Developer fighting Rosecroft sale

rosecroft at dusk

A Bethesda developer is fighting the sale of Prince George's County's bankrupt harness racing track to an owner with interest in Laurel and Pimlico racetracks.

Nathan Landow was the losing bidder in the Jan. 28 auction for Rosecroft Raceway when he couldn't meet Penn National Gaming's $10.25 million bid. Penn National is a co-owner of Laurel and Pimlico tracks and a major track operator nationwide.

But at the sale hearing last week, Landow contested the sale, saying his offer of more money in the event that gaming is allowed at Rosecroft was a better deal. A "mini-auction" was held, which pushed the price up for Penn National to $11 million.

Landow, a former Democratic Party Chairman and big-time party donor, isn't done yet. This week he filed a motion to reconsider the estate trustee's decision that less cash now is better than potentially millions later (or potentially none at all, which Landow's argument fails to note).

Landow Partners is now offering $12 million in cash, plus $3 million if the General Assembly approves a bond issue to help finance the track's operations and another $3 million if gaming becomes operational at Rosecroft.

Landow's offer of $10.05 million for Rosecroft at the first auction fell short of Penn National's by $200,000. Other than the cash, the bids were alike in every respect except Landow's offere the additional $3 million if gaming became lawful at the track. Landow said the group did not increase its bid in the final round  due to a "misunderstanding," according to Monday's court documents.


Read more at the Washington Examiner: http://washingtonexaminer.com/blogs/capital-land/2011/02/developer-fighting-rosecroft-sale#ixzz1DbHR7qKc