Century Casinos Cuts Alberta Footprint in $16.4M Racino Sale
The deal covers Century Mile Racetrack and Casino in Edmonton and Century Downs Racetrack and Casino in Calgary. The purchase price equals C$23.2 million and represents 6.1 times the properties’ FY2025 EBITDA, according to the Century Casinos announcement.
Century owns all of Century Mile and a 75% interest in Century Downs. The remaining 25% of Century Downs is held by noncontrolling partners.
The operator plans to use the transaction proceeds to reduce debt. It also expects the disposal to lower its lease-adjusted net leverage on a pro forma basis.
$7.5M of Annual Rent Moves to Highfield
The transaction does not include the underlying real estate. VICI Properties already owns both sites and leases them to Century under a triple-net master lease.
Once the sale closes:
- Century Mile and Century Downs come out of Century’s master lease;
- Century’s annual rent falls by about $7.5 million, or C$10.7 million;
- Highfield takes a separate 20-year lease with VICI;
- The new lease starts at C$10.7 million in annual rent and includes four five-year renewal options.
The VICI agreement means its aggregate rent from the two properties does not change. The C$10.7 million removed from Century’s lease becomes the starting rent under Highfield’s agreement.
The size of that rent shift stands out next to the sale itself. Annual rent of $7.5 million is about 46% of the $16.4 million purchase price.
Those figures are not directly comparable as a return calculation. One is yearly rent and the other is the price paid for the operating businesses. The 46% figure is simply a measure of scale.
Century Keeps Two Alberta Casinos
The deal does not take Century out of Alberta. Century Casino & Hotel Edmonton and Century Casino St. Albert remain with the company. Once Century Mile and Century Downs are sold, its Alberta operation therefore goes from four properties to two.
Century is moving resources elsewhere. Co-CEOs Erwin Haitzmann and Peter Hoetzinger said the sale forms part of the company’s push to concentrate on its US properties.
The transaction is expected to close in Q4 2026 or Q1 2027. Regulatory approvals and other customary closing conditions are still required.