VICI Properties enters lease agreement for MGM Northfield Park

VICI Properties (VICI) announced that, in connection with MGM Resorts’ (MGM) agreement to sell the operations of MGM Northfield Park, located in Northfield, Ohio, to an affiliate of funds managed by Clairvest, VICI has agreed to enter into a new separate lease with an affiliate of Clairvest with respect to the real property of Northfield Park and also enter into an amendment to the master lease between VICI Properties and MGM Resorts. The Northfield Park Lease will have an initial annual base rent of $53M, and if closing occurs after May 1, 2026, such base rent shall be $54M, reflecting the 2% annual escalation provided for in the MGM Master Lease. Upon closing, the Northfield Park Lease will begin a new 25-year lease term with three 10-year renewal options. The other terms of the Northfield Park Lease will be substantially the same as the MGM master lease, including escalation of 2% per annum and a minimum capital expenditure requirement equal to 1% of annual net revenue. The Northfield Park Lease will be guaranteed by an affiliate of funds managed by Clairvest that will own the operations of Northfield Park. VICI Properties has also agreed, in accordance with, and as contemplated by, the terms of the MGM master lease, to amend the MGM master lease to account for MGM’s divestiture of the operations of Northfield Park, which will result in a reduction of the annual base rent under the MGM master lease by $53M.