New Bedford casino plan collapse no surprise to Twin River

A TWIN River spokeswoman said that John E. Taylor Jr., chairman of Twin River Worldwide Holdings, has been questioning for months the financial viability of the New Bedford casino plan. KG Urban notified the Massachusetts Gaming Commission on July 22 that it was abandoning its New Bedford casino proposal.   / COURTESY TWIN RIVER
A TWIN River spokeswoman said that John E. Taylor Jr., chairman of Twin River Worldwide Holdings, has been questioning for months the financial viability of the New Bedford casino plan. KG Urban notified the Massachusetts Gaming Commission on July 22 that it was abandoning its New Bedford casino proposal. / COURTESY TWIN RIVER

LINCOLN – It didn’t come as a surprise to Twin River officials that plans for a casino in New Bedford fell through, according to a spokeswoman for Twin River Management Group.
Spokeswoman Patti A. Doyle said that John E. Taylor Jr., chairman of the board of directors of Twin River Worldwide Holdings, parent company of TRMG, has been questioning for months the financial community’s ability to finance a project of that magnitude.
KG Urban notified the Massachusetts Gaming Commission of its withdrawal of its region C casino application in a July 22 letter.
Barry M. Gosin, vice president of KG New Bedford LLC, wrote to the commission that “despite significant efforts and expenditures on our part, we and our lenders /partners have been unable to create a viable financing package for the project.”
Gosin said the reluctance of lenders to provide the requisite financing is due to several factors, including the possibility of competition from a “nearby Indian casino which would pay no taxes or other compensation to the Commonwealth.”
“Given the uncertainty of obtaining viable financing for the project and the time constraints of the license application process, we cannot justify investing any additional funds in the project beyond the significant amount already invested,” he wrote.

Meanwhile, Doyle said Twin River remains focused on its operations, including the recent acquisition of Newport Grand. Today, she said, the SLOTS sign outside the venue was torn down.
The company is seeking to move Newport Grand’s gaming license to a 45-acre site in Tiverton, and is in the process of planning community meetings to educate residents about the project.
If the Tiverton Town Council this fall approves asking the General Assembly to place a casino question on the ballot, voters would have their say in November 2016, she said.
The measure would require both local and statewide voter approval, Taylor has said.
If that referendum passes, the earliest TRMG could construct a facility would be 2017 to early 2018, Taylor said.

Doyle said that if the Tiverton plan is approved, Newport Grand would close, but that’s “certainly a ways down the road.” She said Twin River is committed to the Tiverton site, even with the departure of direct competition from a New Bedford casino.
She said Tiverton offers greater highway access and, at 400 feet from the Fall River border, better access to Massachusetts customers than the Newport Grand site.

“Newport Grand is a bit more removed. [Tiverton] is a more centrally-located site,” Doyle said.
Meanwhile, the only casino applicant left for region C in southeastern Massachusetts is Mass Gaming & Entertainment’s $650 million proposal for the Brockton Fairgrounds.
Elaine Driscoll, Massachusetts Gaming Commission spokeswoman, said that even with Mass Gaming & Entertainment as the lone region C applicant, it is not a guarantee it will be awarded the license. The region C license is expected to be awarded in March, according to the Massachusetts Gaming Commission website.

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