The Maryland Stadium Authority board of directors April 20 gave near-unanimous approval to spending $48.5 million to purchase Laurel Park for use as a training center.
The move, which ratifies a purchase agreement hammered out between Stadium Authority staff and the Stronach Group/1/ST Racing, would give the Stadium Authority ownership of the entire Laurel racing facility, including the racing strips, barns, grandstand, and paddock. It does not include a separate property along Brock Bridge Road.
With the approval, the agreement now heads to the state Legislative Policy Committee, a joint standing committee of the General Assembly, which has a 45-day review and comments period. Assuming no major issues, it would then head to the Board of Public Works for final approval June 17.
The agreement envisions a closing date of June 29. Either party can terminate the agreement up to June 1.
Laurel is slated to host this year's Preakness and continue to operate as a racetrack in 2027. The Preakness is scheduled to be held at Pimlico Race Course next year, though the grandstand will not yet be open.
Gary McGuigan, MSA executive vice president, told the board that he expects purchasing and transforming Laurel—earlier reports had indicated that virtually all structures on the grounds should be demolished—will cost $120 million of the approximately $540 million the Authority expects to spend on the combined Pimlico-Laurel projects.
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That compares favorably with the "more than 220" that Shamrock Farm, the prior target as training center, would have ultimately cost.
"Laurel is better positioned to be transformed into the future training center for the state," McGuigan said during the meeting.
The $48.5 million purchase cost does not include an earlier $3.5 million payment the MSA made to 1/ST to lease Laurel for use as the training center in 2028. That payment, made under terms of the initial deal agreed to by 1/ST and the Maryland Thoroughbred Racetrack Operating Authority, occurred Jan. 20, and on that same day, the MSA and 1/ST signed a letter of intent to negotiate the sale of the Laurel property.
"The three-and-a-half million dollars was to incentivize Stronach to stay at the table to get to this point today," McGuigan said.
In terms of the overall project, McGuigan said that the cost risk "is greatly behind us" at Pimlico. The major outstanding item of uncertain cost, he said, is the clubhouse, "which is the biggest risk exposure, but that is moving into schematic design."
Many horsemen have preferred to keep Laurel at least as a training center versus shifting to Shamrock Farm. In addition, keeping the property for racing likely provides the Maryland Jockey Club future flexibility to race at Laurel in a pinch—if, for example, issues arise at Pimlico—or to use its ultra-wide turf course for brief turf-oriented race meetings.
"We kicked the tires on Laurel many, many times, and never thought it was a realistic possibility," said board member Bill Cole, who has been involved in this project from the city and state side since the initial proposals came together in 2019-20. "And obviously, through a turn of events in the last year, it became an option, and it certainly is the preferred option for training for the majority of the Maryland horse community ... I'm excited that this has come together."
The vote was unanimous but for one abstention.
Frank Vespe writes for The Racing Biz. For more Mid-Atlantic racing coverage, visit theracingbiz.com.
