North American gaming group Century Casinos has ended its association with Century Casino Calgary after selling the land that houses the casino facility.
The Nasdaq-listed group’s Century Resorts Alberta (CRA) subsidiary has entered into a definitive agreement to sell the land and building it owns in the Canadian city to real estate business Rowanwood Financial Properties for CAD$8.1m (USD$6.5m).
The buyer has paid C$700,000 related to the sale, with the remaining CAD$7.4m to be paid upon closing, subject to adjustments for property taxes and other revenues and expenses relating to the property.
The transaction is expected to close within 30 days, and comes 12 years after Century Casinos paid $10.5m for what was previously the Silver Dollar Casino.
The deal comes after CRA sold the casino operations of Century Casino Calgary located on the property for C$10.0m in December 2020, leasing the portion of the property containing the casino premises to the purchaser, 2267166 Alberta Ltd. Prior to the sale, Calgary accounted for 7% of Century Casinos’ total net operating revenue in 2020 and 10% of adjusted earnings.
Since then, CRA has continued to operate Century Sports, a sports bar, bowling and entertainment facility located on a portion of the property. Upon closing, CRA will stop operating Century Sports and will transfer the lease agreement for the casino premises to the buyer.
Colorado-headquartered Century Casinos owns and operates casino properties in Colorado, Missouri, West Virginia and Alberta, Canada. Through its Austrian subsidiary, CRM, it also holds a 66.6% ownership interest in Casinos Poland Ltd, the owner and operator of eight casinos throughout Poland, and a 75% ownership interest in Century Downs Racetrack and Casino in Calgary.
Century Casinos reported a 202.7% year-on-year jump in net profit during the third quarter of its 2021 financial year, while revenue reached a new record high.