News Release Archive
N.S. GAMING CORP.--Updated Contracts for Halifax Casino
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The Nova Scotia government has approved an updated timeframe and
process for the completion of the Halifax casino, Dara Gordon,
acting chair of the Nova Scotia Gaming Corp. announced today with
Mel Thomas, senior vice-president and general manager for
Sheraton Casinos Nova Scotia.
"This is a major step forward in making sure that we have the
right casino for Halifax," said Ms. Gordon. "It achieves our goal
of looking out for the economic interests of Nova Scotia and
managing gaming in a fair and responsible way."
"This gives us the green light for construction to begin," said
Mr. Thomas. "We are committed to the new schedule and process
we've laid out with our partners. We are building a world-class
casino and entertainment complex that will bring jobs and revenue
to Nova Scotia."
The project will result in approximately 240 full-time
construction jobs and 340 jobs in spinoff activity. The permanent
Halifax casino will attract new tourism to the city and assist in
developing business opportunities for other downtown businesses.
As stated in the original contract, the province will receive 20
cents off the top on every dollar of casino revenue as well as 65
per cent of Halifax casino profits. Over time, revenue is
expected to double with the new stand-alone casino.
The Nova Scotia Gaming Corp. and ITT Sheraton, business partners
in the project, reached terms of agreement on the timeframe and
process after a period of negotiation. These terms take the form
of amendments to the Halifax Casino Construction Contract and
Operating Contract.
One of the amendments establishes a construction start date of
February 1998 and an opening date for the permanent casino of
Sept. 15, 1999.
"The corporation and Sheraton jointly agreed to suspend the old
timetable while we worked on the details of this agreement," said
Ms. Gordon. "The extra time allows us to make sure we build the
best possible casino."
A new fast-track process for approving and amending Casino Design
Development Documents is also included in the updated contract.
As well, the definition of Casino Design Development Documents
is more comprehensive and complete. It includes construction
drawings and information specifying materials, site development,
architecture, landscaping, on-site amenities, facilities and
other elements that establish the size and character of the
casino.
A price-tag of $97 million has been set for the new casino. The
gaming corporation has agreed to Sheraton's revised casino
concept featuring a country club atmosphere. Detailed documents
will be submitted continuously to the corporation.
The operating contract remains unchanged on the issue of the
$100-million guarantee from ITT Sheraton, which remains secure.
The penalty clause included in the original construction
agreement also remains unchanged.
"The bottom line is getting on with the business of building a
good, profitable casino in Halifax," said Ms. Gordon. "This is a
good business deal for Nova Scotia."
"From the beginning we have been committed to building a
profitable permanent casino on the Halifax waterfront," said Mr.
Thomas. "This is good for Sheraton and good for Nova Scotia."
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Contact: Jennifer MacIsaac
Nova Scotia Gaming Corp.
902-424-3219 or 902-424-2203
E-mail: macisaja@gov.ns.ca
Lisa Bugden
ITT Sheraton
902-429-0898
E-mail: lbugden@shandwick.ca
NOTE TO EDITORS: Interviews with officials from the Nova Scotia
Gaming Corp. and ITT Sheraton can be arranged by calling the
contacts listed above. Copies of the amendments are available by
calling 902-424-4492 or 902-424-2203.
ngr Oct. 29, 1997 2:25 p.m.
