Bally’s Corp. continues to micturate progress inwards building Chicago’s lone downtown integrated gambling casino resort. The to a greater extent than $1.7 one million million development will ideally cater the Windy City with an array of economic and societal benefits. But the undertaking is also helping to fund a major media acquisition.
Nexstar Media Group, the nation’s largest possessor of local television system stations with nearly 100 electronic network affiliates, has agreed to sell the Freedom Center in Chicago to Bally’s for around $200 million. Also known as the Chicago Tribune publishing center, Bally’s plans to demolish the full printing flora and newspaper offices next the transaction’s execution.
Nexstar revealed this week that it plans to usage its nett proceeds from the Freedom Center sales agreement to aid finance its recent 75% acquisition of The CW. The dealings with WarnerMedia and ViacomCBS closed in conclusion month.
Though financial terms of the deal were not disclosed publicly, Variety reported in August that Nexstar is non paying any hard currency for The CW. Instead, it is assuming the network’s more than $100 trillion inwards debt. Nexstar plaque says the company believes it tin move around the electronic network profitable by 2025.
Casino Sale Financing
Nexstar says in one case it completes its $200 1000000 cut-rate sale of the Freedom Center to Bally’s, the media companion testament usage the roughly $155 zillion in clear cash proceeds to cover up its CW purchase.
From a funding perspective, we’re inward the cognitive process of merchandising i of the remaining properties we had in Windy City for $155 gazillion of mesh cash,” Nexstar CFO Robert E. Lee Ann Gliha explained this week during an investor’s group discussion hosted by financial services fast(a) Stephens. “That goes a long path to funding the investment funds that we’re going to have inwards the CW.”
During Nexstar’s third-quarter earnings release before this month, Gliha said she expects the Freedom Center sales event to closemouthed by the stop of November.
Once Bally’s becomes the proprietor of the Freedom Center, the Rhode Island-based cassino fellowship will follow able-bodied to proceed with demolishing the property’s current buildings.
It’s unclear where the Chicago Tribune and the other newspapers and publications that are currently printed at the Freedom Center, including the Chicago Sun-Times, testament be printed inward the future. Tribune Publishing, which publishes the Chicago Tribune, has a letting with Nexstar to impress the paper at the Freedom Center that runs through and through June 2023.
Nexstar acquired the Freedom Center through its $4.1 1000000000 takeover inward 2019 of Tribune Media, the former television programme branch of Tribune Publishing. The deal did not include Tribune’s tidings division.
Zoning Completed
Bally’s wasn’t the first-class honours degree to moot redeveloping the Freedom Center.
A yr before its takeover past Nexstar, Tribune Media mulled redeveloping the situation into a mixed-use destination with hotels, thousands of residential units, office space, and an teemingness of retail shopping, dining, and entertainment. Tribune Media had the dimension rezoned for such a development.
Bally’s, pending net favorable reception from the IL Gaming Board, plans to build a sprawling integrated holiday resort highlighted past a gambling casino floor with 3,400 slot machines, 170 tabulate games, and a sportsbook. The installation testament live complemented by a 500-room hotel, 3,000 place theater, an outdoor music venue, and half-dozen restaurants and bars.