GLPI to acquire land and fund development of Live! Casino in Virginia

WYOMISSING, Pa. - Gaming and Leisure Properties, Inc. (NASDAQ:GLPI), a $13.1 billion market cap REIT with an impressive 6.96% dividend yield, announced Monday it has agreed to acquire real estate in Petersburg, Virginia, which will become the site of Live! Casino and Hotel Virginia, and committed to fund the development’s hard costs. According to InvestingPro data, GLPI maintains a "GREAT" financial health score, suggesting strong positioning for this expansion.

The real estate investment trust will purchase the 98-acre site for $27 million and provide $440 million in development funding at an 8.0% cap rate. The transaction expands GLPI’s relationship with The Cordish Companies, which is developing the property in a joint venture with Bruce Smith Enterprise. With a strong current ratio of 3.02, GLPI demonstrates ample liquidity to support this investment. For deeper insights into GLPI’s financial metrics and growth potential, check out the comprehensive Pro Research Report available on InvestingPro.

GLPI plans to fund the land purchase in the first quarter of 2026, with the remaining financing to be drawn between the second half of 2026 and first quarter of 2028. During construction, Cordish will pay rent on funds as drawn, with annual rent escalations of 1.75% beginning one year after the permanent casino opens.

The approximately $600 million casino project will feature 1,440 slot machines, 84 table games, over 10 food and beverage outlets, a 200-room hotel, a conference center, and a 3,200-seat concert venue. A temporary casino facility is scheduled to open in late January 2026, with the permanent facility expected to open in late 2027.

"This accretive transaction plants a Gaming and Leisure Properties flag in Virginia, which will represent the 21st state for our portfolio," said Peter Carlino, GLPI’s Chairman and CEO, according to the press release.

The casino will serve as the centerpiece of a broader $1.4 billion planned development expected to include additional hotels, retail, dining, entertainment, and residential features.

The transaction is subject to customary closing conditions, including approvals from the Virginia Lottery Commission. Greenhill, a Mizuho Affiliate, acted as financial advisor to GLPI for the transaction.

In other recent news, Gaming and Leisure Properties announced plans to acquire the real estate assets of Sunland Park Racetrack & Casino for $183.75 million. This acquisition, expected to close in October 2025, is anticipated to be immediately accretive to the company’s AFFO per share, with annual rent on the lease escalating by 2% each year. Barclays has upgraded Gaming and Leisure Properties from Equalweight to Overweight, raising its price target to $54.00, citing an improved outlook for Bally’s. Meanwhile, Cantor Fitzgerald initiated coverage on the company with a Neutral rating and a $51.00 price target, based on a 2026 estimated AFFO multiple of 12.7x. JMP Securities reiterated its Market Outperform rating and $55.00 price target, highlighting the company’s large forward commitment pipeline and prudent balance sheet management. JMP also noted a recent $1.3 billion notes offering by the company, intended to support early-2026 maturities and finance growth needs. These developments reflect ongoing strategic moves by Gaming and Leisure Properties to strengthen its financial position and expand its portfolio.

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