Could a Penske Rolling Stone casino at IMS qualify?
Editor’s note: This story was originally published in the April 4, 2025 issue of Indiana Gaming Insight.
We’re racing closer to a casino in Indianapolis . . . and we have a hunch as to where it might land if it is authorized.
When we last left you, SB 43 was awaiting a hearing in the House Committee on Public Policy. This is the converted vehicle bill that Sen. Andy Zay (R) of Huntington was accorded after his measure to move the Ohio County casino license to New Haven was not granted a vote in the Senate Committee on Public Policy following a lengthy hearing. As it left the Senate, the measure would ask the Indiana Gaming Commission to retain a consultant to determine the three most underserved regions of the state for the possible move of a license.
In the House Committee on Public Policy, Chair Ethan Manning (R) of Logansport amended the measure, restricting the IGC study to “the top two regions in the state”. . . and while the bill as it moved to the House “currently only contemplates a relocation of an existing license to a new area,” with an amendment adopted by consent, “we’re leaving that open ended so they could study a relocation or a new license,” he explained
We’ll have more for you about the SB 43 hearing and fate on the House floor inside this issue, but for the purpose of this piece, just know that the study seems to now be pointing to just a pair of regions . . . and could include the creation of a new casino license – arguably for the first time.
The Orange County license was technically a move of the Patoka Lake license authorized in the 1993 organic legislation; the Terre Haute license involved the move of one of the two Gary licenses; and the two racinos evolved from pari-mutuel horse racing facilities to permit slots at the tracks in 2007, followed by live table games in 2020.
Arguably and objectively, the top two “underserved” regions in the state would be Fort Wayne and Indianapolis, largely by design.
The 1993 authorizing legislation placed the licenses on the state’s borders (save Patoka Lake, which was a political charade orchestrated by Democrats to help he political fate in Dubois County for one of their House legislative leaders) geared toward attracting out of state patrons (and theoretically to economically depressed counties which would be boosted by the boats). Indianapolis was eventually “served” by what are now casinos in Anderson and Shelbyville, but Fort Wayne, the state’s second-largest city, continues to be isolated, at least in relative terms.
When SB 43 first was considered by the Senate, Marion County lawmakers from both parties (we’re looking at you, Sens. Aaron Freeman (R) and Greg Taylor (D) of Indianapolis) were salivating on the Senate floor about bringing a casino to the Circle City, knowing that the study would have to find the Indianapolis and Fort Wayne metros (a term we use loosely, and not in any technical or legal sense here) as the top two . . . and you’d probably have to break out protractors and calculators to stretch to find a third – likely why Rep. Manning offered his amendment.
So now that we’ve set up the premise: Indianapolis would be one of the state’s two most underserved markets (“regions”), and there could be a license transfer and a new license created as well, let’s just assume that both Fort Wayne and Indianapolis could end up with a casino license – despite what would be heated opposition from Caesars Entertainment, Inc., trying to protect its facilities in Anderson and Shelbyville (and Churchill Downs Inc. looking to limit its losses at its nascent Terre Haute property in the Indianapolis market).
We’ve mentioned previously that there was early talk about an Indianapolis casino downtown, with in the reimagined Circle Centre Mall redevelopment, part of the former General Motors Stamping Plant corporate campus redevelopment now being connected to downtown, or as part of a Major League Soccer stadium complex seeking to expand the heart of downtown just a few blocks east.
The ’burbs may also make a pitch; we’ve heard that House Speaker Todd Huston (R) of Fishers is quietly pitching his community as a casino home, and the area around the new entertainment venue there directly off I-69 would be a highly visible and accessible site connected to a vibrant restaurant district.
But we’re thinking you should keep your eyes on a west side site in Speedway.
Billboard reports in late March that “media giant” Penske Media (owner of Rolling Stone as well as brands including Billboard) is in discussions to acquire the Downtown Grand Hotel & Casino in downtown Las Vegas from CIM Group and open a Rolling Stone-branded property, the Rolling Stone Hotel and Casino. “Rolling Stone and its sister brands have been looking to strategically invest in opportunities that create brand extensions. Indeed, licensing and experiential opportunities have been a major part of the brand strategy for PMC and Rolling Stone …. Rolling Stone is looking into several additional real estate opportunities around the world and will consider those that meet strategic long-term goals for the brand, sources say, with the Rolling Stone name being licensed for casinos and hotels, similar to Peter Morton’s Hard Rock Cafe playbook.”
So, here’s what your favorite newsletter is looking at (and those involved can send a check for our creative fee to the address at the end of the newsletter!): Penske Media is owned by Jay Penske, son of billionaire business leader Roger Penske, who owns the Indianapolis Motor Speedway. Jay has dabbled in IndyCar ownership himself, and knows the racing industry – and understands and respects the venerated status of IMS.
Should – really, when – Indianapolis be designated as one of the two regions “worthy” of hosting a casino, Penske Media could team up with Full House Resorts, Inc. to move the Ohio County license to Speedway; find another operator to partner with on a Speedway license; or simply proceed on its own as a casino company, assembling its own team to compete for the license.
We see the second option as the most likely.
Let’s look at why the Penskes and IMS makes sense.
The Indianapolis Motor Speedway is one of the world’s most recognizable and iconic venues, and it has plenty of space to accommodate a massive casino development, whether inside the 2½-mile oval itself, on the so-called “Back 40” parking acreage, the “Coke Lot,” or west of the track on Georgetown Road.
However, the best site for a casino and hotel would likely be the south side of 16th Street, where the Speedway owns parking lots and low-rise offices, and could acquire the prize property at the corner of 16th Street and Main Street, where the derelict Wilshaw Hotel project sticks out like a sore thumb. The entire south side of 16th Street could be developed as a casino and hotel – directly adjacent to the recently redeveloped and well-received Main Street main drag in Speedway, with a (long-needed) pedestrian bridge or two over 16th Street connecting to the track at Main Street/Georgetown Road and the main entrance to the track in front of the just-renovated Speedway Museum.
Let’s just say that any traffic generated by a casino along 30th Street, 16th Street, or Georgetown Road would not be a problem.
The Penskes could also site a retail (or satellite) sportsbook in Pagoda Plaza, allowing the tens (hundreds?) of thousands of fans from out of state to legally wager on allowable races on site (approved events for sports wagering already include Constructors’ Championships; Formula One; IndyCar; MOTO GP; NASCAR (including Monster Energy Series, Xfinity Series Truck Series); MotoAmerica; United States Auto Club (USAC); NHRA Camping World Drag Racing Series; and Monster Energy AMA Supercross).
The project would unite the Penske family, eliminating many of the problems that might be inherent in bringing a new face to anything related to the track (or the thorny issue of licensing or using track names and associated brands) . . . and the family already has the cash and property – and access to more cash and more property if needed.
The IMS team also has strong personal connections to state politics and government. Track President Doug Boles cut his teeth as a House Republican staffer in the 1989 session when casino legalization was first discussed, and he may be the only guy whom both parties would probably love to have as their party’s standard bearer for governor. The vice president for corporate communications at Penske Entertainment Corporation is Alex Damron, who handled comms work at the State House many moons ago for a statewide elective official and then worked for former U.S. Rep. Susan Brooks (R). Ice Miller LLP handles track legal work, and Bose Public Affairs Group leads lobbying activity for IMS, so they have a well-connected legal and lobbying team that is also well-versed in gaming issues.
We probably don’t need to tell you about how IMS is viewed at the State House and City Hall through its economic and civic contributions, and the State even floated a $100 million loan to the track several years ago to help with needed improvements.
A new IMS-adjacent Rolling Stone-branded casino and sportsbook could also appeal to a younger demographic, much like the success seen by the Hard Rock brand, and not only help the casino industry attract and retain a younger crowd, but also bring in a younger demo to both IndyCar and NASCAR events at the track.
A Rolling Stone-branded casino could also assume control over promotion of not only the highly popular Carb Day concerts at the track, but other concerts throughout the year as well (the track brought in the Rolling Stones for a July 4 concert event on their Zip Code tour a decade ago (when the band members were only septuagenarians!), and there has been talk of additional concerts at the facility, both alone or tied into other races. Such a tie-in that would likely attract an upgrade in talent and facilitate upgrades in the concert venue itself could benefit the facility, the casino, and the community.
A Penske-associated casino could also be of interest to high rollers. Offering suites and experiences (such as IndyCar two-seater rides; other ride-along experiences, and the ability for high-rollers to track their own high-end sports cars in challenge races or other controlled events) could be a perfect complementary pairing for the track and casino. IMS also offers the on-site Pete Dye-designed Brickyard Crossing golf course, ranked as one of the 100 greatest public golf courses by Golf Digest (which is not owned by Penske Media!), and another amenity for high rollers.
Assuming Penske Media rebrands other casino properties as Rollin Stone casinos, it could also offer IMS-related experiences to high rollers or VIP club members, further exposing IMS, the City of Indianapolis (and Town of Speedway) to a new audience.
The casino would also gain considerable international attention through not only the Indianapolis 500, but also from other IndyCar events, which are all now broadcast on Fox. A Team Penske IndyCar or NASCAR ride could also carry the Rolling Stone casino livery for additional exposure and co-branding.
We should also note that the Hoosier Lottery first debuted its own NASCAR-themed scratch-off tickets almost a quarter-century ago, in 2001.
All of the above has come into play before – to an extent – as Churchill Downs Inc. has offered historical horse wagering machines and a sportsbook at Churchill Downs in Louisville, and the Run for the Roses experience for high rollers at other CDI properties has functioned much like offering VIP access to The Greatest Spectacle in Racing could for a Penske casino.
The casino could also help the track; a deal could be cut as part of a local development agreement to direct some of the casino profits back to the track for improvements (such as lighting for night racing or sanctioning fees for additional races that might include a 24-hour race) that the track would not have to approach state or local governments for. An LDA that would also keep cash in the Town of Speedway for local use would also inevitably indirectly inure to the benefit of the track.
Finally, for lawmakers outside the metro donut who complain that Indianapolis always gets everything, the argument can be made that the casino could have been awarded to downtown Indianapolis, but instead was provided to the Town of Speedway (though some would contend that this is simply a distinction without a difference).
Now that we’ve effectively prepared a prospectus for the project, you should note that there had originally been talk of a casino (or even a sportsbook) at the Speedway, the Hulman George family that ran the track for generations in the pre-Penske (2020) era was largely uninterested in the prospect of a casino, although as we told you in these pages in 2019, and when you have the guy that effectively controlled the Speedway back then, former political aide and international sports domo Mark Miles (now a top Penske exec), showed up at the State House during the 2019 session to plug the omnibus gaming bill and ask to specifically reference IndyCar or motor racing sanctioning bodies among the sports wagering options in the bill to continue to advance fan interest in his sport while, as we wrote then, “assorted lawmakers were enamored of the idea of IMS benefiting from expanded spectator engagement.”
Speedway PR officials did not return our call early in the week seeking comment.
Alas, we’re also compelled to sadly remind you that a casino in Speedway would land outside the borders of the Senate districts of Sens. Freeman or Taylor, the two biggest early advocates. Instead, it would fall squarely within the Senate district represented by Sen. Mike Young (R) of Indianapolis, one of the few lawmakers who has been around since the days before the legalization of any gambling, and largely an opponent of gambling (save the legislation he once perennially introduced to legalize low-stakes home poker games), having voted against the 1993 organic legislation authoring riverboat gambling . . . though your favorite gaming newsletter has spotted Sen. Young at IMS on some race days. Rep. Renee Pack (D) of Indianapolis represents the town in the House.