The horse racing industry in Illinois has been struggling for years, facing declining revenues, purses, and attendance. The closure of Arlington International Racecourse in 2021 dealt a major blow to the sport, leaving only two Thoroughbred tracks in the state: Hawthorne Race Course and FanDuel Sportsbook & Horse Racing (formerly Fairmount Park).
Both tracks have been authorized to build racinos, or casinos at racetracks, since 2019, when Gov. JB Pritzker signed a massive gaming expansion bill that also legalized sports betting. However, the progress of the racino projects has been slow and uncertain, as both tracks have faced various challenges and delays in securing financing, approvals, and construction.
The racinos are seen as a lifeline for the horse racing industry, as they would generate additional revenue for the tracks and boost the purses for the horsemen. The racinos would also attract more customers and create more jobs and economic benefits for the local communities.
Hawthorne Aims for 2023 Opening
Hawthorne Race Course, located in the south Chicago suburb of Stickney, is the oldest family-owned racetrack in North America, dating back to 1891. The track has been operating as a racino since July 2020, when it was declared “preliminary suitable” by the Illinois Gaming Board (IGB).
Hawthorne has partnered with PointsBet (soon to be Fanatics Sportsbook) to offer retail and online sports betting, as well as operate sportsbooks at three off-track betting locations. The track also underwent extensive demolition work in 2020 and 2021 to prepare for the construction of the $400 million racino project.
The racino plan includes a 120,000-square-foot casino with 1,250 slot machines and 40 table games, a 200-room hotel, a 1,200-seat entertainment venue, a steakhouse, a sports bar, and a food court. The racino would also feature a new grandstand, a new turf course, and a new harness track.
Hawthorne CEO of Gaming Kevin Kline said the track is “engaged in an accelerated aspect of financing” for the racino project, and expects to resume construction in the first quarter of 2023, pending the final approval from the IGB. He said the construction would take 14 months, and the racino would open in the second quarter of 2024.
Kline said the racino would transform Hawthorne into “one of the most exciting and prosperous markets for horse racing in North America”, and would benefit the horsemen, the employees, and the state. He said the racino would create 1,500 permanent jobs, 800 construction jobs, and $60 million in annual tax revenue.
FanDuel Lacks Clear Timeline
FanDuel Sportsbook & Horse Racing, located near St. Louis and the Missouri border, is the only Thoroughbred track in southern Illinois. The track was renamed in March 2021, when it opened its sportsbook in partnership with FanDuel Group.
The track was also granted “preliminary suitable” status by the IGB in 2020, but has not made much progress on its racino plan since then. The track has not submitted a detailed proposal or a timeline for the racino project, which has raised concerns from the IGB and the horse racing industry.
The racino plan is expected to include a casino with 900 slot machines and 20 table games, a hotel, a restaurant, and a lounge. The racino would also renovate the existing grandstand and barns, and add a new turf course.
FanDuel Sportsbook & Horse Racing President and General Manager Melissa Helton said the track is working on finalizing the floor plans and the layout of the casino, and is in communication with the IGB. She said the track is committed to building the racino, but did not provide a specific date for the completion of the project.
Helton said the racino would revitalize the track and the horse racing industry, and would provide more opportunities for the horsemen, the customers, and the region. She said the racino would create 600 permanent jobs, 400 construction jobs, and $25 million in annual tax revenue.
Illinois Racing Board Approves 2024 Dates
The Illinois Racing Board (IRB), the state agency that regulates horse racing, approved the 2024 racing dates for both tracks on Thursday, September 21, 2023. The IRB expressed its support and optimism for the racino projects, but also urged the tracks to expedite the process and deliver the benefits to the consumers and the state.
Hawthorne was granted 78 racing dates for 2024, an increase of 10 dates from 2023. The track will run from January to October, with night and weekend racing to avoid the noise and disruption of the construction. The track will also share Saturday racing with FanDuel for most of the year.
FanDuel was granted 62 racing dates for 2024, the same as 2023. The track will run from March to September, with Tuesday and Saturday racing. The track will also host the Illinois Derby, a $250,000 stakes race for 3-year-olds, in July.
The IRB also approved the distribution of the purse money from the Arlington Park escrow account, which was created after the closure of the iconic track in 2021. The account has about $11 million, which will be divided among the horsemen at Hawthorne and FanDuel, based on the number of races and horses they run.
The IRB hopes that the racino projects will be completed by 2025, and that the horse racing industry in Illinois will see a resurgence of interest and investment. The IRB also hopes that the racinos will help preserve the legacy and the future of the sport in the state.
