Leroy’s to acquire Nevada hotel/casino

Jun 28, 2005 3:30 AM

 

The company that operates Leroy’s sports books and manufactures most of the sports wagering equipment for Nevada’s race and sports books is expanding into the hotel/casino business.

Last week, AWI Gaming, a subsidiary of American Wagering Inc. (AWI), announced it has agreed to purchase Sturgeon’s Inn and Casino in the Northern Nevada town of Lovelock.

The modest 65,000-square-foot facility features a 74-room motel, restaurant and bar and 120-machine casino.

"One of our core growth strategies has been to broaden our revenue base and diversify cash flows," said Vic Salerno, AWI’s president and CEO. "To this end, the company recently formed AWI Gaming to search out and acquire hotel/casino operations that we believe will be accretive to overall operating results."

Salerno said Sturgeon’s has potential for expansion because of its strategic location. The 4-acre property is located about 90 miles east of Reno and is adjacent to well-traveled Interstate 80.

Salerno said the acquisition should enhance his company’s operating results.

"The acquisition of Sturgeon’s Inn and Casino meets these criteria and brings this established operation under the American Wagering umbrella, which we believe will benefit Sturgeon’s day-to-day operations and our shareholders," Salerno said.

Sturgeon’s casino contains 120 gaming devices, two table games, cashier’s cage, count rooms, vault, video arcade and a lounge and bar.

Slot machines consist of mostly nickel games, followed by quarter slots and a few dollar slots. Video poker and progressive games including Megabucks and Wheel of Fortune are part of the mix.

The two table games are low limit blackjack

The casino’s Log Cabin restaurant seats 118 patrons and features a full kitchen, storage areas, private dining and banquet facilities. The bill of fare is mostly popular American favorites such as steaks, burgers, prime rib and barbecue ribs. The banquet room is set up for performances with its stage, lighting and sound systems.

The 74-unit motel is currently operated by Ramada Inns and features a covered porte cochere, indoor swimming pool, laundry and manager’s apartment.