Gambling facility in the works in Henrico draws rebuke from county supervisor

HHR1

A rendering of the gambling facility that Churchill Downs is planning at the Staples Mill Shopping Center at Staples Mill Road and Glenside Drive. (Images courtesy Henrico County)

The owner of Colonial Downs and Rosie’s Gaming Emporium has drawn criticism from a Henrico supervisor who said the company circumvented an update to zoning rules by submitting plans for a gambling facility in the county before the new rules could take effect.

Churchill Downs Inc., which owns the New Kent County racetrack and the seven Rosie’s off-track horse-betting parlors across Virginia, filed plans last month to convert part of the Staples Mill Shopping Center into a casino-like parlor with 175 “historical horse racing” game machines, along with a restaurant and bar.

The facility is set to fill a nearly 25,000-square-foot space between a Virginia ABC store and Subway restaurant at the western end of the shopping center’s main building at Staples Mill Road and Glenside Drive. The currently vacant space previously housed a Surplus Furniture & Mattress store.

The property’s B-2 business district zoning allows historical horse racing machines and so-called “parimutuel wagering” as a by-right use with a maximum of 175 machines. More than that would require a provisional-use permit from the county, a process that also would require a public hearing.

HHR4

The space planned for the gambling facility previously housed a Surplus Furniture & Mattress store. (Jonathan Spiers photo)

Henrico was in the process of updating its rules to require a PUP for any such facility, regardless of the number of machines, when Churchill Downs started submitting applications for its project. An ordinance amendment was initiated May 9 and required two hearings and public notice periods before county supervisors could vote to approve it, which they did at their June 25 meeting.

But the rule change came a week after Churchill Downs – through its Colonial Downs Group LLC – had submitted an application for a building permit for the project, on June 18. Because it was submitted before the change took effect, the application is considered “grandfathered” and exempt from the PUP requirement.

The turn of events has drawn the ire of Brookland District Supervisor Dan Schmitt, who represents the area where the project is planned and publicly denounced its timing before the June 25 vote.

“When this jurisdiction states the fact that we’re going to look into this and enact an ordinance that would allow the public to be able to weigh in, that is a publicly known entity and it’s out there that that’s what we’re working on, for weeks or months,” Schmitt said.

Confirming with staff that a plan had been filed “to beat tonight’s deadline,” Schmitt described the effort: “In an order to circumvent the ordinance that we’re working on tonight, I would surmise.”

Schmitt

Henrico Supervisor Dan Schmitt during the June 25 meeting. (Screenshot)

Schmitt went on to say that the same group, before Churchill Downs acquired Colonial Downs and Rosie’s in 2022, had approached him and the county several years ago with a proposal for a similar facility in a different location – near the Top Golf in Henrico’s Westwood area. He said concerns were shared about the concept and location and that the group said it wouldn’t go anywhere it’s not wanted.

“Fast-forward to today, and we now have a filing while we’ve been under public responsiveness on this issue, to try to jam this business into the location prior to an ordinance being enacted,” he said.

Maintaining that such a project should be subject to public input and engagement, Schmitt called on Churchill Downs – without referring to it by name – to withdraw its application and refile it under the PUP process.

“Why? Because the same people that this group intends to ‘serve’ deserve it,” he said. “These folks of this county weigh in during PUP process on far less-intrusive items, including hours a store can operate, and the residents that at least I represent deserve the right to weigh in if there’s going to be a gambling establishment in their neighborhood.”

Schmitt added: “The applicant has an opportunity here to show their awareness of what it takes to be a trusted community partner and participate in the public process for those they wish to serve.”

As of Friday, Churchill Downs’ application remained filed with the county and listed as “in review.”

Tonya Abeln, vice president of communications for Churchill Downs, said Friday that the application is in a preliminary stage and that the group had no further comment to offer at this time. Abeln did not respond to a question asking if the group intends to withdraw and refile.

The group is represented locally by Hunton Andrews Kurth attorney Travis Hill. Hill did not return a call Friday seeking comment.

HHR2

An aerial view of the venue, which would be housed between a Subway restaurant and Virginia ABC store.

Schmitt later said he isn’t opposed to gambling but rather to the concept and proposed locations for the facility, which he said would be similar to a Rosie’s but would bear a different brand.

While Henrico voters narrowly approved on- and off-site betting in the county in a petitioned-for referendum in 1992, Schmitt said voters had no say on historical horse racing machines, which he likens to slot machines, when the General Assembly allowed them in 2018.

“It’s most definitely not the ‘use’ or purpose I’m opposed to – quite frankly gambling in general has been an ever-evolving topic in our region and I’m not opposed to it in concept,” Schmitt said in an email to BizSense. “I am opposed to the by-right implementation of it, thus my support of the ordinance the other night.”

Schmitt added: “It has been made clear to the applicant that not just me, but each of the five members of the Board don’t support the action of filing while the public process was in motion. That type of action is, in my opinion, not the way to launch a relationship with the County.”

The plans filed with the county describe a tenant upfit involving a single-level space with a partial mezzanine. The Subway would remain, and the adjacent House of Vapes would be relocated to the front of the building.

Churchill Downs would lease the space from the shopping center’s owner, an LLC tied to Richmond resident Marianne Metzger. CBRE’s Pam Strieffler, Wood Belcher and Ian Webster represented Churchill Downs in lease negotiations. Thalhimer’s Jim Ashby handles leasing at the center.

Churchill Downs is working with SOSH Architects out of Atlantic City, New Jersey. The mechanical, electrical and plumbing engineer is New Jersey-based Concord Engineering, and the structural engineer is Philadelphia-based O’Donnell & Naccarato. Richmond-based Timmons Group is the civil engineer.

The plans list CK Bosworth Construction as the general contractor. Crabtree McGrath Associates out of Massachusetts is listed as the food service operator and New Jersey-based M. Malia & Associates as handling security/surveillance.

HHR1

A rendering of the gambling facility that Churchill Downs is planning at the Staples Mill Shopping Center at Staples Mill Road and Glenside Drive. (Images courtesy Henrico County)

The owner of Colonial Downs and Rosie’s Gaming Emporium has drawn criticism from a Henrico supervisor who said the company circumvented an update to zoning rules by submitting plans for a gambling facility in the county before the new rules could take effect.

Churchill Downs Inc., which owns the New Kent County racetrack and the seven Rosie’s off-track horse-betting parlors across Virginia, filed plans last month to convert part of the Staples Mill Shopping Center into a casino-like parlor with 175 “historical horse racing” game machines, along with a restaurant and bar.

The facility is set to fill a nearly 25,000-square-foot space between a Virginia ABC store and Subway restaurant at the western end of the shopping center’s main building at Staples Mill Road and Glenside Drive. The currently vacant space previously housed a Surplus Furniture & Mattress store.

The property’s B-2 business district zoning allows historical horse racing machines and so-called “parimutuel wagering” as a by-right use with a maximum of 175 machines. More than that would require a provisional-use permit from the county, a process that also would require a public hearing.

HHR4

The space planned for the gambling facility previously housed a Surplus Furniture & Mattress store. (Jonathan Spiers photo)

Henrico was in the process of updating its rules to require a PUP for any such facility, regardless of the number of machines, when Churchill Downs started submitting applications for its project. An ordinance amendment was initiated May 9 and required two hearings and public notice periods before county supervisors could vote to approve it, which they did at their June 25 meeting.

But the rule change came a week after Churchill Downs – through its Colonial Downs Group LLC – had submitted an application for a building permit for the project, on June 18. Because it was submitted before the change took effect, the application is considered “grandfathered” and exempt from the PUP requirement.

The turn of events has drawn the ire of Brookland District Supervisor Dan Schmitt, who represents the area where the project is planned and publicly denounced its timing before the June 25 vote.

“When this jurisdiction states the fact that we’re going to look into this and enact an ordinance that would allow the public to be able to weigh in, that is a publicly known entity and it’s out there that that’s what we’re working on, for weeks or months,” Schmitt said.

Confirming with staff that a plan had been filed “to beat tonight’s deadline,” Schmitt described the effort: “In an order to circumvent the ordinance that we’re working on tonight, I would surmise.”

Schmitt

Henrico Supervisor Dan Schmitt during the June 25 meeting. (Screenshot)

Schmitt went on to say that the same group, before Churchill Downs acquired Colonial Downs and Rosie’s in 2022, had approached him and the county several years ago with a proposal for a similar facility in a different location – near the Top Golf in Henrico’s Westwood area. He said concerns were shared about the concept and location and that the group said it wouldn’t go anywhere it’s not wanted.

“Fast-forward to today, and we now have a filing while we’ve been under public responsiveness on this issue, to try to jam this business into the location prior to an ordinance being enacted,” he said.

Maintaining that such a project should be subject to public input and engagement, Schmitt called on Churchill Downs – without referring to it by name – to withdraw its application and refile it under the PUP process.

“Why? Because the same people that this group intends to ‘serve’ deserve it,” he said. “These folks of this county weigh in during PUP process on far less-intrusive items, including hours a store can operate, and the residents that at least I represent deserve the right to weigh in if there’s going to be a gambling establishment in their neighborhood.”

Schmitt added: “The applicant has an opportunity here to show their awareness of what it takes to be a trusted community partner and participate in the public process for those they wish to serve.”

As of Friday, Churchill Downs’ application remained filed with the county and listed as “in review.”

Tonya Abeln, vice president of communications for Churchill Downs, said Friday that the application is in a preliminary stage and that the group had no further comment to offer at this time. Abeln did not respond to a question asking if the group intends to withdraw and refile.

The group is represented locally by Hunton Andrews Kurth attorney Travis Hill. Hill did not return a call Friday seeking comment.

HHR2

An aerial view of the venue, which would be housed between a Subway restaurant and Virginia ABC store.

Schmitt later said he isn’t opposed to gambling but rather to the concept and proposed locations for the facility, which he said would be similar to a Rosie’s but would bear a different brand.

While Henrico voters narrowly approved on- and off-site betting in the county in a petitioned-for referendum in 1992, Schmitt said voters had no say on historical horse racing machines, which he likens to slot machines, when the General Assembly allowed them in 2018.

“It’s most definitely not the ‘use’ or purpose I’m opposed to – quite frankly gambling in general has been an ever-evolving topic in our region and I’m not opposed to it in concept,” Schmitt said in an email to BizSense. “I am opposed to the by-right implementation of it, thus my support of the ordinance the other night.”

Schmitt added: “It has been made clear to the applicant that not just me, but each of the five members of the Board don’t support the action of filing while the public process was in motion. That type of action is, in my opinion, not the way to launch a relationship with the County.”

The plans filed with the county describe a tenant upfit involving a single-level space with a partial mezzanine. The Subway would remain, and the adjacent House of Vapes would be relocated to the front of the building.

Churchill Downs would lease the space from the shopping center’s owner, an LLC tied to Richmond resident Marianne Metzger. CBRE’s Pam Strieffler, Wood Belcher and Ian Webster represented Churchill Downs in lease negotiations. Thalhimer’s Jim Ashby handles leasing at the center.

Churchill Downs is working with SOSH Architects out of Atlantic City, New Jersey. The mechanical, electrical and plumbing engineer is New Jersey-based Concord Engineering, and the structural engineer is Philadelphia-based O’Donnell & Naccarato. Richmond-based Timmons Group is the civil engineer.

The plans list CK Bosworth Construction as the general contractor. Crabtree McGrath Associates out of Massachusetts is listed as the food service operator and New Jersey-based M. Malia & Associates as handling security/surveillance.

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Kim Parson
Kim Parson
4 months ago

How do we vote no for a casino, twice, and yet allow unregulated slot machines all around the Commonwealth?!? With casinos, the government dictates how much they must give back – so say 20% must go back to patrons. It can be with comps, with actual money won, etc, but there is a regulated amount that has to be distributed. That is not the case with these slot halls. These are the exact things we should be voting against, the parasites of the community, not an actual entertainment venue like a casino.

Shawn Harper
Shawn Harper
4 months ago
Reply to  Kim Parson

I would oppose this if I lived there, and I don’t want another such cigarettey place that will just attract locals and not bring any net benefit to the county in the region, but this is not Richmond’s jurisdiction. As far as letting gambling happen, well, one thing we have learned is “people gonna gamble” — the more things you ban that people will find a way to do, the more you open doors to organized crime and corruption of even law enforcement, and eventually disrespect for law itself. The way we have dealt with such problems is to allow… Read more »

David Browne
David Browne
4 months ago
Reply to  Kim Parson

Henrico literally voted (in a referendum in 1992) to allow this. It’s right in the article. I personally have zero desire to go to any of these places, but the idea that what Churchill Downs is doing is underhanded or “undemocratic” is preposterous.

Brett Themore
Brett Themore
4 months ago

Sounds like Dan got beat and doesn’t like it. Folks got a business to run, and Dan’s been a supervisor for 5 years, If this was such an issue, maybe it shouldn’t have taken so long to get the it changed. Seems petty to me.

Michael Boyer
Michael Boyer
4 months ago

Who has the money to gamble these days?

Michael Boyer
Michael Boyer
4 months ago
Reply to  Michael Boyer

How convenient,ABC store.

Stephen Weisensale
Stephen Weisensale
4 months ago
Reply to  Michael Boyer

LOL, lose the kid’s college money, go next door to buy booze to cry into.

Michael Boyer
Michael Boyer
4 months ago

The place(Emporium)might be BOB ,all exclusive.

Martha Lee
Martha Lee
4 months ago
Reply to  Michael Boyer

Good point. Sadly, gambling is predatory. Just like Check Cashing “businesses”. Most people gambling don’t have the money to gamble with. This is a shame.

David Adler
David Adler
4 months ago

Dan has been a great advocate for the people in his district. Their voice deserves to be heard. Changes to zoning regulations take time as a matter of course and it is common practice to have the applicant defer the application until after the change has been decided upon.

David Browne
David Browne
4 months ago

It sounds to me like Churchill Downs complied with the law and simply timed their actions to ensure consideration before any change in the zone ordinance. I don’t see any issue with this, although I’m sure the petty tyrants running Henrico’s government will do everything possible to make the process miserable.

Ricky Segers
Ricky Segers
4 months ago
Reply to  David Browne

Aren’t you a bankruptcy attorney? Of course you’d love to see another gambling parlor in Henrico!

Last edited 4 months ago by Ricky Segers
Lonzo Harris
Lonzo Harris
4 months ago

No to a Casino with 1500 jobs and maybe another company that wants to be around the casino and bring in more jobs, but these places you don’t even get to vote on.

Dave Kolmer
Dave Kolmer
4 months ago

I am totally opposed to this coming here! This area of Henrico seems to be going from bad to worse.

Kristi Decker
Kristi Decker
4 months ago
Reply to  Dave Kolmer

Agreed!

Linda Willis
Linda Willis
4 months ago
Reply to  Dave Kolmer

I live in this community. Take a drive down many of the single famiy neighborhoods. This community does not need a “casino” with a bar, next door to an ABC store and a Sheetz behind this location (who will more than likely sell beer) will change . Thanks, Dan for speaking out against the casino. And continue to keep your constituents informed about this! And thanks Skyler – we need your help.

George MacGuffin
George MacGuffin
4 months ago
Reply to  Linda Willis

But.. but… Sheetz is the pinnacle of civilization! They more than met a bar set impossibly high: clean bathrooms, a large quantity of fueling bays, and made to order Chicken Stripz ™️ .

Brian Glass
Brian Glass
4 months ago

I need to respond to David Browne’s reference to “: Petty tyrants running Henrico….” I have lived, in my 81 years, in New York City, New Jersey, Central Pennsylvania, the City of Richmond and Henrico County. Without any equivocation, from my experience, Henrico County is the best managed government entity that I have ever lived in! Name any jurisdiction, other than Henrico, that in addition to lowering its tax rate also sent taxpayers a refund check. I’m a Commercial Real Estate Broker and I can attest to the fact that Henrico is a business-friendly community that’s forward thinking. In recent… Read more »

Stuart Squier
Stuart Squier
4 months ago
Reply to  Brian Glass

Agreed. I’m a land use consultant and have brought PUP and building permit apps through Henrico’s processes and they always go smoothly and efficiently. Moreover I’ve never heard anyone say that a public hearing and vote by elected officials is tyranny, that’s um, certainly a statement.

David Browne
David Browne
4 months ago
Reply to  Stuart Squier

You realize that the state and local laws that Churchill Downs is complying with in its application were subject to public hearing and a vote by elected officials, right? At both the county and state (General Assembly) levels. It’s right in the article.

Stuart Squier
Stuart Squier
4 months ago
Reply to  David Browne

The property’s B-2 business district zoning allows historical horse racing machines and so-called “parimutuel wagering” as a by-right use with a maximum of 175 machines.” A by-right use means there is only an administrative approval process, no public hearing or vote is required. That’s the whole reason they filed their application when they did, so they could avoid the new process which would open them up to public input. It’s right in the article.

David Browne
David Browne
4 months ago
Reply to  Stuart Squier

Right. So they complied with the existing zoning ordinance at the time of their application, to mitigate the regulatory risk of changes to the zoning ordinance. A concept I would assume you’re familiar with if you’re a “land use consultant.”

Shawn Harper
Shawn Harper
4 months ago
Reply to  Brian Glass

Thank you.

David Browne
David Browne
4 months ago
Reply to  Brian Glass

If your frame of reference is “New York City” and “New Jersey,” I can understand why you’d think Henrico is great. You should look deeper and beyond zoning and land use, though.

Wes Morgan
Wes Morgan
4 months ago
Reply to  Brian Glass

I will say that it’s honestly impressive that a county the size of Henrico is able to keep its real estate tax rate so low (in comparison).

Jim Jones
Jim Jones
4 months ago
Reply to  Brian Glass

It was until the current folks running the show………

ebony stone
ebony stone
4 months ago

We do not need that in this community. We need shopping or a nice lively restaurant. That area can be so much more, but not gambling. People in the area more than likely won’t even use the facility. It will draw people from other areas, which are crowd’s we don’t need. This area is very family oriented.

Martha Lee
Martha Lee
4 months ago
Reply to  ebony stone

Agreed. Gambling does not lift up a community. Period.

Michael Boyer
Michael Boyer
4 months ago
Reply to  Martha Lee

Gambling addiction is more serious than people realize.

Wes Morgan
Wes Morgan
4 months ago
Reply to  Michael Boyer

It has become a genie out of the bottle sadly. I see numerous people addicted to easy-to-access sports betting.

Debbie Rowe
Debbie Rowe
4 months ago

Richmonder’s learned that Churchill Downs does not operate in good faith. They’re not interested in uplifting the Brookland District, only in improving their bottom line.
Who in the Brookland community asked for a predatory gambling parlor?

Ronnie Childs
Ronnie Childs
4 months ago

I know Henrico is going to do whatever it wants, so we should just get used to the idea of having this facility in the county. But many years of observation tells me the net effect of gambling parlors is to make poor people poorer and the rich richer.

Doug Gilliam
Doug Gilliam
4 months ago

So I find it very interesting all the people who are against allowing this business. The company legally filed for it and did nothing wrong. I have a problem with all the people who are against gambling in this and that when it comes to casinos or gaming, machines gambling is gambling. It’s no different than buying a handful lottery tickets Even when that money supposedly is to help schools and whatever but does it really? Also, I find it very hypocritical so many people gamble in different ways. It’s no different than having a fan duel or Draft king… Read more »

Michael Boyer
Michael Boyer
4 months ago

Do these places give comps.Meals, cocktails,etc.on the house if you’re playing games.