Choctaw casino’s massive $600 million expansion is nearly ready to welcome gamblers
Traveling north on U.S. Highway 75 just past the Texas-Oklahoma border, a new 21-story tower rises from the flatlands and comes into view well before the rest of the popular Choctaw Casino & Resort.
The 300,000-square-foot Sky Tower is the latest jewel of the Choctaw Nation’s flagship property and represents a $600 million expansion that progressed despite the pandemic’s debilitating economic fallout.
When it opens to the public on Aug. 6, it’ll offer gamblers and getaway visitors 1,000 new hotel rooms, six restaurants, 11 bars and a 3-acre, two-swimming pool area designed to appeal to adults with or without children in tow. The expansion also brings in 40 new poker tables and over 3,300 new slot machines, raising Choctaw’s total to 136 tables and over 7,200 machines.
And it’ll provide 1,200 jobs for Oklahomans and North Texans.
The tower in Durant, Okla., broke ground in 2019, and despite its price tag leaves the tribe with no debt.
Choctaw and the Chickasaw Nation’s Winstar World Casino and Resort are popular destinations for North Texans, who make up a large percentage of casino visitors each year. Both are a little over 80 miles from downtown Dallas and heavily advertise on billboards throughout the region.
Choctaw estimates that two-thirds of its visitors live in Dallas-Fort Worth, while Texans represent 80% of all patrons.
“We have purposely designed our new expansion to appeal to all guests in the nearby states of Texas, Oklahoma, Louisiana and Arkansas by providing an elevated resort-style gaming experience within a short distance from home,” said Choctaw assistant general manager Wendy Carter.
Kyle Dean, director of the Native American and Urban Studies Center at Oklahoma City University, said the competition between these Oklahoma casinos lies in the attractions each offers, driving different interests to different locations.
“To some degree, they’re in competition, and to some degree, they’re complementary,” Dean said. “They create this southern Oklahoma gambling complex that draws from the captive audience that is North Texas.”
WinStar has nearly 400,000 square feet of gaming floor and over 8,600 electronic games. It’s also known for its entertainment lineup, though live events were canceled or postponed during the pandemic.
Choctaw resumes live entertainment in August, with country music headliners Dan and Shay, Miranda Lambert and Darius Rucker.
Carter said consumer demand was the key reason for the tower expansion, along with opportunities to elevate the guest experience. Hotel occupancy rates and demand for gaming were growing consistently before the pandemic and are now on the rebound as COVID-19 infection rates slow and vaccination increases.
“We are excited to see the property fulfill the demand,” said Carter, who is in her eighth year with the Choctaw Nation.
Carter said some of the jobs being added by the expansion carry a $1,000 sign-on bonus. The company has filled about half the 1,200 positions it will need.
Choctaw is also prepping for other ways to use the new addition.
Business conventions were shut down temporarily last year at the resort. But Carter said she saw a steady flow of new bookings after COVID-19 guidelines allowed reopening. Choctaw closed March 16 and reopened with COVID-19 protocols on June 1, 2020.
Before the pandemic, Choctaw tried to avoid weekend conferences and weddings, Carter said. The expansion changes that, with Choctaw looking to attract more weddings and conferences for extended weekend stays.
“We believe that our constraint before was the number of available guest rooms, so we added 1,000, and that should help us attract much higher attendance rates for conferences and things of that nature,” Carter said, noting that the hotel had 717 rooms previously.
Casey Clark, senior vice president of communications at the American Gaming Association, said the pandemic placed a significant strain on casinos across the country last year, with 989 shut down in a matter of weeks. The National Indian Gaming Commission reported gaming revenue of $34.6 billion in 2019, though comparable data for 2020 hasn’t been made public yet.
“[The pandemic] dropped game revenue for the year by over 30% year over year,” Clark said. “It impacts nearly two million jobs across the country and the small businesses they support.”
Choctaw and other tribes pay fees to the state of Oklahoma based on revenue from gaming activities. In fiscal 2020, those fees fell 16.6% to $123.6 million — the first decline since 2014. Choctaw contributed $23 million of that total.
The pandemic had a “significant negative impact,” closing casinos for several months before they were cleared to start back up at reduced capacity, according to an annual report by Oklahoma’s gaming compliance unit. Fees collected by the state had grown consistently since 2005, when voters approved tribal gaming. Choctaw opened in 2006.
The Choctaw Nation of Oklahoma consists of more than 200,000 people and operated last year with a $1.9 billion annual fiscal budget. Profits from its businesses provide educational programs, health services and job opportunities.
For now, Choctaw and other casinos are focused on winning back guests and gamblers.
Carter said Choctaw has offered vaccinations to its guests and staff and their families as one way to safeguard against the spread of COVID-19.
“We do feel ... confident that we are taking the steps to keep the business healthy and open,” she said.