By: Tim Seaman
tseaman@kcautv.com
Branding and location are important parts of Sioux City's land based casino projects. But there's much more to the proposals.
On Monday Tim Seaman sat down for a one–on–one interview with Lance Morgan, Director of Warrior Entertainment. He started by asking Mr. Morgan if he thinks Warrior Entertainment has been underestimated by it's larger casino competitors.
"Oh I think we're a company that's underestimated a lot and we're used to it and we even kind of like that really," said Morgan.
Some people have said that Ho–Chunk Inc., a partner in the Warrior project, already has a casino in the market. Why do they need a second one?
"There is a Burger King in South Sioux City and there's one by the mall I like them both," commented Morgan. "When it comes to economic development expansion is the normal course. It's part of capitalism and the American system. I think WinnaVegas started very modestly and it built up to the point that it helped start Ho–Chunk Inc. Now Ho–Chunk Inc can expand it's gaming operation. That's the American system that's the American dream. Capitalism at work."
When comparing numbers between the four casino proposals, Warrior Entertainment's are on the low side. It projects $75 million in first year gaming revenue and only 3 percent return the first year to Siouxland Strong, it's non–profit partner.
Morgan says there's a reason for that.
"I think our numbers are on the conservative side. What I worry about in this situation is when people over promise and under perform. That's not what we're going to do. I think people understand with our project there's a significant increase over the boat with a 20 percent increase. Some are saying 50 percent but I don't think that's realistic."
When it comes to local investors, Warrior Entertainment's numbers are on the high side. Morgan says 70 percent of Warrior Entertainment's investors are local adding that's something the state intended when it first approved gambling in the state.
"When Iowa started gambling it was pretty much clear it was local. Nobody anticipated big casino companies would come in. People realize that's probably not what was anticipated and maybe not even a good thing from an economical standpoint," Morgan said .
Seaman asked Morgan what has to happen between now and April when IRGC hands out a license.
"The longer it takes the more it works in our advantage. Some of the competitors have big names and big corporate presence. I think the more people realize what the Warrior has to offer and what the local element is, I think the more chance we have of winning the thing because it makes more sense in the end."
