A new agreement will result in a multi-million dollar expansion of the facilities at the Hanover Raceway, including the use of a partially finished vacant area previously known as the banquet hall.
“We are very proud and very happy to be in Hanover,” said Rob Mitchell, spokesperson for Gateway Casinos and Entertainment Limited, which operates the casino at the raceway.
“We were able to work very quickly with the municipality in Hanover. The mayor (Sue Paterson) was wonderful and the chief administrative officer Brian Tocheri was terrific, and of course the folks at the Hanover, Bentinck and Brant Agricultural Society were great folks to work with.”
Gateway announced Wednesday the approval by OLG of a lease agreement with the agricultural society that will include new dining experiences and allow for an expanded gaming floor.
“I think it is going to be a very positive impact for the community in Hanover and the surrounding region because we are going to be building what amounts to a brand spanking new entertainment complex,” Mitchell said.
Gateway is hopeful to start construction in the spring or summer with completion in the first half of 2019.
Mitchell said the company will hold an event at the facility in the future to unveil the plans for the Hanover site, including the investment in terms of the money being spent to redevelop the facility and the details on the new amenities and gaming entertainment that will be provided.
“It is an existing space that was originally intentioned to be a banquet facility,” said Mitchell. “It is quite large and was never completed so we have basically an expanded footprint that we need to develop.”
The raceway put the brakes on the $30,000-square-foot banquet hall project back in 2011 after there was a threat of reduced government funding and questions surrounding harness racing's future in Ontario. The proposed $11-million facility was to be built using the ag society's share of slots revenue, but has sat unfinished ever since.
The government eventually reached a new agreement with the raceway, but it was strictly for operations and didn't include any capital work.
In late 2016, the Ontario Lottery and Gaming Corporation announced that Gateway had been awarded the contract to operate a number of regional gaming centres, including the 18,720-sq.ft. slots at the Hanover raceway. The company, which started in B.C. in 1992 entered the Ontario market in May.
Gateway, which is responsible for operating the facilities, re-branding them and paying staff, was awarded a 20-year licence.
Mitchell said they will need OLG approval to expand the gaming floor, but that is the company's plan.
“Hanover and the surrounding Bruce Peninsula is a very good market for us,” said Mitchell. “We have been very successful there.”
The expansion will also mean additional staff will be hired to compliment the approximately 100 employees already at the Hanover site.
“How many more jobs we add will be determined by the size and scope of the operation,” Mitchell said, adding there will be jobs in food and beverage, at table games, in information technology, in finance, electronic surveillance, security and grounds-keeping and maintenance.
“There are opportunities to convergences with craft breweries and theme nights for food and all manner of things,” said Mitchell. “All these things we believe will open up employment opportunities in the community and within the region.”
Mayor Paterson said the town is thrilled that Gateway is investing in Hanover.
“It is going to have a positive impact, not just for Hanover, but for the region, through the investment and jobs and support of the horse racing industry,” Paterson said.
“It has been close to seven years that (the banquet hall building) has been vacant so it is eagerly anticipated to see someone expanding into that building. We are looking at it as an entertainment destination for Hanover.”
By Rob Gowan, Sun Times, Owen Sound