Petersburg Greenlights $597M Casino by Cordish Companies

On Tuesday, November 5, residents of Petersburg, Virginia, voted overwhelmingly in favor of allowing the Cordish Companies to construct a casino in their town. This approval marks a significant shift in the region's gaming landscape after voters in nearby Richmond rejected similar proposals twice. The approval came with 81.5% of voters in favor and 18.5% opposed, as reported by the Secretary of State’s office. A total of 10,265 votes were cast in favor of the casino, while 2,325 opposed it, indicating strong local support for the project.

 

Richmond’s Rejection and Petersburg’s Pursuit

Petersburg’s opportunity arose in part due to Richmond voters’ continued resistance to a casino. In 2021, Richmond was one of five Virginia cities approved for a physical casino, subject to local voter consent. However, a casino proposal there was rejected in 2021, with 51% of voters opposing it. Two years later, a second attempt failed by an even larger margin, with 61% of voters saying no.

Following Richmond’s rejection, lawmakers in Petersburg saw an opening to bring a casino to their city. State lawmakers amended Virginia’s gambling legislation to add Petersburg as a possible casino location, subject to local approval, which led to this week’s decisive vote.

 

Petersburg’s Casino: Path and Proposals

The journey to Petersburg’s casino approval was complex. After Richmond’s first rejection, Petersburg lawmakers began exploring their options to attract a gaming operator, drawing the attention of several major players. State lawmakers, however, initially decided to give Richmond voters another chance, forcing Petersburg to wait. When Richmond rejected the proposal a second time, Petersburg’s bid gained momentum, and in April, the Virginia legislature amended the bill to add Petersburg to the list of approved casino locations.

The selection process, however, was met with criticism and legal challenges. Initially, Petersburg issued a public request for proposals to identify potential casino operators. Major industry names, including Bally’s, Cordish Companies, Penn Entertainment, Rush Street, and a partnership between the Warrenton Group and Delaware North, submitted bids. Each company presented its vision at a town hall meeting on April 14. However, the city council’s subsequent decision to award the contract exclusively to Cordish in a no-bid process raised concerns. The closed-door decision-making process led to legal challenges, with one union suing the city over a lack of transparency.

Ultimately, Cordish emerged as the city’s choice, despite the controversy. With the Virginia Lottery’s approval, the city moved forward with the referendum, culminating in this week’s vote.

Cordish’s planned $597 million project will bring a Live! Casino and hotel to Petersburg’s south side. The development will span 92 acres and will be built in two phases. The first phase will focus on creating a casino and entertainment complex, with gaming facilities, dining, and event spaces. The second phase is expected to include additional entertainment options and a hotel to accommodate guests from beyond the city. This multi-phase approach aims to create a sustained economic impact while gradually expanding amenities and services.

 

Virginia’s Casino Landscape and Economic Impact

Virginia’s entry into the casino industry began with legislation passed in 2020, which authorized digital sports betting and approved five cities for physical casinos, pending local support. Since then, the casino industry in Virginia has been rapidly growing, with casinos opening in Bristol, Danville, and Portsmouth. Last week, Boyd Gaming and the Pamunkey Indian Tribe broke ground on a $750 million casino in Norfolk, expected to open in late 2027.

With Petersburg’s casino approval, four out of the five approved casino sites have moved forward, leaving Richmond as the only location that has rejected a casino. The economic impact of these new establishments is expected to be substantial, with casinos projected to boost local economies through job creation, tourism, and tax revenue. Petersburg officials anticipate that Cordish’s project will help revitalize the area, bringing new jobs, infrastructure improvements, and increased tourism.

 

With 81.5% of voters in favor, Petersburg’s approval of the $597 million Cordish casino project marks a pivotal moment for the city’s economic future.

 

Future Outlook

The decisive support for the Petersburg casino reflects local optimism about the project’s potential benefits. Petersburg, a small town in central Virginia, has faced economic challenges and sees the casino as an opportunity for growth and revitalization. Cordish’s investment of nearly $600 million promises to bring not only entertainment but also long-term economic development, with substantial tax revenue and new employment opportunities.

However, the challenges leading up to the vote underscore broader tensions within Virginia’s evolving gaming industry. While public and legal scrutiny of the selection process raised questions, the strong vote of confidence in Cordish’s proposal indicates that residents are ready for change.

As Cordish embarks on the development, all eyes will be on Petersburg to see how the project unfolds. Should it deliver on its economic promises, Petersburg’s Live! Casino could become a model for other small cities exploring similar development opportunities. The project represents a new chapter for both Petersburg and Virginia’s gaming industry, one with the potential to bring lasting change to the region’s economic landscape.