VICI Properties Inc. entered into a sale‑leaseback agreement with Golden Entertainment for the land, real property and improvements of seven Nevada casino assets—The STRAT Hotel, Casino & Tower; Arizona Charlie’s Decatur; Arizona Charlie’s Boulder; Aquarius Casino Resort; Edgewater Casino Resort; Pahrump Nugget Hotel & Casino; and Lakeside RV Park & Casino—for $1.16 billion. The transaction includes a 30‑year triple‑net master lease that begins with an annual rent of $87 million, a 7.5 % acquisition cap rate, and a 2 % rent escalation starting in lease year three. VICI will also assume and retire $426 million of Golden’s outstanding debt, using a mix of cash, forward sale proceeds and its revolving credit facility. The deal is expected to close in mid‑2026.
The acquisition expands VICI’s presence in the Las Vegas locals market, adding a 15th tenant and the fifth‑largest tenant by annualized cash rent. By adding high‑quality gaming assets in a market that is the second‑largest in the United States, VICI diversifies its tenant base and strengthens its portfolio of experiential properties—an explicit element of its long‑term growth strategy. The triple‑net structure and long lease term provide predictable, inflation‑protected income, while the 2 % escalation protects the company against rising operating costs.
Financially, the deal is immediately accretive to AFFO per share upon closing. The assumption of $426 million in debt improves VICI’s balance sheet and reduces leverage, positioning the company for stronger cash flow generation. In its most recent earnings, VICI reported earnings per share of $0.71 versus an estimate of $0.69, and revenue of $1.00 billion versus an estimate of $998.92 million. AFFO per share was reported at $0.60, a figure that fell short of the $0.71 estimate but was still close to the $0.59 consensus. Management attributed the EPS beat to disciplined cost control and a favorable mix of high‑margin properties, while the mixed AFFO result reflected the impact of one‑time charges and the timing of lease income. VICI’s guidance for full‑year AFFO was raised to $2.50 billion–$2.52 billion, reflecting confidence in the stability of its lease portfolio and the expected growth of its gaming assets.
John Payne, President & COO of VICI Properties, said the company was “excited to acquire assets in the attractive Las Vegas locals gaming market and to partner with Golden’s team.” Blake L. Sartini, Chairman & CEO of Golden, described the transaction as “the right next step in our evolution to a private company.” Charles Protell, President & CFO of Golden, highlighted VICI’s “partnership and creativity in structuring a sale‑leaseback transaction that helps us to achieve our shareholders’ objectives and unlock significant value in our real estate.” Edward Pitoniak, CEO of VICI Properties, noted that the deal “compounds the efficiency of our triple‑net model, driving AFFO per share growth and supporting dividend increases.”
Golden Entertainment’s privatization, announced on the same day, triggered a surge of more than 40 % in Golden’s stock, underscoring the market’s enthusiasm for the go‑private strategy. While VICI’s own stock reaction was not reported, the transaction aligns with VICI’s broader strategy of acquiring premium experiential properties and generating stable, long‑term income streams. The 30‑year lease term, combined with a 2 % escalation, positions VICI to capture inflation‑adjusted cash flow over the life of the agreement, reinforcing the company’s focus on predictable, high‑quality assets.
VICI’s guidance for the remainder of 2025 reflects confidence in the continued strength of its portfolio. The company expects same‑store growth driven by the expanded Las Vegas locals presence and anticipates that the new lease will contribute to a steady increase in AFFO per share. The 7.5 % cap rate on the acquisition signals an attractive return for investors, while the debt assumption reduces leverage and improves the company’s financial flexibility. Overall, the transaction strengthens VICI’s balance sheet, expands its geographic footprint, and enhances its ability to deliver consistent, inflation‑protected income to shareholders.
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