Six months ago financing a casino development seemed so easy. In Pennsylvania Centaur Gaming, a subsidiary of Indianapolis-based Centaur Inc, last September received approval from the Pennsylvania Harness Racing Commission to build and operate a mile-long harness track and gaming facility Valley View Downs. At the end of October the company announced it had closed on a $1 billion financing package for its gaming projects in Pennsylvania and Indiana.

Centaur is now awaiting a conditional slots casino licence for Valley View Downs and has asked the Pennsylvania Gaming Control Board to expedite the licence at its meeting tomorrow. Under Pennsylvanian law developers who have been awarded a racing licence may request and receive a temporary licence for the accompanying casino and Centaur needs that licence. The company has until 15 July to proceed with its project or may have to renegotiate funding at a less favourable rate under present market conditions.

As reported last week, another Pennsylvania slots casino is facing funding difficulties. Work ceased on the North Shore casino development in Pittsburgh after financing failed. Don Barden is expected to present a refinancing programme at tomorrow’s PGCB meeting and to request approval for a delay in construction.

As the so-called credit crunch bites, money is no longer as affordable or accessible as it was, so local officials will be urging the PGCB to delay no longer in awarding Centaur the licence to open a temporary casino at Valley View Downs and start construction on its US$428 million racing, gaming and entertainment project. Once approved, the development should create over 1,500 construction jobs and, when operational, 1,000 full and part-time positions. (E-07.09.08)

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