First Pennsylvania mini casino licence sold for $50 million

The first of Pennsylvania’s ten mini land casino licenses – part of the state’s move to boost tax revenues by expanded gambling – was sold Wednesday to land casino operator Penn National, which put in a high bid of $50.1 million for the licence (almost as much cash as operators pay for a full licence, and well above the minimum $7.5 million prescribed by the new expansion gaming law).

A spokesman for Penn National said the operator was motivated by a desire to have prime choice of location (it has revealed that it is considering the Yoe area) but also a need to “protect its flank” from other operators bidding for mini casinos.

The operator can now build its mini-casino anywhere within a ten mile radius of the point it has selected, but must come up with the cash by 4pm on January 12 to secure the licence.

The mini casinos can operate up to 750 slot machines, and if operators pay an additional $2.5 million they can add up to 30 table games.