Petersburg’s bid to host a casino has taken a significant step forward with the approval of the state Lottery Department. The authority certified Petersburg as a casino host city and granted permission to proceed to a local referendum. The next step in the process requires approval from the Petersburg Circuit Court. If things go as planned, the referendum will coincide with the 5 November general election.
Petersburgers Will Have the Final Vote
The Petersburg City Council has scheduled a special meeting for 8:30 a.m. on Monday to adopt a resolution requesting approval for the referendum. According to Joanne Williams, a spokesperson for the city, the council will release an official statement during that meeting, highlighting further details regarding the project.
The proposed casino project in Petersburg is spearheaded by PPE Casino Resorts Petersburg, LLC, a partnership between Baltimore-based Cordish Companies and Bruce Smith Enterprises, owned by NFL Hall of Famer Bruce Smith. The consortium recently revealed details of their proposed Live! Casino & Hotel Virginia, including the project’s estimated costs.
The initial phase of the development, contingent on voter approval in the fall referendum, involves a $142.63 million investment to build a temporary casino, which would commence operations within a year of a successful vote. The second phase includes a $454.22 million investment for constructing a five-star hotel resort featuring multiple restaurants and amenities and a more expansive, permanent casino floor.
The Project Will Kickstart Petersburg’s Economy
PPE plans to build the casino resort on a 92-acre site off Wagner Road and Interstate 95. According to the paperwork filed with the Lottery Department, the company intends to finance up to 50% of the casino’s construction costs through a loan from Buffalo, a New York-based M&T Bank, with the remainder funded through PPE’s cash equity. No public funds from Petersburg will go towards the construction.
The final resort should employ around 7,500 people, with an average annual compensation of $70,000, including benefits and tips. For comparison, Petersburg’s median household income in 2022 was $47,000, signifying that the project should provide locals with desirable work opportunities. The city’s unemployment rate remains at approximately 5%, so the casino should have no shortage of workers.
Developers project that the resort will generate an annual economic impact exceeding $200 million for Petersburg. This significant economic boost should substantially benefit the local community through job creation and increased economic activity. However, the prospect of a high-profile casino has raised some concerns regarding a potential rise in gambling harm, which may impact the upcoming referendum’s results.