Pittsburgh Slots Casino Developer Doesn't Have Enough Cash YetDon Barden Building Majestic Star On City's North ShorePOSTED: 9:20 am EDT June 11,
2008 PITTSBURGH -- Contractors said Don Barden, the developer of Pittsburgh's slot machine casino, is behind on payments and they want their money by Monday in order for work to continue as planned on the North Shore.Keating Construction chairman Dan Keating III, the general contractor on the job, told WTAE Channel 4's news exchange partners at the Pittsburgh Tribune-Review that Barden had until June 13 to pay up, and then a grace period was extended until June 30.Barden and the contractor will meet at the work site on Monday. Keating told the Trib that he believes Barden will be able to line up the necessary funds.Speaking before the Pennsylvania Gaming Control Board earlier this month, Barden said costs have been rising and he doesn't have enough money to finish construction on his new Majestic Star casino. But he also told the board that he's not worried about getting the funds in place.Barden told the board he will need another month to put it all together, saying the project is not in trouble and he still expects to open his casino by the target date of May 2009.He had been summoned to the board meeting to answer questions about his $780 million financing plan for the project."It's moving along at just a terrific pace," Barden told the board, adding that he couldn't provide specifics about how he would line up the money, according to the Trib.Last month, the gaming board postponed a public hearing on the casino financing, at Barden's request.When considering construction at the site as an indicator of the project's progress, the Majestic Star Casino seems to be coming along just fine, Channel 4 Action News reporter Jon Greiner said.Project spokesman Bob Oltmanns told Channel 4 Action News that about 70 percent of the steel is in place already."The parking garage is also well under way. We've got several hundred people at work over there, working pretty much nonstop since we began construction back in mid-December. We're on schedule to open in mid-May of 2009," Oltmanns said.Delays arose amid lawsuits from several North Shore tenants and the companies that lost out on the casino license delayed construction by about a year, which means the casino will cost millions more than first anticipated.For that reason, Barden has asked for changes, such as a delay in constructing what was to be an $8 million ballroom and banquet facility. Barden told board members he expects to have a financing plan in place before their next meeting on July 10."This really is going to be the showcase of Mr. Barden's casino operations around the country," Oltmanns said. "It's going to be, by far, the largest of his casino operations and it really is going to be a first-class facility that is something everybody in Pittsburgh can be proud of." Previous Stories:
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