Seminole Tribe Gets $315M Financing for Two Hard Rock Properties

HOLLYWOOD, FL-The Seminole Tribe of Florida has secured a $315 million, 30-year bond financing package to develop Seminole Hard Rock Hotel & Resort complexes on 100 acres of Seminole Indian Nation reservation land in Hollywood and Tampa. The funds come from Capital Trust Agency Revenue, and Hard Rock Cafe International’s parent company London-based The Rank Group, has subscribed for $25 million of the bonds. Work on the projects is already underway and both properties are expected to debut in 2004.

The Hollywood property will sit off US 441 and will consist of the requisite Hard Rock Café, a 115,000-sf casino, a 750-room, 17-story hotel, a 1,500-seat entertainment venue, and 29,000 sf of convention space. The gambling facility will replace the Seminole’s nearby 23-year-old, 74,000-sf casino, and is expected to bring in a minimum $300 million in annual revenue. The Tampa development–which will be located at Stirling Road and State Road 7 on tribal land that was formerly home to a mobile home and RV park–will feature a 250-room hotel, a 90,000-sf casino and a 1,000-seat entertainment facility. This casino also replaces a nearby Seminole gaming operation.

“These projects are not only important to the long term growth of the Tribe,” Tribal Council representative Max Osceola explains, “but are also significant economic development and tourism projects for the State of Florida.” Baltimore, MD-based Cordish Company is the developer for both projects. Hard Rock company executives appear confident that both endeavors will prove successful. “Our confidence in the project is underlined by our decision to subscribe for $25 million of the bonds,” Rank chief executive Mike Smith says. “This is an important development for Hard Rock and further supports our belief that the brand can profitably lend itself to extension within the hospitality and gaming markets.”