Categories
News

Little Las Vegas: Dozen gaming locations have Wabash addresses – Jul. 16, 2016

Tim Landis
The State Journal-Register

There are at least a dozen ways to gamble on video terminals along Wabash Avenue, from a service station-convenience store to a soon-to-open Asian food market.

An informal survey by The State Journal-Register and Illinois Gaming Board records show the busy thoroughfare between MacArthur Boulevard and Interstate 72 has become one of the hottest corridors for video gaming in a market that continues to lead the state in gaming-terminal numbers. The gaming board reported Friday that there were 542 terminals in operation at 120 Springfield locations in June, a 4 percent increase from June 2015.

Distance from riverboat casinos and two major interstates — truck stops on Interstates 55 and 72 are among the busiest gaming spots in the area, according to state figures — have been cited as reasons for the steady growth from 61 Springfield terminals in September 2012.

Local gamblers wagered nearly $125.8 million on Springfield terminals from June 2015 to June 2016, according to gaming board figures. Net terminal income, which equals gambling losses, was nearly $31.4 million.

The state of Illinois take was more than $7.8 million, according to state figures, and the city of Springfield got more than $1.5 million. In June alone, the state board reported, wagering in Springfield totaled $9.452 million.

Welcome to Jerome

Half of the 12 video-gaming locations with Wabash Avenue address are in the village of Jerome, where the first local video games began operating in the fall of 2012. Village President Mike Lopez said he has been somewhat surprised by the steady expansion in the community of 1,600, as well as in the larger Springfield market.

Video gaming raises approximately $93,000 a year toward a village budget of $2.3 million. Lopez said gaming receipts go into the general revenue fund, but he said village officials eventually would like to earmark gaming revenue for road and other infrastructure improvements. Roman said, however, he believes the Springfield market is well beyond the saturation point.

60 percent rule

Springfield alderman took action in 2014 to slow the opening of storefront gaming parlors that offered minimal food and drink by approving an ordinance requiring that new video-gaming locations earn at least 60 percent of annual revenue from food and beverage sales.

The issue resurfaced last year after the former Wasabi Japanese Kitchen at 2312 Wabash added video games and changed the business name to Diamond’s Sushi & Foods. Ward 7 Ald. Joe McMenamin and Ward 6 Ald. Cory Jobe raised questions about the business-model switch and whether the 2014 ordinance should be amended.

No action was taken, and McMenamin said he believes the original ordinance has worked as intended to limit the number of gaming parlors. “It’s better than what we had,” McMenamin said, “but it was kind of shutting the door after the horse was out of the barn.”

The Cobblestone Homeowners Association is in a legal dispute with the developer of apartments and retail space along Wabash Avenue at the south edge of the neighborhood, and with the owner of the Lucy’s Place gaming parlor.

Association board member Roger Kanerva said the legal challenge, which is now in appellate court, is based on association claims that the development and gaming parlor violate earlier development agreements for the area, as well as the city gambling ordinance.

***

Top five markets by number of terminals and locations in Illinois as of June 2016

* Springfield: 542; 120.

* Rockford: 440; 93.

* Peoria: 277; 59.

* Joliet: 274; 70.

* Bloomington: 244; 54.

Springfield terminal numbers, locations June 2013-June 2016

* 2016: 542; 120.

* 2015: 521; 115.

* 2014: 412; 97.

* 2013: 149; 33.

Local wagering/revenue June 2014-June 2015 in Springfield

* $125.784 million wagered.

* $31.384 million net terminal income (equals gambling losses).

* $7.846 million tax revenue to state.

* $1.569 million tax revenue to city of Springfield.

Source: Illinois Gaming Board.

Note: Video gaming began in Springfield in September 2012 with 61 terminals at 13 locations.

The State Journal-Register