If Maryland ever OKs legalized gambling, what will facilities look

Daily Record, The (Baltimore), Jul 1, 2004 by Barnaby Wickham

As the summer wears on and it seems fairly unlikely that a special session of Maryland's legislative assembly will be called to craft a gambling referendum for the fall, the specter of slot machines at a racetrack or elsewhere in the state is delayed for at least another year.

But with gambling already legalized in neighboring Delaware, New Jersey and West Virginia, and with Pennsylvania threatening to join them, many say some form of expanded gambling in Maryland is just a matter of time.

If so, where will these facilities be located, and what will they look like? While state politicians have extensively debated these key questions, consensus has been elusive. So some gambling industry veterans were consulted to explore what might be in store in the Free State.

First, the latest plans from the state legislature.

During the last General Assembly, the Senate passed a bill - with Gov. Robert L. Ehrlich Jr.'s blessing - that authorizes 11,500 slot machines at four horseracing tracks and 4,000 slot machines at two nontrack locations. This was essentially the same as a 2003 bill that also passed the Senate, except for the allowance of two nontrack locations.

This year, as in 2003, the House leadership killed the gambling bill in committee. Thus the current stalemate.

The four tracks are Pimlico Race Course in Baltimore, Laurel Park, Rosecroft Raceway in Fort Washington and a proposed track in Allegany County. According to the Senate legislation, the two nontrack locations are limited to locations in Cecil County, Baltimore City or Prince George's County. Specific locations that have been proposed are along Interstate 95 in Cecil County, the Inner Harbor in Baltimore and Prince George's National Harbor on the banks of the Potomac River.

Regarding gambling facility location, access is key.

The smartest thing you can do is locate casinos near highways with easy on/off so there isn't much congestion, said Thomas Hoskens, vice president of Minneapolis-based Cuningham Group Architecture P.A., a casino designer with international experience.

Maryland sites seem to have been chosen more for political reasons: The three jurisdictions picked for possible nontrack facilities were the only locations that didn't fiercely object to the idea, although Prince George's County Executive Jack B. Johnson has voiced opposition to his county's participation. That said, Cecil County's location in northeast Maryland is well positioned along I-95, especially for desirable out-of-staters.

Then there is the issue of track vs. nontrack locations.

Racetrack owner William Rickman Jr. wonders why gambling ever would be allowed anywhere but tracks given their existing space, plentiful parking and strategic placement. The infrastructure is already there, he said.

Rickman has an ownership interest in the Berlin-based harness racing track Ocean Downs; the proposed track in Allegany; and Delaware Park, a 2,000-slot racino in Wilmington, Del. Although he declines to speculate what the cost savings would be to convert tracks (vs. new nontrack construction), Rickman figures the 40,000 (small track) to 100,000 (large track) square feet required to house slots would necessitate a mix of current-facility renovation and new construction.

Sin City, Md.?

To imagine what slots palaces might look like, one need look no further than plans on the table for Pennsylvania. Tom O'Connor, a partner with Atlantic City and New York-based SOSH Architects, is developing plans for two casinos in as-yet undisclosed locations in eastern Pennsylvania (one of which is very urban). They will be built if, as he expects, the Pennsylvania legislature legalizes gambling this month.

Both facilities are scheduled to open with 2,000 slots each (the same number slated by the Maryland Senate for the standalone facilities), with plans to phase in later another whopping 3,000 slots each. As designed, the slots halls will run 80,000 to 100,000 square feet and include space for the 2,000 machines, back-of-house casino operations, and two or three fast-food venues.

Although the average cost per square foot of casino construction can vary widely (from $350 to $800) depending on the level of finish, according to O'Connor, these facilities are designed to be built for about $500 per square foot. For parking, 3,000 spaces are planned for each site.

According to casino-designer Hoskens, Typical amenities are very similar from gaming resort to gaming resort. Most important, he says, is good quality food in a variety of settings, from a snack bar to a buffet to fine dining.

Right behind food in importance is entertainment, which ranges from basic bar-type music all the way up to major music acts and special events such as boxing. What typically follows, said Hoskens, is hotels, which encourage guests to stay longer and offer additional amenities such as pools, spas and gyms.

Another popular addition is a convention center because it attracts mid-week gamblers who help balance weekend-heavy traffic.

Some industry observers doubt revenue-hungry Maryland will ever see such extensive amenities if current proposals become law. The Senate bill stipulates a stratospheric 61 percent tax rate on gross gaming revenue.