Posted on: September 11, 2024, 03:35h.
Last updated on: September 11, 2024, 03:35h.
The Norfolk casino project has a new development partner in Boyd Gaming, the Las Vegas-based gaming firm that is one of the nation’s largest regional resort operators.
Casino.org reported earlier this month that the Pamunkey Indian Tribe, Norfolk’s preferred gaming developer that secured approval from local voters for a casino undertaking along the Elizabeth River during the November 2020 election, had brought in Boyd to help bring its long-delayed dreams to fruition. Those reports surfaced after updated planning documents were submitted to the Norfolk City Council showing Boyd’s involvement.
The development consortium confirmed the speculation this week after Norfolk officials approved a resolution amending the Pamunkey Tribe’s casino agreement. The resolution designates Boyd and the federally recognized tribe as partners in Golden Eagle Consulting II, LLC, the entity that Norfolk reached the original Development Agreement on Jan. 19, 2020.
New Norfolk Casino Team
Golden Eagle was initially controlled by Jon Yarbrough, a billionaire who amassed his wealth by founding a leading manufacturer of gaming machines specifically made for tribal casinos. Yarbrough, estimated to be worth over $4 billion by Forbes, had been introduced to the Pamunkey Tribe by a colleague before Virginia lawmakers approved commercial gambling in five cities in 2020 and Norfolk was among the designees.
Yarbrough had hoped to aid the tribe in gaining Class III gaming privileges, which would have been a first in Virginia. But after commercial casinos became authorized, the tribe located about 60 air miles north of Norfolk petitioned the city to become its gaming development partner.
Since a tribal casino so close threatened to jeopardize the economic benefit of becoming a host city to a commercial casino, Norfolk went with the tribe and Yarbrough. The initial concept, a $500 million undertaking called HeadWaters Resort & Casino, has since suffered repeated setbacks due to an array of issues that Casino.org has covered extensively over the past four years.
Yarbrough is departing the project and selling his stake to Boyd, which planning documents suggest will be an 80% position in Golden Eagle. Robert Gray, the chief of the Pamunkey Indian Tribe, says Boyd has the skillset to get the project not only started but finished.
In Boyd, we have found a partner with the national expertise, financial strength, and strong commitment to community,” said Gray. “Together, we will deliver on our tribe’s promise to develop an amazing casino and resort that will attract tourists to Norfolk, provide local residents with good-paying jobs, and generate significant economic benefits for both Norfolk and the entire Commonwealth of Virginia.”
Kevin Smith, president and CEO of Boyd Gaming, said the company’s interest was pegged because Norfolk “is one of the largest underserved gaming markets in the Mid-Atlantic region.” He added that the opportunity will allow Boyd to “further expand and diversify.”
Terms Unknown
The financial details of Boyd Gaming buying a majority stake in Golden Eagle weren’t immediately disclosed, though such information will likely come to light in the future since Boyd is a publicly traded company. The SEC requires public companies that undertake material acquisitions to disclose those acquisitions to the public.
HeadWaters is no more, as the project is now being referred to simply as the Norfolk Casino. The latest blueprint is a $300 million endeavor with a 200-room hotel and a casino floor with 1,500 slots, 50 table games, and a sportsbook. Eight restaurants and bars are also in the current design.
The casino remains slated for a 13.5-acre site located next to the Harbor Park baseball stadium.
