(Updated) Boston, Suffolk Downs reach agreement on casino

Caesars at Suffolk Downs Hotel. PHOTO CREDIT: Suffolk Downs
Caesars at Suffolk Downs Hotel would generate, at minimum, $32 million for the city of Boston annually. Credit: Suffolk Downs

Boston and Suffolk Downs have put their cards on the table, and soon it will be the voters’ turn to bet on a proposed casino that could net Boston tens of millions of dollars in annual payments. 

Officials from the city and the racetrack announced Tuesday that the sides had reached a deal on a host community agreement regarding the proposed casino. Last year, officials from Caesars Entertainment and Suffolk Downs unveiled plans for a $1 billion casino and hotel at the track that is located on the East Boston and Revere border.

Among the deals worked out in the 138-page agreement is a section that outlines payments to the city. The city said Boston is projected to receive $52 million annually, after stabilization and based on anticipated gross gaming revenue. Regardless of revenue, the city will never receive less than $32 million annually.

A $33.4 million upfront payment will be made to the city specifically for improvements to East Boston.

“This agreement will transform my neighborhood,” said City Councilor Sal LaMattina. ”It will save jobs … it will provide jobs, hundreds of jobs, to people that live in my neighborhood … this is a big day for my neighborhood.”

The agreement also states that the casino should have 4,000 permanent jobs at its completion and for the remainder of the license term. Of those hired for the jobs, 50 percent should be from Boston, according to the agreement.

While Boston reached an agreement with Suffolk Downs, Revere must also come to a deal. Joe O’Donnell, principal owner of Suffolk Downs, said that he expects a deal with Revere to be finalized this week.

While officials have reached an agreement, it must still be approved by voters. The expanded gambling law states that a ward can vote on whether to accept an agreement. While some groups and mayoral hopefuls have expressed their desire to have a citywide vote, Mayor Thomas Menino said he supports an East Boston-only vote.

Officials would not commit to a date for the vote.

Even if residents approve the agreement, Suffolk Downs and Caesars still have to compete for the casino license in the Greater Boston area. Las Vegas mogul Steve Wynn has already reached an agreement with Everett where he proposed to build a resort-style casino. There is also a deal being worked out between Milford and Foxwoods.

Ultimately, the Massachusetts Gaming Commission will decide which proposal receives the license for the Greater Boston region.

Follow Michael Naughton on Twitter @metrobosmike.


News
Entertainment
Sports
Lifestyle
International

'Barack Obama cheats on Michelle' claims Japanese politician…

A senior Japanese politician has marred Barack Obama's official visit to Tokyo with bizarre claims that the President cheats on his wife Michelle. Kazuyuki Hamada,…

International

British Royal family devastated by freak NY death…

The British royals have been left devastated by the death of Mark Shand, younger brother of Camilla, Duchess of Cornwall, after a freak fall in…

Local

DA: Homeless man severely beat by men in…

Two former college football players pleaded not guilty to the alleged severe beating of a homeless man in Allston earlier this year.

National

Hamas, Abbas's PLO announce reconciliation agreement

The Gaza-based Islamist group Hamas and President Mahmoud Abbas's Palestine Liberation Organization (PLO) agreed on Wednesday to a unity pact.

Television

‘Survivor: Cagayan’ recap: Episode 9

It was only an hour-long episode, but there's a lot to cover this week. The drama of Survivor strikes again as the identity of the…

Going Out

Thursty: Revamped Audubon is back in action

Having been a long time fan of Trina's Starlite Lounge in Inman Square, one of my only complaints about the place is that there's only…

Entertainment

Here's what to do in Boston this weekend

MUSIC Huun Huur Tu Friday, 8 p.m. First Church in Cambridge 11 Garden St., Cambridge $28, 617-876-4275 www.worldmusic.org This group comes from the tiny nation…

Television

TV watch list, Wednesday, April 23: 'Suburgatory,' 'Modern…

'Suburgatory' The men of "Suburgatory" go camping and Tessa mentors a social outcast in a Miss Chatswin contest, which brings her, once again, into conflict…

NFL

2014 NFL Mock Draft: Updated, new April 24…

2014 NFL Mock Draft: Updated, new April 24 version

MLB

MLB video highlights: Red Sox top Yankees, 5-1

John Lackey shines, Pineda ejected in Red Sox win

NHL

Bruins - Red Wings Game 4 preview: Boston…

Bruins - Red Wings Game 4 preview: Boston greedy for more dominance

MLB

Fantasy baseball: Searching for early season prospects

It’s relatively rare for a mediocre 30-year-old hitter to suddenly go nuts offensively for 162 games. That’s why minor league prospects are so exciting.

Style

Pippa Middleton's Etsy pick: Golden Thread Jewelry

Get a look at the jewelry Pippa Middleton loves and find out how you can buy it too.

Parenting

What every parent needs to know to get…

Mom and author of "Small Talk," Tracey Blake, shares her five practical tips to help you develop your children's language skills.

Sex

Subway crush: Meet your soulmate on your commute

Read about a couple who has been 40 years after meeting on the train.

Tech

Happy birthday, Game Boy! The handheld console turns…

Nintendo's Game Boy turns 25 this week. To commemorate, we look at some of its better games, like "Tetris" and "The Legend of Zelda: Link’s Awakening."