Categories: News & Updates

A downtown Indianapolis casino might be a huge success for Indiana. Here is why it is a difficult sell.

Despite a recent research forecasting that a downtown casino would capture hundreds of millions of dollars that existing sites leave on the table, the state’s top lawmakers are skeptical of Indianapolis’ need for a casino.

Instead, some Central Indiana legislators want to move a gaming license from Indiana’s worst-performing casino to the report’s No. 2 alternative, a place near Fort Wayne.

That location would generate less than half of the total revenue and around one-third of the tax money as an Indianapolis casino. But what’s the advantage? The downtown Indianapolis facility would take away ten times more revenue from Indiana’s other casinos.

The analysis provides fodder for both sides in a battle that is set to take place during the 2026 legislative session, with a significant addition to downtown Indianapolis’ entertainment industry hanging in the balance. Neither city can build a casino without legislative consent, as lawmakers control the site of the state’s gambling licenses.

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Legislators will be forced to make a difficult decision: they can maximize tax dollars by choosing an Indianapolis location that caters to Central Indiana residents and downtown visitors with disposable income. Alternatively, they can provide an economic boost to the less populous northeast Indiana region while minimizing harm to the state’s other casinos, particularly two neighbouring “racinos” in Anderson and Shelbyville, which support a substantial horse racing sector.

How does the Indianapolis casino compare to the Fort Wayne site?

The Indiana Gaming Commission commissioned the study after State Sen. Andy Zay, a Republican from northeast Indiana, led an unsuccessful effort last session to close Ohio County’s underperforming Rising Star Casino Resort and open a new one in a Fort Wayne neighbourhood.

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Why are Indiana lawmakers skeptical about a downtown Indianapolis casino?
They believe it could harm other state casinos despite its high revenue potential.

What alternative casino location are legislators considering?
A site near Fort Wayne, which is Indiana’s second-best option in the study.

How would the Fort Wayne casino compare financially to the Indianapolis one?
It would generate less than half the revenue and one-third of the tax money of an Indianapolis casino.

Why might lawmakers favor the Fort Wayne site over Indianapolis?
It would reduce negative impacts on existing casinos, especially those in Anderson and Shelbyville.

Who initiated the proposal to relocate the gaming license to Fort Wayne?
State Sen. Andy Zay, a Republican from northeast Indiana.

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