Gaming and Leisure Properties, Inc. Completes Previously Announced Sale Leaseback Transaction with Bally’s for Black Hawk and Quad Cities Properties

Rhea-AI Summary

Gaming and Leisure Properties (NASDAQ: GLPI) announced the acquisition of land and real estate assets from Bally's Corporation for $150 million. This includes three casinos in Black Hawk, CO, and the Quad Cities Casino & Hotel in Rock Island, IL, now under an existing master lease. The initial rent has increased by $12 million annually, with adjustments based on the Consumer Price Index (CPI) parameters including a 1% floor and 2% ceiling.

Positive

• Acquisition of assets from Bally's enhances property portfolio.
• Increased initial rent of $12 million annually improves revenue predictability.

Negative

• None.

WYOMISSING, Pa., April 04, 2022 (GLOBE NEWSWIRE) -- Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) (the “Company”), announced today that, on April 1, 2022, it completed the previously announced acquisition from Bally's Corporation (NYSE: BALY) (“Bally’s) of the land and real estate assets of Bally's three Black Hawk Casinos in Black Hawk, CO and Bally’s Quad Cities Casino & Hotel in Rock Island, IL for $150 million in total consideration. These properties were added to the existing Bally’s Master Lease. The initial rent for the lease was increased by $12 million on an annual basis, subject to contractual escalations based on the Consumer Price Index, with a 1% floor and 2% ceiling, subject to CPI meeting a 0.5% threshold.

About Gaming and Leisure Properties

GLPI is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements, pursuant to which the tenant is responsible for all facility maintenance, insurance required in connection with the leased properties and the business conducted on the leased properties, taxes levied on or with respect to the leased properties and all utilities and other services necessary or appropriate for the leased properties and the business conducted on the leased properties.

Contact
Gaming and Leisure Properties, Inc.	Investor Relations
Matthew Demchyk, Chief Investment Officer	Joseph Jaffoni, Richard Land, James Leahy at JCIR
610/378-8232	212/835-8500
	glpi@jcir.com

FAQ

What properties did Gaming and Leisure Properties acquire from Bally's Corporation?

GLPI acquired the land and real estate assets of Bally's three Black Hawk Casinos and Bally’s Quad Cities Casino & Hotel.

How much did the acquisition from Bally's Corporation cost?

The total consideration for the acquisition was $150 million.

What is the initial rent increase for the Bally's properties under the new lease?

The initial rent was increased by $12 million annually.

What are the contractual escalations based on for the lease?

The lease escalations are based on the Consumer Price Index (CPI), with a 1% floor and 2% ceiling.