino resort in Cedar Rapids following the state’s recent termination of a moratorium on new gaming licenses.
Effective July 1, Iowa’s gaming regulatory is again free to consider new casino projects. A consortium of mostly local businesspeople wasted no time in telling the IRGC that it would seek a gaming concession for Cedar Rapids, the state’s second most populated city.
The Cedar Rapids Development Group is partnered with Peninsula Pacific Entertainment (P2E), a Los Angeles-based casino operator. The affiliation hopes to build a casino resort called Cedar Crossing on 25 acres of city-owned land that Cedar Rapids government officials have pledged to sell should the partnership gain a casino license.
Casino Timeline
During a special virtual meeting on Friday, the IRGC adopted a timeline to consider the Cedar Crossing project. Gaming regulators told the developers they must apply by Sept. 16.
The Cedar Crossing application, which is to be complemented by a rendering and project specifics, will be initially reviewed during the IRGC’s Oct. 3 meeting. During the subsequent months, commissioners will evaluate a market study forecasting the consequences a Cedar Rapids casino would have on other gaming venues.
The IRGC gave interested market research firms an Aug. 15 deadline to submit proposals to conduct the Cedar Rapids casino study. The report must be submitted to the state gaming agency by the year’s end.
The IRGC will formally vote on whether to approve Cedar Crossing on Feb. 6, 2025. Cedar Rapids Development Group and P2E have been seeking a gaming license since 2014.
Our commitment to building a world-class facility has never wavered,” said Kim Pang, P2E’s vice president of development. “We want to make sure that we put our best foot forward when we present our property to the Gaming Commission.”
Development reps say the 2024 presentation will mimic the casino proposals made in 2014 and 2017. Those bids were denied by the IRGC due to market saturation concerns.
We’ll finalize our vision and bring something special. At the end of the day, Cedar Rapids will be very proud of our product,” Pang said.
The IRGC has been fully overhauled with new members since the last Cedar Rapids casino vote
Charitable Commitment
The would-be developers and owners of Cedar Crossing are trying to sweeten their pitch by pledging to contribute considerably more money to charity than required by law.
Iowa’s gaming act requires that casinos direct at least 3% of their annual gross gaming revenue to nonprofits based in the state. P2E says it will contribute 8%.
Cedar Rapids has a memorandum of understanding with CRDG that designates the group as the city’s exclusive gaming developer. The agreement requires any casino to come with a minimum investment of $150 million and a minimum of 125,000 square feet of casino, restaurant, and event space. A 1,500-space parking area is also required.
