Gaming and Leisure Properties Inc. of Wyomissing, the company which spun off from Penn National Gaming Inc. on Nov. 1, has made its first acquisition.
The company bought Casino Queen in East St. Louis, Ill., for $140 million.
The purchase includes a 38,000-square-foot casino with 27 gaming tables and 1,155 slot machines, a 157-room hotel and related restaurants.
"This is our first acquisition as a stand-alone company and is representative of the robust opportunities that exist in the gaming asset markets that our company is targeting," said Peter M. Carlino, chairman and CEO of Gaming and Leisure Properties. "The Casino Queen adds a newly constructed asset with strong market share to our portfolio and further diversifies our operating partners, while strengthening our cash flow."
Under the new structure of the firms, Gaming and Leisure Properties Inc. acts as a real estate investment trust, or REIT, that owns most of the real estate associated with Penn National's casinos. Penn National acts as operator to those properties, paying rent to Gaming and Leisure.