VICI Properties Secures New Lease with Highfield for Alberta Racetracks
Event summary
- VICI Properties will enter a new 20-year triple-net lease with Highfield for Century Mile & Downs racetracks, with four 5-year renewal options.
- Initial annual base rent is C$10.7 million (US$7.5 million), escalating post-January 1, 2027.
- Century Master Lease will be amended to reflect the divestiture, reducing base rent by C$10.7 million but maintaining aggregate rent collected by VICI.
- Transaction expected to close in Q4 2026 or Q1 2027, subject to regulatory approvals.
The big picture
VICI Properties continues to diversify its experiential real estate portfolio by securing long-term leases with specialized operators. This deal reflects a strategic shift in Century Casinos' balance sheet management and Highfield's expansion into Alberta's horseracing ecosystem. With a growing focus on experiential sectors, VICI's lease structure ensures stable cash flows while allowing tenants operational flexibility.
What we're watching
- Execution Risk
- Whether Highfield can modernize Century Mile & Downs while maintaining operational culture and guest experience.
- Regulatory Approvals
- The pace at which regulatory approvals are secured, given the transaction's expected close timeline.
- Portfolio Strategy
- How VICI's long-term approach to partnership with Highfield impacts its broader experiential real estate portfolio.
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