Baltimore withdraws lawsuit against Maryland Jockey Club

The city of Baltimore has withdrawn a lawsuit seeking the condemnation of Pimlico Race Course and the transfer of the track’s assets, including the rights to the Preakness Stakes, according to the parties involved.

The lawsuit was withdrawn following recent discussions between Belinda Stronach, chairman of The Stronach Group, which owns Pimlico, and Baltimore Mayor Bernard Young, who took office following the resignation of Catherine Pugh in the spring. Pugh’s administration filed the lawsuit in March when the relationship between the city and The Stronach Group had become antagonistic.

According to Alan Rifkin, a Baltimore attorney who represents The Stronach Group’s Maryland interests, the withdrawal of the lawsuit represents a chance for the two sides to reset their relationship and work toward a way to fund improvements at Pimlico, a dilapidated racetrack in a disadvantaged neighborhood that has hosted the Preakness for more than 150 years.

“It’s a daunting challenge, but I think we all now have the will to face it,” Rifkin said in an interview Thursday.

Rifkin said the city has pledged to appoint negotiators who will work with The Stronach Group on potential funding plans for the Pimlico property, which is operated by a subsidiary of the privately held company called the Maryland Jockey Club. Those negotiations will be expanded to include racing constituencies and representatives of the local community and state government, Rifkin said.

In a statement, Young said, “The City is committed to keeping the Preakness in Baltimore, and I look forward to working with the Maryland Jockey Club and The Stronach Group on good-faith negotiations toward a positive outcome for the Park Heights community and the City of Baltimore.”

Officials for The Stronach Group have said their long-term plans are to move the Preakness to Laurel Park, located halfway between Baltimore and Washington, D.C. Over the past decade, the Maryland Jockey Club has used subsidies from casinos in the state to fund renovations at Laurel while largely neglecting Pimlico.

Earlier this year, officials for the company said they were committed to keeping the Preakness at Pimlico through next year, but Rifkin said “the calculus has changed” considering that they now have pledges from the city to work toward identifying ways to improve Pimlico.

“I think we all agree – in fact, I know we all agree – that the state has to be involved in these discussions,” Rifkin said.

Earlier this year, The Stronach Group lobbied for legislation that would use the casino subsidies to back a state bond issue in excess of $100 million to convert Laurel Park into a so-called “super-track” and fund improvements to the Bowie Training Center, which The Stronach Group also owns. But that legislation was opposed by Baltimore’s representatives and was not brought up for a vote.