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Boyd Gaming Will Build New Par-A-Dice Casino in Illinois, Odds Favor Peoria

According to officials, Boyd gambling, a gambling corporation located in Las Vegas, is completing plans for a new venture in Illinois. Since 1996, the company has owned and run the Par-A-Dice Hotel Casino in East Peoria.

Keith Smith, the president and CEO of Boyd, informed analysts and investors during the company's second-quarter results call on Thursday that the new Par-A-Dice vision is almost complete.

"We are working through the final design and regulatory approval process for a modern new entertainment facility that will replace our existing riverboat casino at Par-A-Dice,” Smith said.

Smith did not specify a specific site for the potential construction of the new casino or whether it would be a physical establishment.

The odds favor crossing the river

Since a group of local investors opened the gambling boat in the early 1990s, the Par-A-Dice has been located in East Peoria on the southwestern side of Peoria Lake and the Illinois River.  Boyd paid $163 million in cash for the business in 1996.

According to a 1991 agreement between the towns of Peoria and East Peoria, any land-based casino must be located in Peoria, while riverboat casinos must be located on the east side of the water.  At the time of the agreement, Illinois law mandated that table games and slot machines run above water.

The gaming statute was changed by Springfield lawmakers in 2019 to permit riverboats to travel inland.  In order to move ashore, the riverboat must pay the state a $250K relocation fee and obtain authorization from the municipality where they wish to relocate.

Boyd has being urged by Peoria to move its sportsbook, tables, and slots across the water.  The city engaged Innovation Capital last year to provide guidance on how to make the transfer easier.

Smith did not state the target location of the design, although it is reasonable to assume that it is in Peoria. Since riverboats are still outdated in Illinois and other states that used to restrict gaming to above-water establishments, like Iowa and Mississippi, no industry veteran like Smith would characterize a riverboat as a "modern" business.

"Assuming regulatory approvals are received later this year, we expect this project to begin in 2026,” Smith added.

Smith disclosed that the Illinois project will cost approximately $100 million on Boyd's full-year earnings call in February.  The corporation will be "replacing our 30-year-old riverboat … with a compelling new entertainment destination," according to the Boyd boss.

Par-A-Dice  Declining Revenue 

Since many gamblers have chosen to move their business to more modern, physical casinos with more games and greater amenities, Par-A-Dice has seen better days.

In 2016, Par-A-Dice brought in $82.5 million in gross gaming revenue (GGR) from over 866K admissions, according to the Illinois Gaming Board.  With 696,500 admissions, the riverboat's GGR dropped to $72.8 million by 2019.

Business was further hampered by COVID-19, and Par-A-Dice did not see a post-pandemic boom like many other casinos in the state and the nation.  With 432,334 admissions, GGR in 2022 was $60.7 million.  Last year, on 425,362 admissions, GGR fell even lower to $60.5 million.