It has been reported that the New Jersey Sports and Exposition Authority has officially signed off on the terms of a Monmouth Park lease agreement with the New Jersey Thoroughbred Horsemen's Association
. The report also states that the horsemen would retain the right to operate the slot-machine expansion if it ever is to come to the track.
The news comes courtesy of a report by John Brennan on his Bergen Record blog.
Brennan lists a handful of details of the deal, some quick aspects of which appear below.
- It’s a five-year lease, with the horsemen owning options to extend for up to three 10-year terms. After that, both sides can jointly agree to a fourth 10-year term
- The track is expected to suffer operating losses of $8 million in 2012, so the sports authority is providing a "$4 million grant” for the year
- The sports authority also is advancing the horsemen $5 million, secured by a $4 million escrow account and to be repaid as additional rent for five years beginning in 2015
- Another $2 million is being advanced to the horsemen in both 2013 and 2014, to be repaid over five years beginning in 2016 and 2017, respectively
To view more details of the arrangement, view Brennan's blog by clicking here.
(With files from the Bergen Record)