The REITs and Real Estate M&A team advised Gaming and Leisure Properties, Inc. (GLP) as it joined with Eldorado Resorts, Inc. in entering into definitive agreements to acquire Tropicana Entertainment Inc. for an aggregate purchase price of approximately $1.85 billion. In a two-tier transaction, GLP will acquire the real estate assets of six casino properties from Tropicana for $1.21 billion, plus taxes and transaction fees, followed by the acquisition by Eldorado of Tropicana and its operating assets for additional consideration of approximately $640 million. The assets to be acquired by GLP are Tropicana Atlantic City, Tropicana Evansville, Lumiere Place, Tropicana Laughlin, Trop Casino Greenville and The Belle of Baton Rouge. At closing, the properties will be leased by GLP to Eldorado pursuant to a long-term master lease. The combined properties include 350,000 casino square feet, 7,416 slot machines, 237 table games and 4,993 hotel rooms. The transaction is subject to regulatory approval and is expected to close by the end of 2018.
Gaming and Leisure Properties is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming and other entertainment operators pursuant to triple-net lease arrangements.
The Goodwin team was led by corporate partners Yoel Kranz and Jacqueline Mercier, and included corporate associates Jeremy Simon, Rob Intile and Stephanie Richards. Goodwin’s real estate and leasing efforts were led by counsel Michael Litchman and associates Erin Claywell and Reade Everett, with assistance from counsel Nathan Brodeur. Goodwin’s tax team included partner David Patton and of counsel Ed Glazer.
For additional details on the acquisition, please read the press release.