Arkansas: casino license approved for Cherokees, earlier competitor permit voided

The Arkansas Racing Commission voted 3-2 on Friday to approve a Pope County casino license for the Cherokee Nation, thus voiding an earlier license to a competitor, Gulfside Casino Partnership, that the state Supreme Court said last month didn’t meet the state’s qualifications. The permit will allow the tribe to build and operate a venue in Pope County.

The upcoming gambling facility will be the last of four voters authorized under a 2018 constitutional amendment to Oklahoma-based Cherokee Nation Businesses. The approval comes after the state Supreme Court ruled on October 21 that endorsement from elected local officials in office was needed for casino licenses: the Cherokee proposal had the backing of Pope County’s judge, reports KY3.

The earlier license now voided had been issued to competing Mississippi-based Gulfside Casino Partnership. The company first submitted its application in 2019. The business is now citing pending court cases and questioning whether Legends Resort and Casino LLC, the company with which the Cherokee Nation is partnering, qualifies for the license.

“Legends has no casino gaming experience and, therefore, is not a qualified applicant,” Lucas Rowan, Gulfside’s attorney, said in a statement, further reports KY3. “This issue is pending in circuit court, and we expect it will be resolved through the legal system.” The license battle has been fought in the courts for the last several years.

The Cherokee Nation first announced it would be partnering with Legends to manage the design and development of the Pope County casino in June 2019. Legends is a company founded by the Dallas Cowboys owner and the late George Steinbrenner, who owned the New York Yankees.

Earlier this year, investment firm Sixth Street Partners acquired a 51% stake in Legens. The co-founders split a 40% ownership share, reported Sportico, and the business was valued at $1.35 billion.

Now the Cherokee Nation, which operated 10 casinos in Oklahoma, expects to move forward with the development of the venue. “We are eager to put forth our large-scale development plans to the Russellville Planning commission, and ultimately, for litigation to come to an end so that we can proceed with construction,” Cherokee Nation Businesses CEO Chuck Garrett said.

The proposed Cherokee Nation venue would be a $225 million casino resort. The facility is set to count with 1,100 slot machines, 32 table games and 200 hotel rooms. It will be located near Russellville, in northwest Arkansas.