MGM Resorts International has agreed to sell the operations of MGM Northfield Park to private equity funds run by Clairvest Group Inc for $546m (£406m) in cash, subject to usual price adjustments.
As MGM Resorts continues to hone its portfolio and concentrate on key growth areas, such as digital gaming and global expansion, the deal represents yet another calculated move for the company.
The business stated that, subject to regulatory clearances and other customary requirements, the deal should close in the first half of 2026.
The real estate investment trust VICI Properties Inc., which leases the property to MGM Resorts, will still be the owner and operator of MGM Northfield Park in Northfield, Ohio.
For the 12 months ending June 30th, 2025, MGM Northfield Park reported an Adjusted EBITDAR of roughly $137m (£101m), according to MGM Resorts.
Following the transaction, MGM and VICI will amend its master lease agreement, which will result in a $54m (£40m) reduction in annual rent obligations.
After taxes and transaction expenses, the company anticipates net cash proceeds of about $420m (£312m).
“MGM Northfield Park has been a tremendous property, and we’re proud of the incredible work our team has done there,” said Bill Hornbuckle, CEO & President of MGM Resorts International.
“Our focus remains on advancing our vision to be the world’s premiere gaming entertainment company through digital innovation, international expansion, and continued investment in top-tier resort experiences.”
In 2019, MGM paid $275m (£204m) to MGM Growth Properties to acquire the property’s operations, which were previously known as Hard Rock Rocksino Northfield Park.
The transaction was advised by Jefferies LLC and SMBC Nikko Securities America, Inc., while Weil, Gotshal & Manges LLP provided legal advice.
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