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Chicago Tribune
21-05-2025
- Business
- Chicago Tribune
Lake County commissioners select Gary convention center bid
For Gary Mayor Eddie Melton, Wednesday was a 'historic and monumental day' for the city and Lake County. About two years after plans for a convention center were announced, the Lake County Board of Commissioners selected the proposal from Gary and Hard Rock Northern Indiana as the winning bid. 'This is not a project for or against any particular group,' said Commissioner Mike Repay, D-3rd. 'This is for Lake County, and hopefully, the future … ends up being quite bright. There is work to be done, though. This is a step in the right direction and a step towards eventually approving a development agreement.' According to state statute, commissioners had until May 31 to choose a proposal. As the selected bid, Gary and Hard Rock plan to build a 145,000-square-foot convention center and Hard Rock Hotel near the casino, according to Post-Tribune archives. The plan is for the property to also have space for two additional hotels, including one REVERB by Hard Rock Hotel, and two restaurants and retail spaces. Following the commissioners meeting Wednesday, Melton said he believes it's possible for construction to start this year, but he won't commit to that. 'We want to make sure that everything is done right,' he said. In 2023, as an Indiana state senator, Melton created Senate Bill 434, which established a fund for the Lake County Convention Center, the blighted property demolition fund and new train station funding in downtown Gary. Melton's original goal was for the convention center to be built in Gary, but other legislators blocked that language, he said. Melton believes Wednesday was a full-circle moment for him. 'Once we got past today, we knew it was going to be when the real work was going to start,' Melton said. 'So now we're ready to get to the real work.' Gary was one of two Northwest Indiana communities that submitted a proposal for the Lake County Convention Center. The city of Hobart, partnered with Garfield Public/Private LLC, also submitted a proposal. Hobart Mayor Josh Huddlestun congratulated the city of Gary and Hard Rock Northern Indiana in a statement following the proposal selection. Huddlestun told the Post-Tribune that he hopes the convention center delivers on what everyone hopes it can be. 'We felt our location (near U.S. 30 and Interstate 65) better served the region as a whole, but the decision was made, and we're going to support the Hard Rock and Gary on the convention center, and do whatever we can to help and partner together,' Huddlestun said. 'Our goals still remain shared, and our future is all connected. The city of Hobart remains committed to collaborating on mutual investments and progress that lifts all communities.' The two communities first presented proposals in early November 2024. Proposals were due to the commissioners on Oct. 16, 2024. Commissioners issued a request for proposals from potential developers in May 2024. County commissioners could have chosen not to accept either proposal. Commissioner Jerry Tippy, R-2nd, said Hard Rock will be required to run the convention center, and the casino submitted two letters from financial institutions agreeing to provide financing if matching funds are made. Tippy also said state, county or local income taxes from other Northwest Indiana communities will not be used for the convention center. Gary has the option to use their local taxes, Tippy said. Gary plans to put money from gaming taxes toward the convention center, and Hard Rock plans to give $1.5 million a year for 20 years toward the construction. State matching grants of $100 million will be made available as well. 'This is the first time, in my lifetime, that I've seen the state of Indiana set aside $100 million in this manner,' said Commissioner Kyle Allen, D-2nd. 'The project will be transformational.' If the convention center is successful, Allen believes there will be more projects like it throughout the region, he said. In a statement following the vote, President of Hard Rock Matt Schuffert called the proposal selection 'a tremendous moment for Lake County.' 'We are honored to be selected and grateful for everyone who stood with us throughout this bid process,' Schuffert said. 'Together, we have the chance to create a world-class destination that generates economic opportunity, creates jobs, drives tourism and supports local businesses.' Throughout the convention center bid process, Gary and Hard Rock campaigned for the bid, encouraging citizens to voice their support for their proposal. Hard Rock also made an initial investment of $50,000 into television and digital advertisements. The 30-second commercials advertised the benefits of the Lake County Convention Center in Gary, featuring city sites and prominent community members, including Melton. 'Our focus is to educate people about the project and build excitement for the new local jobs and economic opportunities this will create,' Pat Kremer, spokesperson for Hard Rock, previously said in an email. 'No tax dollars were used for these ads and no new tax dollars will be needed for the project if the Gary location is selected.' In a Wednesday statement, President and CEO of the South Shore Convention and Visitors Authority Phil Taillon said the commissioners' decision was a pivotal moment for the region. 'The selection of Gary for a convention center site is a once-in-a-generation opportunity to transform our visitor economy, and we're incredibly grateful for the Lake County Commissioners leadership through this process, and the state's investment into this project,' Taillon said. 'With this exciting decision, the South Shore CVA is ready to help lead the region into a new era of growth, tourism and economic development.' Lake County Councilman Ron Brewer, D-2nd, said in a statement that the bid acceptance is a win for Lake County as a whole. 'With the construction and all the trades involved, every community throughout the region is going to be touched. We need all hands on deck to get this done,' Brewer said. Randy Palmateer, business manager for the Northwestern Indiana Building and Construction Trades Council, said in a text message Wednesday that he's excited about the commissioners' selection. Palmateer has gotten a verbal agreement from Hard Rock that a project labor agreement will be negotiated with the Building and Construction Trades Council. 'This will ensure local, highly trained and union workers I represent will be on this project,' Palmateer said. '(Due) to the hydrogen hub and other large projects not coming to fruition like we thought, this project is great news (and) gives us something to look forward to.' Lake County Council President Christine Cid, D-5th, said in a news release Wednesday that commissioners performed their due diligence before making a selection. She believes that if the project is completed, constriction of the convention center and supporting businesses 'will mean an influx of good-paying skilled trade jobs,' according to the news release. Cid also plans to watch how locating the convention center next to Hard Rock will affect revenues generated for Hammond and East Chicago by Lake County's other two casinos. Cid said revenues at Northwest Indiana casinos have dipped since the opening of Wind Creek Casino less than 10 miles across the Indiana-Illinois border, which were reflected in state gaming revenue reports in March and April. She also plans to be watchful of negative financial impact and is concerned about financial obligations of county taxpayers. Hammond Mayor Tom McDermott and East Chicago Mayor Anthony Copeland have both previously said they didn't support a convention center in Gary. The Hammond council and McDermott all said they didn't support a Lake County Convention Center. Copeland wanted Hobart to get the bid, but his council supported Gary. Hard Rock has put Horseshoe Casino in Hammond at an economic disadvantage, with revenues 'steadily (decreasing)' in the last several years, according to Post-Tribune archives. Horseshoe has lost about $13 million each year since Hard Rock's opening, McDermott previously said. Copeland previously told the Post-Tribune that he's opposed to Gary's bid because East Chicago has lost about $10 million since Hard Rock was built. Schuffert previously said he respects both leaders for their work to protect their cities. Melton previously said in a statement that he worked with McDermott to identify opportunities for Hammond to benefit from Gary's proposal when drafting legislation. He said the county cannot prosper if Gary is excluded from growth. Following Wednesday's meeting, Melton said he's no longer worried about the negative reactions to a Gary bid. 'It's here, we got it,' Melton said. 'Whatever happened in the past is in the past. All of the naysayers and folks that didn't want us to have it, they've got to deal with it now, so we just have to move forward.'


Chicago Tribune
21-05-2025
- Business
- Chicago Tribune
Northwest Indiana casinos see a decrease in revenues in March, April
Northwest Indiana's three casinos saw decreases in gaming revenue year over year in March and April, according to the Indiana Gaming Commission's monthly gaming reports. The casinos reported revenues of $77 million in March, a decrease of about 9.2% from the approximately $84.8 million reported for the same month last year. The casinos reported revenues of $72.5 million in April, a decrease of about 5.6% from the approximately $76.8 million reported for the same month last year, according to the reports. Hard Rock Northern Indiana saw a decrease in earnings with about $38.5 million reported for March 2025 compared to $42.6 million reported in March 2024. In April, Hard Rock Northern Indiana saw a decrease in earnings with approximately $37.7 million this year compared to $39.8 million last year, according to the report. Matt Schuffert, president of Hard Rock Casino Northern Indiana, said March and April were 'challenging months' for the whole regional market. This year, the Easter holiday was in April compared to being in March last year, which could've impacted numbers, he said. 'We continue to be the state leader in revenue for nearly four years straight,' Schuffert said. Horseshoe Hammond and Ameristar Casino in East Chicago reported decreases in revenue year over year in March and April. Horseshoe Hammond reported $24.1 million in revenues in March 2025 and approximately $25 million in revenues in March 2024. Ameristar Casino reported $14.4 million in revenues in March 2025 and $17.2 million in revenues in March 2024, according to the report. Ameristar Casino reported $13.7 million in revenues in April 2025 and $14.8 million in revenues in April 2024. Horseshoe Hammond reported $21.1 million in revenues in April 2025 and $22.2 million in revenues in April 2024, according to the report. All three casinos reported an increase in revenues from February to March, according to the report. Ameristar reported revenues of $12.8 million in February and $14.4 million in March, according to the report. Hard Rock Northern Indiana reported revenues of $34.4 million in February and $38.5 million in March, while Horseshoe Hammond reported $20.2 million in February and $24.1 million in March, according to the report. All three casinos reported a decrease in revenues from March to April, according to the report. Hard Rock reported revenues of $38.5 million in March and $37.7 million in revenues in April, according to the report. Horseshoe Hammond reported $24.1 million in revenues in March and $21.1 million in revenues in April, while Ameristar reported $14.4 million in revenues in March and $13.7 million in revenues in April. Horseshoe Hammond and Ameristar officials did not respond to requests for comment. Looking ahead, Schuffert said May looks like it will be a strong revenue month. 'It's still early … but May has been very strong,' Schuffert said. 'All indications are that May will perform better year over year slightly than March and April.'


Chicago Tribune
30-04-2025
- Business
- Chicago Tribune
Building ‘a greater Gary' highlights Melton's State of the City address
When Gary Mayor Eddie Melton came into office, he created a mission, vision and values for his team. More than one year later, he credits that strategy to successes the city has seen. 'It was extremely important for us, on a day-to-day basis, that we had a guiding star that helps us figure out how we improve the services that we provide to citizens,' Melton said. '…Integrity, service, excellence, responsive, vision and empathy — these are the values, every single day, are encouraged in our administration.' On Tuesday, Melton gave Gary's annual State of the City address, which highlighted how he plans to build a 'greater Gary' through stabilization, growth, quality of life and planning for the future. Melton highlighted efforts his administration has taken to pay off the city's long-term debt, specifically through interfund loans. In Melton's first year, the city paid off a debt to the Gary Sanitary District from 2005 and 2006, when the agency loaned the city $16 million. His administration also paid off a $2 million loan from 2021 that supplied 20 police cars. Melton plans to pay off $2.25 million in debt by 2028, he said Tuesday. Melton's administration is preparing for how recently passed state legislation is going to affect Gary. 'We know that (Senate Enrolled Act 1) is going to have a dramatic effect on local governments across the state of Indiana,' Melton said. 'We don't know what that's going to look like for the city, but we're preparing. We're going to work with the council to make sure we adequately prepare a budget to address those issues.' Melton also highlighted concerns with House Enrolled Act 1448, which has yet to be signed by Gov. Mike Braun, but will require Gary to pay $12 million to East Chicago and Michigan City after a state comptroller mistake that was supposed to address the financial burden following the move of Majestic Star casinos to Hard Rock Northern Indiana casino along Interstate 80/94. Money will be dedicated from state comptroller funds and money appropriated by the Indiana General Assembly, according to bill documents, and money will be withheld for 10 years. Melton said the House Enrolled Act 1448 is 'obviously not ideal,' but his administration is taking the necessary steps to prepare for the fiscal impact. 'Guess what? We're going to be OK,' Melton said. Melton also talked about House Bill 1142, which has an amendment that requires the Gary Common Council to terminate a compact for the Gary/Chicago International Airport. Legislation has also targeted the number of appointees Melton or any other Gary mayor can pick for the airport's executive board. Melton believes Gary is being unfairly targeted through the legislation. 'We're proving that we're being fiscally responsible,' he added. 'We're proving that we're bringing in business to grow in that region and that area.' The Gary airport had 649 total arrivals in 2024, Melton highlighted Tuesday. The airport averaged about 15 international arrivals per month last year. The Gary airport has also received about $39.3 million for capital upgrades, including a passenger terminal renovation, jet fuel pipeline and hangar upgrade. On Tuesday, Melton announced that FedEx is coming to Gary after buying 78 acres of land at 6200 Industrial Blvd. The purchase will help create about 600 jobs in the city, Melton said. He also talked about the potential acquisition of U.S. Steel by Nippon Steel, which President Donald Trump ordered a new review of by the Committee on Foreign Investment in the United States. Nippon Steel would invest $1 billion into the Gary Works facility if the deal is approved, which Melton said would benefit steelworkers and the city as a whole. 'We're talking about a global project that will have significant impact,' Melton said, adding that plant closures might follow if the deal falls through. 'As mayor, I didn't want to sit on the sidelines and just watch. … We've been very engaged in this, you see the commitment that's been put forward, and we're watching this deal closely.' Melton also highlighted a 2024 Alliance Steel expansion, which has added 60 new jobs to the 500,000 square-foot campus and hires Gary residents. The potential Lake County Convention Center was another talking point for Melton, of which Gary is one of two applicants. The city of Hobart also submitted a proposal. As a state senator, Melton crafted Senate Bill 434, creating the Lake County Convention and Economic Development Fund. The fund was designated for convention center creation, the Blighted Property Demolition Fund, and revitalization of the Gary Metro Station to complement the South Shore Double Tracking project. Melton intended for the convention center to go to Gary and has been outspoken that Gary should receive the Lake County commissioners' bid. Commissioners have until May 31 to decide which bid — if any — is accepted. Gary's proposal, created with Hard Rock Northern Indiana, envisions a 145,000-square-foot convention center and Hard Rock Hotel near the casino, according to Post-Tribune archives. The property would also have space for two additional hotels, including one REVERB by Hard Rock Hotel, and two restaurants and retail spaces. 'The state funding that's going toward this project is generated by the tax dollars that Hard Rock pays the state of Indiana — think about that,' Melton said. 'If we don't get the convention center, if it goes to another community, it's going to be funded by tax dollars generated by Gary.' Other key points Melton highlighted included blight elimination, which the city has started the first phase of in downtown Gary. Targeted areas include Gary City Methodist Church, Lovell's barbership, Gordon department store and the Mecca building. Demolition should be complete by the end of 2025. Melton also highlighted the city's partnership with the University of Notre Dame, which is helping with blight elimination and the redesign of the city's Adam Benjamin Jr. Metro Center. Permits issued increased in 2024, Melton said, which helped generate more than $1.27 million in city revenue. He believes that — coupled with other economic development effects, such as home prices rising — is a good sign for Gary's future. 'It took Gary 50 to 60 years to get to this point,' Melton said. 'It's not going to happen overnight, but you have a mayor that believes in God … and we're not going to let others dictate our destiny.'