Cedar Rapids Casino Remains on Track, April Hearing Could Impede Construction

Posted on: March 20, 2025, 08:50h. 

Last updated on: March 20, 2025, 09:54h.

Devin O'Connor @CasinoorgDevinO Read More

Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.

• The Iowa Racing and Gaming Commission approved a casino bid in Cedar Rapids in February 2025
• Riverside Casino & Golf Resort is challenging the Cedar Rapids project
• Linn County voters extended gambling through a 2021 referendum 

The $275 million casino planned for Cedar Rapids broke ground last month. This week, a judge denied a request to halt construction but ruled the plaintiff might have a case.

Iowa-based Elite Casino Resorts is challenging whether the Iowa Racing and Gaming Commission (IRGC) had the authority to grant a gaming license for the state’s second-most populated city.

Attorneys with the company that owns and operates the Riverside Casino & Golf Resort claim the state gaming regulatory agency failed to properly consider how a casino in Cedar Rapids would impact casinos elsewhere. Elite also alleges that the 2021 local referendum passed by voters in Linn County to permanently authorize slot machines, live dealer table games, and sports betting was flawed.

The IRGC commissioned two independent studies, both of which found that the state’s current casinos would indeed be negatively affected by the Cedar Crossing Casino & Entertainment Center, with Riverside set to be most impacted because of its proximity roughly 40 miles south.

Schilling, however, did take issue with the 2021 referendum. A hearing set for April could determine the ultimate fate of the project from Los Angeles-headquartered Peninsula Pacific Entertainment in partnership with roughly 80 local businesspeople collectively operating as the Cedar Rapids Development Group.

2021 Referendum

It was almost four years ago that voters in Linn County were presented with another gaming referendum. Public Measure G asked county voters if they wished to permanently authorize “gambling games” within the county’s limits.

Public Measure G specifically asked Linn County voters to extend the county’s allowance of gambling in perpetuity. But since there was no gambling occurring inside the county at the time, Elite counsel argues the referendum essentially extended nothing. Instead of asking voters to approve a new casino, Elite believes the county purposely misled voters to extend something they believed to be already active.

Schilling seemed to agree.

If an inconsistency exists between what the voters approved and the license the (commission) issues, the question arises whether the license reflects the will of the voting public,” Schilling wrote.

The judge also took issue with how the ballot wording changed from what the Linn County Board of Supervisors approved and how it was presented to voters. Schilling said more deliberation is needed to determine if the will of the elected county officials was upheld.

Cry Us a River

The Cedar Rapids Development Group thinks Elite and Riverside are simply afraid of competition. In its response to the petition, CRDG attorneys said the challenge is from an entity “with a direct financial interest in ensuring there are no competing casinos affecting Riverside.”

Cedar Crossing Casino is to have roughly 700 slot machines, 22 table games, a sportsbook, and three full-service restaurants and bars highlighted by Clubhouse by Zach Johnson. An arts and cultural center and a STEM lab with its own entrance, plus a 1,500-seat entertainment venue, are also planned.