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MGM Resorts International has agreed to sell the operations of MGM Northfield Park to private equity funds managed by Clairvest Group in a deal valued at $546 million in cash, subject to customary purchase price adjustments. The transaction highlights MGM’s continued strategic shift toward digital growth, international markets, and investment in major integrated resorts.
MGM said it expects net cash proceeds of around $420 million after accounting for taxes and transaction costs. The sale price represents approximately 6.6 times the property’s Adjusted EBITDAR of $137 million for the twelve months ended 30 June 2025.
Focus on digital and international growth
MGM President and CEO Bill Hornbuckle thanked employees at the Ohio-based property for their “world-class” service, describing the deal as part of the company’s long-term strategy to sharpen its focus on high-growth areas.
“This is a great property with great opportunity ahead,” Hornbuckle said. “At MGM Resorts, our vision is to be the world’s premier gaming entertainment company. To achieve this vision, we’re focused on growing our digital business, developing our international expansion opportunities, and continuing to invest in our leading integrated resorts domestically.”
MGM Resorts’ CFO and Treasurer Jonathan Halkyard said the transaction reflects “exceptional financial stewardship” and supports the company’s ongoing efforts to unlock shareholder value.
“This is an excellent result for MGM Resorts and demonstrates consistency in driving transaction multiples at meaningful premiums over where MGM Resorts currently trades,” Halkyard stated.
“We appreciate Vici, as the real estate owner of MGM Northfield Park, working constructively with Clairvest to facilitate a new lease agreement.”
As part of the sale, MGM’s master lease agreement with Vici Properties—which currently includes MGM Northfield Park—will be amended to reduce annual rent by $54 million once the transaction closes.
Background and next steps
MGM originally acquired the operations of MGM Northfield Park in 2019 for $275 million plus adjustments from MGM Growth Properties, which had purchased the property the previous year when it was operating as Hard Rock Rocksino Northfield Park.
The transaction is expected to close in the first half of 2026, pending regulatory approvals and other customary closing conditions.
The sale follows MGM’s recent decision to withdraw its commercial casino license application in Yonkers, New York, which would have involved a $2.3 billion expansion of Empire City Casino. The withdrawal came amid changing market conditions and a reduction in license duration from 30 to 15 years.
By divesting its Northfield Park operations, MGM continues to streamline its portfolio and reallocate capital toward ventures with stronger long-term potential, both in the United States and abroad.
Source: Gambling Insider
