Bally's Corporation has withdrawn from a deal to build a casino in Pennsylvania, as announced on Friday, 13 September. The agreement between Bally's and SC Gaming to develop a Category 4 casino at Nittany Mall in College Township, Pennsylvania, is now officially canceled.
In a joint statement, Bally's and SC Gaming confirmed that SC Gaming will move forward with the project on its own. SC Gaming's owner, Ira Lubert, a Penn State graduate and developer who previously launched Valley Forge Casino in Eastern Pennsylvania, will complete the construction without any outside partnerships.
“As a part of the Pennsylvania Gaming Control Board’s application and approval process, I demonstrated to the Board my resources and capability to independently develop and operate this casino project without reliance on a third party, including Bally’s,” Lubert said in the press release.
“I have a proven track record of casino resort development in Pennsylvania, having successfully developed the Valley Forge Casino Resort during the challenging economic conditions following the 2008 financial crisis.
“With that experience, I am fully confident that this project will be a success, delivering a casino development that both College Township and the Commonwealth can take pride in.”
Project still aiming for 2026 opening
The project near Penn State University faced local opposition during the approval process, and The Cordish Companies challenged the licence granted by the Pennsylvania Gaming Control Board.
In July, the Pennsylvania Supreme Court dismissed Cordish’s challenge, allowing SC Gaming and Bally’s to proceed with construction. The casino will be located in a former anchor store in the mall.
Bally’s had planned to start building in 2025, with completion expected in early 2026. SC Gaming has stated it will stick to this timeline and open the casino as scheduled.
No surprise Bally’s is slimming down
Bally’s is working on several projects across the US, including new casinos in Chicago and Las Vegas. Some analysts believe the company may be taking on too much at once.
Bally’s lacked funds for the Chicago project until Gaming and Leisure Properties (GLPI) stepped in with a deal. GLPI announced on Friday that it now owns the land for the Chicago casino. It also owns the land where a new MLB stadium and Bally’s casino will be built in Las Vegas.
In July, Bally’s agreed to be bought out by Standard General.
“We are grateful for the collaboration and achievements we have accomplished with SC Gaming over the past three years,” said George Papanier, president of Bally’s Corp., in the release. “However, as our strategic focus evolves, we have made the difficult decision to conclude our relationship.”
Category 4 casinos, also called “mini casinos,” can have up to 750 slot machines and 30 table games when they open. After opening, owners can ask the state to add 10 more table games.
