Early Cheer for Revere: Revere Officials Sign Historic Casino Agreement

December 24, 2013
By
Revere Mayor Daniel Rizzo (left) , Mohegan Sun Chief Operating Officer Mitchell Etess (center), and Revere City Solicitor Paul Capizzi are pictured at Revere City Hall Monday where a host com¬munity agreement for a $1 billion resort casino at Suffolk Downs was signed that would guaran¬tee Revere between $25 million and $30 million in annual revenue, with the potential of that to gro beyond $40 million a year.

Revere Mayor Daniel Rizzo (left) , Mohegan Sun Chief Operating Officer Mitchell Etess (center), and Revere City Solicitor Paul Capizzi are pictured at Revere City Hall Monday where a host com¬munity agreement for a $1 billion resort casino at Suffolk Downs was signed that would guaran¬tee Revere between $25 million and $30 million in annual revenue, with the potential of that to gro beyond $40 million a year.

Revere will get between $25 million and $30 million per year in guaranteed annual payments during the first four years of the potential Mohegan Sun casino at Suffolk Downs, according to the new Host Community Agreement for the Revere-only venture that was unveiled late Monday afternoon.

“Mohegan Sun is going to create a wonderful destination that will both celebrate Revere’s unique history and provide great opportunity for its future,” said Mitchell Etess, CEO of the Mohegan Tribal Gaming Authority. “This agreement formalizes the strong partnership we’ve quickly established with Revere, and lays out the many ways the City and its residents will benefit from Mohegan Sun Massachusetts.”

Said Mayor Dan Rizzo, “I believe that this agreement will be transformational to the City of Revere. Through this partnership, Mohegan Sun and Suffolk Downs will create jobs, enhance our local and state economy, and generate much needed revenue. This project will not only be beneficial for the City of Revere, but will help stabilize and support our regional economy. I look forward to sharing the details of this agreement with our residents over the next several weeks.”

In addition to the guaranteed payments over the first four years – which would start at $25 million and escalate up to $30 million – the City will have the potential for annual payments to grow beyond $40 million based on gross gaming revenues.

The City has negotiated some $33 million in pre-opening payments to the City.

In stark contrast to the previous agreement, there is a stipulation for $1 million for the Revere Public Schools, and $4 million set aside specifically for the Revere Police and Revere Fire Departments.

Similar to the last agreement, there are $40 million in infrastructure improvements, a new athletic field and a community center.

Job preferences are also listed as being given to Revere residents, with 2,500 construction jobs cited and 4,000 permanent jobs.

Mohegan Sun has announced plans to develop a $1 billion resort casino with two hotels, world- class dining, retail and entertainment amenities on 42 of Suffolk Downs’ 52 acres in Revere. Suffolk Downs recently chose Mohegan Sun as its development and gaming partner – bringing its 78-year history and iconic name together with New England’s premier gaming brand and one of the most successful casino companies in the world.

“Mayor Rizzo, the Revere City Council and the entire Revere community have been supportive of this project for many years,” said Chip Tuttle, Chief Operating Officer of Suffolk Downs. “The addition of Mohegan Sun as the developer and gaming applicant has created a whole new level of excitement.”

Together with Brigade Capital Management, Mohegan Sun has the strongest financial platform of any gaming license applicant and an impeccable background as determined by the Massachusetts Gaming Commission’s review process.

Suffolk Downs and Mohegan Sun share a long-standing commitment to working with local businesses, community leaders and cultural and tourist organizations.

Currently, Mohegan Sun spends nearly $500 million annually on goods and services from local vendors near its Connecticut and Pennsylvania facilities. Mohegan Sun is one of Connecticut’s five largest employers and has a strong track record of hiring and training local employees – more than 90 percent of its employees live locally.

“We’re grateful to Mayor Rizzo and the City of Revere for the thoughtfulness and commitment they brought to these negotiations,” Etess said. “Mohegan Sun Massachusetts is incredibly fortunate to have such a strong and welcoming host community.”

Mohegan Sun jobs support families and households, with the opportunity for career growth and advancement in areas such as gaming operations, hospitality, marketing and promotions, transportation, engineering, human resources, accounting and finance.

  • drensber

    Oh, Revere… You’d put your mother on the street corner if there were a buck in it, wouldn’t you!

  • ZK

    You are right…. why be the host of a casino when we can just let it be in everett (everything approved for that one already)

    Then we can get all the problems of a casino for 5 million and not get the upgrades to police/school/infrastructure money ..wait no we should probably let it be in revere so we get the money if we are going to be getting the problems … yes i doubt criminals will stop at the everett borders and traffic will only happen in everett no where else

    All you anti casino people need to learn that if you dont kill both no one will vote against it…hell look at eastie they lost 30+mil a year and vast improvements and the 2 alternate locations are on their borders …. smart move boston get all the problems and none of the money

  • drensber

    Why aren’t Somerville, Medford, or any of the other cities and towns that share a border with Everett clamoring for a casino? Revere isn’t part of the transportation network (namely I-93) that would bring most people to an Everett casino, so if the “problems” from an Everett casino largely spill over to Revere, it would probably be because Revere has a well-deserved reputation for being a place that tolerates all sorts of riffraff. That’s a separate problem, however, and one that’s not going to be solved by bringing in another corrupt business.

  • drensber

    It’s true that Eastie may be missing out on some short term money.

    However, in 10-20 years, when most of the old people who go to casinos are either dead or in a nursing home and Revere or Everett are stuck with a crumbling albatross, they’ll look pretty smart.

  • ZK

    1.) Oh the somerville who is shelling out 150k to get a study done on the off chance they can be named a surrounding city or Walsh representing boston and clamoring for the money they lost and demanding to still be named a host city/threatening to sue

    2.) Of course no problems will be anywhere but everett …. thats why surrounding communities still get a few million annually cause the casino are so generous …. I mean im sure no one will stay in any hotels not in everett, no one will shop anywhere but there, no one will go to any where but there, no one will gamble unless they are from there too…. yes you are correct its only cause revere is so evil that it will get crime… get a life

    3.) Oh no, in 10-20 years (at least 250mil-500mil) we may need to spend some of that money create more industry as the resident clairvoyant declared people will no longer gamble… hallelujah how many years till people stop smoking ,drinking, doing drugs, drinking coffee, watching tv, play video games, etc etc…. gambling has been around as long as there has been humanity and its not going anywhere any time soon if it was you would see lottery falling by the wayside but instead they continue to grow….

  • drensber

    1. That doesn’t mean that Somerville wants a casino. It just means that they’re trying to mitigate the damage of one nearby.

    2. Everything you said there is to incoherent to even respond to.

    3. Things do change. The rate of smokers in the U.S. has dropped from 40% to about 20% in the past 30 years. Interest in gambling has also declined steadily. that’s why Suffolk Downs and Wonderland became unprofitable over the course of the past century. If you ever got out of the skanky environs of Revere, you’d have probably noticed these trends.

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