VICI Properties Inc. Enters Into Agreement With Indigenous Gaming Partners Related to PURE Canadian Gaming
VICI Properties has announced an amendment and assignment of its master lease agreement with PURE Canadian Gaming Corp. to Indigenous Gaming Partners Inc. (IGP), a partnership of five institutional First Nations established for acquiring gaming assets in North America. IGP, partnering with Sonco Gaming, will maintain the existing lease terms, including annual base rent of C$22.0 million (US$15.5 million) for a 25-year base term with four 5-year renewal options.
The agreement covers four casino properties in Alberta, Canada: PURE Casino Edmonton, Yellowhead, Calgary, and Lethbridge. VICI received a 5-year right of first offer (ROFO) on future sale-leaseback transactions. The lease maintains its original escalation terms, starting at 1.25% in year 3 and adjusting to the greater of 1.5% or Canadian CPI (capped at 2.5%) from year 4.
VICI Properties ha annunciato una modifica e una cessione del suo contratto di locazione principale con PURE Canadian Gaming Corp. a Indigenous Gaming Partners Inc. (IGP), una partnership di cinque First Nations istituzionali creata per acquisire asset di gioco in Nord America. IGP, in collaborazione con Sonco Gaming, manterrà i termini di locazione esistenti, inclusi un affitto base annuale di 22,0 milioni di dollari canadesi (15,5 milioni di dollari USA) per un periodo base di 25 anni, con quattro opzioni di rinnovo di 5 anni.
L'accordo riguarda quattro casinò in Alberta, Canada: PURE Casino Edmonton, Yellowhead, Calgary e Lethbridge. VICI ha ricevuto un diritto di prima offerta (ROFO) di 5 anni su future transazioni di vendita-affitto. Il contratto di locazione mantiene i termini di aumento originali, iniziando dal 1,25% nel terzo anno e adeguandosi al maggiore tra il 1,5% o l'IPC canadese (con un tetto del 2,5%) dal quarto anno.
VICI Properties ha anunciado una enmienda y cesión de su contrato de arrendamiento principal con PURE Canadian Gaming Corp. a Indigenous Gaming Partners Inc. (IGP), una asociación de cinco Primeras Naciones institucionales establecida para adquirir activos de juego en América del Norte. IGP, en asociación con Sonco Gaming, mantendrá los términos de arrendamiento existentes, que incluyen un alquiler base anual de 22.0 millones de dólares canadienses (15.5 millones de dólares estadounidenses) por un período base de 25 años, con cuatro opciones de renovación de 5 años.
El acuerdo abarca cuatro propiedades de casino en Alberta, Canadá: PURE Casino Edmonton, Yellowhead, Calgary y Lethbridge. VICI recibió un derecho de primera oferta (ROFO) de 5 años sobre futuras transacciones de venta-arrendamiento. El arrendamiento mantiene sus términos de escalado originales, comenzando en 1.25% en el año 3 y ajustándose al mayor entre 1.5% o el IPC canadiense (con un límite del 2.5%) a partir del año 4.
VICI Properties는 PURE Canadian Gaming Corp.와의 마스터 리스 계약을 Indigenous Gaming Partners Inc.(IGP)로 수정 및 양도한다고 발표했습니다. IGP는 북미에서 게임 자산을 인수하기 위해 설립된 5개의 기구 First Nations의 파트너십입니다. IGP는 Sonco Gaming과 협력하여 기존의 리스 조건을 유지하며, 25년 기본 기간 동안 연간 기본 임대료는 2,200만 캐나다 달러(1,550만 미국 달러)이고, 5년 갱신 옵션이 4개 있습니다.
이 계약은 캐나다 앨버타 주의 네 개 카지노 자산을 포함합니다: PURE Casino Edmonton, Yellowhead, Calgary 및 Lethbridge. VICI는 향후 매각-리스 거래에 대한 5년간의 최초 제안권(ROFO)을 받았습니다. 임대 계약은 원래의 상승 조건을 유지하며, 3년 차에 1.25%에서 시작하여 4년 차부터는 1.5% 또는 캐나다 CPI(최대 2.5%) 중 높은 쪽으로 조정됩니다.
VICI Properties a annoncé une modification et une cession de son contrat de location principal avec PURE Canadian Gaming Corp. à Indigenous Gaming Partners Inc. (IGP), un partenariat de cinq Premières Nations institutionnelles établi pour acquérir des actifs de jeu en Amérique du Nord. IGP, en partenariat avec Sonco Gaming, maintiendra les termes de location existants, y compris un loyer de base annuel de 22,0 millions de dollars canadiens (15,5 millions de dollars américains) pour une durée de base de 25 ans, avec quatre options de renouvellement de 5 ans.
L'accord concerne quatre propriétés de casino en Alberta, au Canada : PURE Casino Edmonton, Yellowhead, Calgary et Lethbridge. VICI a obtenu un droit de première offre (ROFO) de 5 ans pour des transactions de vente-location futures. Le contrat de location maintient ses conditions d'augmentation d'origine, commençant à 1,25 % la troisième année et s'ajustant au plus élevé entre 1,5 % ou l'IPC canadien (plafonné à 2,5 %) à partir de la quatrième année.
VICI Properties hat eine Änderung und Übertragung seines Hauptmietvertrags mit PURE Canadian Gaming Corp. an Indigenous Gaming Partners Inc. (IGP) angekündigt, eine Partnerschaft von fünf institutionellen First Nations, die zur Akquisition von Glücksspielvermögen in Nordamerika gegründet wurde. IGP wird in Partnerschaft mit Sonco Gaming die bestehenden Mietkonditionen beibehalten, einschließlich einer jährlichen Grundmiete von 22,0 Millionen kanadischen Dollar (15,5 Millionen US-Dollar) für eine Basislaufzeit von 25 Jahren mit vier Optionen zur Verlängerung von jeweils 5 Jahren.
Der Vertrag bezieht sich auf vier Casino-Immobilien in Alberta, Kanada: PURE Casino Edmonton, Yellowhead, Calgary und Lethbridge. VICI erhielt ein 5-jähriges Vorkaufsrecht (ROFO) für zukünftige Sale-Leaseback-Transaktionen. Der Mietvertrag bleibt im Wesentlichen in den ursprünglichen Erhöhungskonditionen und beginnt im dritten Jahr mit 1,25 % und wird ab dem vierten Jahr auf den höheren Wert zwischen 1,5 % oder dem kanadischen CPI (maximal 2,5 %) angepasst.
- Secured 5-year ROFO rights for future sale-leaseback transactions
- Maintains stable annual base rent of C$22.0 million (US$15.5 million)
- Long-term lease structure with 25-year base term plus four 5-year renewal options
- Built-in rent escalators providing growth potential
- None.
Insights
This lease assignment and amendment represents a strategic evolution in VICI Properties' Canadian gaming portfolio. The deal maintains the attractive
The partnership with IGP and Sonco Gaming introduces institutional First Nations ownership while maintaining operational expertise through Sonco's management. This arrangement could create unique expansion opportunities in the Canadian market where First Nations gaming partnerships are increasingly important. The unchanged 25-year base term with renewal options and capital expenditure requirements ensures long-term stability and property maintenance.
The transaction demonstrates sophisticated structuring in cross-border gaming real estate. The maintenance of existing lease terms while adding the ROFO provision represents a well-balanced approach to protecting VICI's interests while accommodating new operators. The involvement of First Nations through IGP is particularly noteworthy, as it aligns with Canadian gaming regulations and indigenous rights frameworks.
The capital expenditure requirement of
IGP is a partnership of five institutional First Nations established to acquire gaming assets in
Danny Valoy, Vice President of Business Development and Acquisitions, said, “This transaction demonstrates VICI’s ability to collaboratively work with existing partners while building new relationships with highly experienced operators and First Nations in international jurisdictions. We are pleased to welcome IGP as a new partner, and we look forward to expanding our relationship with IGP and Sonco as they pursue additional growth opportunities in the future.”
Anthony Novac, CEO of Sonco, said, “We are excited to work with VICI, an established partner in providing financial solutions to the gaming industry. We believe having a partner like VICI will give us a competitive advantage as we seek growth opportunities in the Canadian market.”
In connection with entering into the amendment to the PURE Canadian master lease, VICI received a 5-year right of first offer (“ROFO”) on future sale-leaseback transactions. Any additional properties acquired pursuant to the ROFO will be added to the master lease.
The annual base rent of
About VICI Properties
VICI Properties Inc. is an S&P 500® experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across
About IGP
Indigenous Gaming Partners Inc. is a newly established gaming company focused on developing a portfolio of high-quality, market-leading casinos through strategic acquisitions and operational excellence. The partnership is comprised of five institutional First Nations including Glooscap First Nation, Millbrook First Nation, Annapolis Valley First Nation, We’koqma’q L’nue’kati, and Paqtnkek Mi’kmaw Nation. With a mission to create meaningful economic opportunities for Indigenous communities, IGP partners with exceptional management teams to deliver outstanding entertainment experiences while driving sustainable growth and long-term value for our stakeholders. Guided by disciplined investment strategies, hands-on operational expertise, and backing from visionary investors, IGP is dedicated to setting new standards in the gaming industry while fostering prosperity for its Indigenous communities, charitable partners, and provincial stakeholders. For more information, visit www.indigenousgamingpartners.com.
About Sonco Gaming Inc.
Sonco Gaming Inc. is part of the Sonco Group of Companies, which focuses on real estate and gaming development and management. Sonco has developed and/or managed some of the country’s most successful Indigenous gaming projects, including The Great Blue Heron Casino on Mississaugas of Scugog Island First Nation in
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. You can identify these statements by our use of the words “assumes,” “believes,” “estimates,” “expects,” “guidance,” “intends,” “plans,” “projects,” “will,” and similar expressions that do not relate to historical matters. All statements other than statements of historical fact are forward-looking statements. You should exercise caution in interpreting and relying on forward-looking statements because they involve known and unknown risks, uncertainties, and other factors which are, in some cases, beyond VICI’s control and could materially affect actual results, performance, or achievements. Among those risks, uncertainties and other factors are risks that VICI may not achieve the benefits contemplated by the transaction described herein, including with respect to entry into any future sale leaseback or other transactions between VICI and IGP, including pursuant to VICI’s right of first offer, or the anticipated benefits thereof. Additional important risk factors that may affect VICI’s business, results of operations and financial position are detailed from time to time in VICI’s filings with the Securities and Exchange Commission. VICI does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as may be required by applicable law.
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Investor Contacts:
Investors@viciproperties.com
(646) 949-4631
Or
David Kieske
EVP, Chief Financial Officer
DKieske@viciproperties.com
Moira McCloskey
SVP, Capital Markets
MMcCloskey@viciproperties.com
LinkedIn:
www.linkedin.com/company/vici-properties-inc
Source: VICI Properties Inc.
FAQ
What is the annual base rent for VICI Properties' PURE Canadian Gaming properties?
Which PURE Casino properties are included in VICI's master lease agreement?
What are the rent escalation terms in VICI's PURE Canadian master lease?
Who is Indigenous Gaming Partners (IGP) in relation to VICI's PURE Canadian properties?
