The planned Cedar Crossing gambling & Entertainment Center in Cedar Rapids is causing anxiety in the state of Iowa’s gambling business. The Linn County Gaming Association (LCGA) presented their application during a recent Iowa Racing and Gaming Commission (IRGC) meeting, which caused a great deal of alarm among the area’s current casinos.
Casinos like Diamond Jo in Dubuque fear the new facility could threaten their revenues. The Iowa gaming landscape is already competitive, and adding another player could impact their bottom lines. Alex Dixon, President and CEO of Q Casino in Dubuque, pointed out that estimates suggest a Cedar Rapids casino could cost local venues dearly. Specifically, Dubuque’s casinos might lose around $5 million, while Riverside’s could see a decline of $16 million. Additionally, Waterloo’s gaming facilities might face a hit of approximately $6.2 million.
Despite these challenges, Dixon remains cautiously optimistic about Q Casino’s ability to attract new patrons. “We have a quality product that will draw customers,” he stated. Diamond Jo Casino also weighed in on the situation, expressing concerns to KWWL about how a new casino would harm existing operations in Dubuque and surrounding areas.
Support for Economic Growth
On the other hand, the Cedar Crossing project, developed by Peninsula Pacific Entertainment (P2E) and LCGA, has gained substantial support in Cedar Rapids. The proposed casino aims to create over 500 full-time jobs and more than 1,100 construction positions. Developers estimate it will generate an annual gaming revenue of $108 million, translating into $80 million in new revenue for the state.
Cedar Rapids Mayor Tiffany O’Donnell passionately advocates for the project, encouraging the IRGC to give it serious consideration. “We need to find other ways to support our non-profits and people in our community, and this is a great way to do that,” she remarked. O’Donnell emphasized the positive economic impact a high-profile casino could have on the city.
This is Cedar Rapids’ third effort to open a casino; the first two attempts were denied in 2014 and 2017, mostly because of concerns about market cannibalization. Developers think this will work, claiming that the effect on surrounding casinos is expected to be less severe than previous estimates. The IRGC aims to perform a site visit before reaching a final judgment on the casino license, expected by February 2025.
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