Caesars Southern Indiana casino in the Harrison County town of Elizabeth will operate under new ownership in 2021 after it was acquired by a Native American tribe in a deal valued at $250 million.
Nevada-based Caesars Entertainment Inc. (Nasdaq: CZR) has entered into a definitive agreement to sell the operations to the Eastern Band of Cherokee Indians, which is based in North Carolina.
Caesars was required to divest several Indiana casinos, including the one in Elizabeth after it merged with Eldorado Resorts Inc. in July.
According to Caesars, EBCI has entered into a long-term agreement for the continued use of the Caesars brand at the casino.
“The purchase of Caesars Southern Indiana operating company marks the beginning of an exciting new future for the Eastern Band of Cherokee Indians,” said Richard Sneed, principal chief, Eastern Band of Cherokee Indians. “We are pleased to build upon our long-standing partnership with Caesars as we look to advance our interests in commercial gaming in the coming years.”
The companies say EBCI will enter into a new lease with year one annual rent payments of $32.5 million with VICI Properties Inc. (NYSE: VICI), which maintains ownership of the real estate of the property.
The transaction is expected to close in the third quarter of 2021 and is subject to regulatory approvals and other customary closing conditions.