The Louisiana Gaming Control Board Chairman, Ronnie Johns, has cited the closing of Diamond Jacks Casino as one of the central reasons behind Louisiana gaming revenue dipping this month.
Also to blame, according to Johns, were the smoking bans being implemented in Louisiana casinos, competition from Oklahoma operators and the poor state of the US economy.
Diamond Jacks casino is an interesting blend between a land-based and riverboat casino, located in Bossier City and based on the waterfront of Shreveport-Bossier. In 2020, its revenue plummeted to $425.8m, declining by $633m for the same prior year period; this was attributed to the onset of Covid-19 and the closures that ensued.
Diamond Jacks was one of the first state gambling venues to take a hit and close its doors in 2020. Since then, it has remained vacant as its owner, Peninsula Pacific Entertainment, worked to find a way to re-open it.
Gaming revenue did recover somewhat in 2021, but so far 2022′s numbers are lower than last year. Shreveport-Bossier market has generated approximately $38m less in revenue for the first three quarters of this year when compared to 2021.
However, Johns sees silver linings in the results reported for Q3 this year. He says mobile sports betting and the onset of the NFL 22/23 season are both helping to boost revenue. Johns commented: “We feel good about where we are overall,” but that the loss of DiamondJacks is “absolutely affecting the market some.”
He believes that the best option for Diamond Jacks would be to transfer its operations to a casino entertainment company called Foundation Gaming. Johns says Foundation is currently going through suitability checks with the Attorney General’s Office and Louisiana State Police.
If the transfer is approved at the December meeting, Johns says the earliest the casino could reopen would likely be mid-2024.
