After all, Stockton University might be able to sell the shuttered Showboat casino without being involved in any legal issues.
Back in 2014, Stockton bought the former casino venue with the aim of turning it into a college campus but the project met the fierce opposition of the casino next door – Taj Mahal, which referred to an agreement signed in 1988. According to it, the Showboat property can be used as casino only. As a result, New Jersey authorities put legal restrictions on the former casino.
However, the agreement conflicts with the restriction the previous owner of the Showboat imposed. Right before selling the property to the Stockton University, Caesars Entertainment announced that neither Stockton nor any other owner is eligible for re-opening the property as a casino.
As for the legislation introduced mere hours ago by Sen. Jim Whelan and Assemblyman Vince Mazzeo, it is to declare the aforementioned restrictions violations of the public interest. What is more, the Democratic lawmakers were determined to void them as soon as possible.
Harvey Kesselman, the current president of Stockton University, was reached for a comment and said that resolving the conflicts was among university’s top priorities.
Mr. Kesselman confirmed that the school had made a lot of efforts towards solving the issue, but the end result was not satisfactory. He also added that in order to be successful, the process for remedying the situation should be mutual. In other words, he urged Caesars or Trump to take a stance on the matter. In conclusion, he said that once the restriction is lifted, it would be easier for him to find new buyers. He did not miss to express his gratitude to Whelan and Mazzeo for taking the Showboat issue wholeheartedly.
Back in December 2014, the Showboat was officially sold to the Stockton University for $18 million. By that time, Herman Saatkamp was the president but later he resigned due to health issues. As soon as the University revealed its plans for turning the casino into a college campus, Trump executives opposed the idea and said that they do not want to have underaged people living in such a close proximity to Trump Taj Mahal.
Soon after, the Showboat found its new potential owner. The Florida developer Glenn Straub was to buy the property, but the deal was not completed because of the legal issues that have befallen the former casino.
Although Mr. Straub is still willing to acquire the property located near Revel Casino, he is reluctant to take further steps before the conflicting restrictions are resolved. The bill, proposed by Whelan and Mazzeo is expected to be reviewed by the Senate state government committee on Thursday and if approved, it will be passed to the Assembly.
