Jim Murren Termed Connecticut’s Planned I-91 Casino to Counter MGM Springfield a “Box of Slots”
March 24 is the day MGM Resorts International breaks ground on its $800 million casino in Springfield, Massachusetts. A special ceremony is planned for local and state officials, as well as executives of MGM Resorts.
The property covers a 14.5-acre complex in the southern part of Springfield. The area was nearly destroyed by a tornado in 2011, so the project is seen as a redevelopment plan for a hard-hit area of the city. The casino is expected to open sometime in 2017.
Massachusetts Gaming License Process
The Las Vegas gaming company won a license to build the casino after a 3-year licensing process. While the project was overshadowed in the regional and national press by the Wynn Resorts casino in the Boston area, the MGM Springfield has the potential to change the New England region’s gaming industry.
The license was awarded by the Massachusetts Gaming Commission for an integrated resort license in the western part of Massachusetts. The exact location of the building is going to be determined on Monday, March 23 in a meeting held by the Springfield City Council. Officials for the city have said they would not review the final plans before they are filed. Instead, the council only plans to review the site plans after they are completed, though the project oversight committee will not prevent the project from moving foward.
Impending City Council Vote
After the casino plans are presented, city council president Michael Fenton plans to hold a public hearing. In that hearing, the city council members will be given the opportunity to vote on the integrated resort pan. The Monday meeting is planned for 7 p.m.
Kevin Kennedy, the chief development officer for the city, told the Massachusetts media that MGM Resorts has reached a “host community agreement” with Springfield. The future property in question has been reviewed by the City Council and the Massachusetts Gaming Commission, so the plan is not as unsettled as it might appear at first glance.
Vote to Set Location and Boundaries
Despite that, Mr. Kennedy said that the City Council’s vote of approval is significant, because it is expected to establish the exact location and boundareis for the casino and hotel. When completed, the MGM Massachusetts is expected to be the first integration casino resort in Massachusetts. It will not be for long, because Wynn Resorts soon begins work on their $1.5 billion casino in Everett along the Mystic River in the Boston area.
MGM Springfield is going to include a 25 floor, 250 room hotel. The casino’s gaming space is going to be 125,000 square feet, making it a massive complex by the region’s standards. The casino is expected to have a 3600-space parking lot. The term “integrated resort” implies that the casino venue has other attractions, including a convention center, concert hall, and shopping locations. Such casinos are supposed to be more recession-proof, because they have more non-gaming attractions. Also, such casinos become a draw for families with non-gamblers, because they can enjoy shopping and shows while the gamblers in the family spends time in the casino.
Connecticut Reacts to MGM Springfield
The introduction of the MGM Springfield by the Massachusetts Gaming Commission has caused a great deal of consternation in Connecticut. Earlier this month, the legislative and tribal gaming leaders of Connecticut met to plan ways to keep customers in the state, despite the inclusion of the MGM Springfield. Connecticut lawmaker Bob Duff, speaking about the new casino in Western Massachusetts, said the state of Massachusetts had declared “economic warfare” on Connecticut.
The plan is to build a smaller satellite casino on I-91 along the border between Massachusetts and Connecticut. The casino would retain gamblers driving on towards Springfield, or at least that’s how the plan is supposed to work. The Native American tribes which own Foxwoods Casino and Mohegan Sun, the two mega-casinos in Connecticut, would co-own the operation. It is considered a significant development and a sign of the times, because the Mashantucket Pequot and Mohegan Tribes have long been rivals in the casino industry.
That decision prompted the MGM Resorts Chairman and CEO Jim Murren to ridicule Connecticut’s leaders, saying, “A legislative reaction…after having basically a duopoly for decades, to try to, you know, keep money in the state, I don’t think will succeed. I think the people of Massachusetts, at least, would vastly prefer to go to a brand-new, luxury resort than a box of slots on the Connecticut border.”
Thus begins a colorful new chapter in US casino gambling history.
