$275M Cedar Rapids Casino Greenlit After Iowa Gaming Commission Gives Blessing

Posted on: February 6, 2025, 02:36h. 

Last updated on: February 6, 2025, 03:17h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.

A $275 million casino is coming to Cedar Rapids.

Cedar Rapids Casino Cedar Crossing Iowa
The Iowa Racing and Gaming Commission has approved a $275 million development called Cedar Crossing Casino in Cedar Rapids. The vote comes after state lawmakers folded on another casino licensing moratorium. (Image: Cedar Crossing Casino)

On Thursday, just two days after the Iowa Senate folded on legislation that would have halted the Iowa Racing and Gaming Commission’s (IRGC) power to issue new casino licenses for five years, the state gaming agency approved an application for slot machines, table games, and sports betting in Cedar Rapids. The $275 million proposal, called Cedar Crossing Casino & Entertainment Center, will be built on 25 acres of city-owned land located west of the Cedar River between F and I Avenue NW and First and Fifth Streets NW.

We are so thankful to the commission for giving us a fair shot at sharing our vision and for making Cedar Crossing a reality,” said Jonathan Swain, a board member at Peninsula Pacific Entertainment (P2E), the Los Angeles-based gaming operator that’s partnered with the Cedar Rapids Development Group, which consists of 80 local businesspeople. “This is a huge step in a long journey, and we are ready to deliver on our promise to Linn County and the State of Iowa.”

Cedar Rapids Mayor Tiffany O’Donnell, a longtime supporter of allowing a casino to operate in the state’s second-most populated city, said the IRGC approval “marks an exciting new chapter for the thousands of people who will benefit from new jobs, economic opportunities, and entertainment possibilities” created by the destination.

The IRGC voted 4-1 in favor of the casino, with Commissioner Alan Ostergren the lone dissenter. Cedar Rapids and the Cedar Rapids Development Group have been pursuing gaming privileges for more than a dozen years.

Not Everyone Happy

The IRGC signed off on the Cedar Crossing Casino project despite two studies it commissioned projecting that at least half of its annual gross gaming revenue, or net win won from gamblers, would come at the expense of other casinos in operation. Riverside Casino & Golf Resort stands to be most cannibalized.

“We are disappointed by the commission’s decision,” said Elite Casino Resorts CEO Dan Kehl, whose company owns and operates Riverside. “We appreciate the time and effort the commission and staff put into this, but we do have questions and concerns as we still believe the referendum requirement has not been met and are reviewing our next steps.”

In November, attorneys with Riverside challenged whether Linn County voters legally ratified casino gambling during a local ballot referendum in 2021. During that election, local voters backed a question asking if they wished to “continue” allowing gambling in the county. But since gambling wasn’t legally operating at the time, Riverside’s counsel alleges that the referendum essentially extended nothing.

Last month, the IRGC declined to issue a declaratory order in response to Riverside’s petition. 

Cedar Rapids Casino Details 

The latest Cedar Crossing Casino blueprint includes a gaming floor with 700 slot machines, 22 live dealer table games, and a sportsbook. Three restaurants are planned — World’s Fare, River’s Edge Smokehouse and Tap, and Clubhouse by Zach Johnson. Johnson, a Cedar Rapids native, won the 2007 Masters and 2015 Open Championship golf majors.

A 1,500-seat entertainment venue will host “top-tier performances and events,” an arts and cultural center will “become a cornerstone of community engagement,” and a “cutting-edge STEM lab” with a separate entrance from the casino will “inspire and educate the next generation of innovators.”

O’Donnell says the casino will play a vital role in the redevelopment of the northwest side of Cedar Rapids where the Cooper’s Mill site stood. Much of the area remains vacant 17 years after the Iowa flood of 2008 — often called “Iowa’s Katrina.”  

The Cedar Crossing Casino developers expect construction to take 18 to 22 months.