Stakeholders weigh in on location of Gateway Casinos

Staying put at the Western Fair District Stakeholders weigh in on why Gateway Casino group is extending its stay at the Western Fair District. CTV London’s Daryl Newcombe explains.

Casino gaming will remain at the Western Fair District (WFD) for the long-term.

In a statement, Gateway Casinos and Entertainment explains that it has reached an agreement with the fairgrounds to remain at its current location.

“We have extended our lease at the Western Fair District,” explains Grant Darling, senior vice president of operations, Gateway Casinos Ontario.

Gateway intends to renovate and expand its existing location at the fair, though details have not been finalized.

“We are currently working on our future development plans for Gateway Casinos London that will see us expand our existing footprint to allow for the addition of our award-winning signature Gateway food & beverage brands and improved gaming experiences,” states Darling.

Western Fair District CEO Reg Ash says Gateway’s decision provides added stability for his organization, explaining, “This is a decade coming, getting to a point where we now have some certainty for a longer period of time.”

Incoming Ward 4 Coun. Susan Stevenson has no direct knowledge of the deal, but foresees wider benefits.

“More jobs that are walkable in this neighbourhood, and [it] can have impacts on the local businesses that benefit from the extra traffic,” she explains.

The decision is a reversal for the casino operator.

In 2018 after lease negotiations with Western Fair District stalled, Gateway announced it would build a new $55 million casino at 3334 Wonderland Road South that would employ 700 people and generate an estimated $4.5 million each year for city hall.

City hall approved rezoning the property in July of 2019.

However, work at the property stopped during the COVID-19 pandemic.

Regarding Gateway’s decision, the property owner tells CTV News London he has no comment at this time.

Ash believes the pandemic's impact on all business sectors — including gaming — may have played a role in Gateway's decision.

“We entered into a pandemic in early 2020, and lots of people began reviewing their business plans and made decisions that may not have been consistent with what they announced in 2019,” he adds.

Stevenson believes an expanded and updated casino will add to the growing entertainment cluster in east London, including an upcoming Hard Rock Hotel, craft breweries and other recent investments.

“This is great evidence that we are not alone in believing this is an amazing area that is going to see huge growth in the coming years,” he says.

At the Western Fair District the operator has 760 slots and 11 table games.

Prior to the COVID-19 pandemic, city hall received about $4.5 million each year from the casino through a revenue sharing agreement.