MGM Resorts has agreed to sell the operations of MGM Northfield Park in Ohio to private equity funds managed by Toronto-based Clairvest Group for $546 million.
Northfield Park is a regional racino principally serving the Cleveland and Akron populations, and encompasses 74,000 sq. ft of gaming space which includes 1,600 video lottery terminals, a half-mile standardbred (harness) racetrack, 10 food and beverage outlets, and an 1,820-seat entertainment venue.
The transaction would represent Clairvest’s 17th investment in the gaming sector, building on its 25-year track record of successful investing in the gaming industry, which includes Delaware Park Casino, The Nash Casino, and Accel Entertainment.
“I want to thank our MGM Northfield Park employees who have consistently delivered world-class gaming and entertainment experiences to our guests,” said MGM Resorts CEO & president Bill Hornbuckle. “This is a great property with great opportunity ahead.
“At MGM Resorts, our vision is to be the world’s premiere gaming entertainment company. To achieve this vision, we’re focused on growing our digital business, developing our international expansion opportunities, and continuing to invest in our leading integrated resorts domestically.”
For the year ended 30 June 2025, MGM Northfield Park reported adjusted EBITDAR of $137 million, with the purchase price representing an approximate 6.6x multiple on adjusted EBITDA.
Following closing of the transaction, MGM Resorts’ master lease agreement with VICI, which currently includes MGM Northfield Park, will be amended to reduce annual rent by $54 million.
“This is an excellent result for MGM Resorts and demonstrates consistency in driving transaction multiples at meaningful premiums over where MGM Resorts currently trades,” said MGM Resorts chief financial officer and Treasurer Jonathan Halkyard. “The divestiture underscores MGM Resorts’ exceptional financial stewardship, delivering substantial value well beyond the original acquisition price.
“We appreciate VICI, as the real estate owner of MGM Northfield Park, working constructively with Clairvest to facilitate a new lease agreement.”
VICI has agreed to enter into a new separate lease with an affiliate of Clairvest with respect to the real property of Northfield Park, which will have an initial annual base rent of $53.0 million or $54.0 million if closing occurs after 1 May 2026.
Upon closing, the Northfield Park lease will begin a new 25-year lease term with three 10-year renewal options.
“This transaction is yet another example of VICI’s ability to collaborate with new and existing partners for mutually beneficial outcomes,” said VICI president and chief operating officer John Payne. “We are excited to add our 14th tenant, and based on Clairvest’s track record in North American gaming, we believe in their ability to maintain Northfield Park’s strong competitive standing in Ohio gaming.”
Clairvest president and managing director Michael Wagman commented: “We are excited by the growth potential at Northfield Park and remain committed to offering a premier entertainment experience for the local community.
“As we look ahead, we intend to build on the strong foundation laid by MGM and guide the continued expansion of the racino in the coming years. We are looking forward to building a collaborative relationship with our new industry partner, VICI.”
MGM Growth Properties (MGP) acquired the Northfield-based racino, then known as Hard Rock Rocksino Northfield Park, in July 2018.
In 2019, MGM Resorts acquired the operations from MGP for $275 million plus purchase price adjustments, and rebranded the property as MGM Northfield Park.
The transaction is expected to close in the first half of 2026, subject to the receipt of regulatory approvals and other customary closing conditions.
MGM Resorts expects estimated net cash proceeds after taxes and transaction costs to be around $420 million.
Ohio’s seven licensed racinos generated total net win from VLTs of $360.3 million in the first quarter of the Ohio Lottery’s 2026 financial year, with MGM Northfield Park contributing $84.3 million from an average of 10,132 VLTs in operation.
Shares in MGM Resorts International (NYSE:MGM) were trading 0.75 per cent lower at $31.93 per share in early trading in New York Thursday, while shares in VICI Properties Inc (NYSE:VICI) were up 0.35 per cent at $31.40. Shares in Clairvest Group Inc (TSE:CVG) opened for trading at $71.00 in Toronto.