Churchill plans to build hotel, casino at track

Churchill Downs Inc. plans to build a hotel and a casino at its Louisville track, according to its chief executive officer, with details of the project to be announced later this year.

William Carstanjen, the CEO, said on a conference call Thursday morning that the hotel and casino will be located around the first turn of the racetrack. While Carstanjen did not provide significant details about the project, he said the company plans to have construction completed by the 2021 Kentucky Derby, held each year on the first Saturday of May.

A hotel on the property would allow Churchill to add amenities to ticket packages for Derby week. According to Carstanjen, the casino will operate historical horse racing machines, which are devices similar to slot machines that use already run races to determine payouts to players. Last year, Churchill opened a casino in south Louisville at a training facility, and revenues from the operation have exceeded the company’s expectations.

Carstanjen said on the conference call that Churchill will announce details of the plan after the close of the third quarter. He said the plan also will include the addition of more “premium seating.”

Later this year, Kentucky will hold a gubernatorial election. The incumbent, Matt Bevin, has been historically opposed to expanded gambling in the state, and earlier this week, he blamed casino gambling for contributing to suicides. His opponent, Andy Beshear, has said that he supports the legalization of casino gambling in order to provide money for the state’s beleaguered public-pension funds.

Although public opinion polls indicate that Bevin is the most unpopular governor in the United States, the race is currently considered a toss-up.

Churchill has funded enormous construction projects at its Louisville property for 20 years in order to capitalize on ever-growing demand for premium seating options for the Derby and the events preceding the race, including the Kentucky Oaks.