Online Casinos » articles » 2019 » chicago casino unprofitable according to study

A Study on Chicago Casino Reveals that it would not be Profitable

August 21, 2019
proposed-Chicago-casino

A Chicago casino would not be profitable according to a feasibility study. The study was conducted by Union Gaming Analytics and it was aimed at finding out whether the development of a casino in Chicago would be feasible for the state. A consultant has cited the stringent tax and fee structure as one of the issues that would limit the profitability of the casino.

Gambling in Chicago was recently permitted by the General Assembly. As the gambling laws stand in Chicago a casino operator would have to pay an application fee of $250,000 as well as a $15 million reconciliation fee once the gambling license has been issued. The casino operator would have to pay a further a fee of up to $120 million for a gambling position.

The study also found that a Chicago Casino would make $260 million in profits from Indiana. The Illinois Gaming Board has the option to request lawmakers in the state to change the terms of the Chicago tax terms. However, the request has to be made within 90 days.

Chicago Midway International Airport Could have Slots Installed

The study also suggested that 500 slot machine games should be placed at Chicago O’Hare International Airport and Chicago Midway International Airport. It is estimated that this action would bring in more than $37 million a year.

It was further found that the South and West side locations for the proposed Chicago casino would fail to bring in tourists because those areas are deemed unsafe by the general public. The report also found that the proposed locations did not have sufficient attractions and they were inconvenient for tourists.

Overview

The proposed Chicago casino and five other casinos are part of a bill that was recently signed into law by Governor J.B Pritzker. State lawmakers may be forced to go back and do negotiations on the issue of taxes on gambling operators.

A Chicago casino would not be profitable according to a feasibility study. The study was conducted by Union Gaming Analytics and it was aimed at finding out whether the development of a casino in Chicago would be feasible for the state. A consultant has cited the stringent tax and fee structure as one of the issues that would limit the profitability of the casino.

Gambling in Chicago was recently permitted by the General Assembly. As the gambling laws stand in Chicago a casino operator would have to pay an application fee of $250,000 as well as a $15 million reconciliation fee once the gambling license has been issued. The casino operator would have to pay a further a fee of up to $120 million for a gambling position.

The study also found that a Chicago Casino would make $260 million in profits from Indiana. The Illinois Gaming Board has the option to request lawmakers in the state to change the terms of the Chicago tax terms. However, the request has to be made within 90 days.

Chicago Midway International Airport Could have Slots Installed

The study also suggested that 500 slot machine games should be placed at Chicago O’Hare International Airport and Chicago Midway International Airport. It is estimated that this action would bring in more than $37 million a year.

It was further found that the South and West side locations for the proposed Chicago casino would fail to bring in tourists because those areas are deemed unsafe by the general public. The report also found that the proposed locations did not have sufficient attractions and they were inconvenient for tourists.

Overview

The proposed Chicago casino and five other casinos are part of a bill that was recently signed into law by Governor J.B Pritzker. State lawmakers may be forced to go back and do negotiations on the issue of taxes on gambling operators.