Keeneland Reaches Agreement on Thunder Ridge

While it will need regulatory approval, track officials said Tuesday, Oct. 14, an agreement is largely in place for Keeneland to purchase the current Standardbred track Thunder Ridge in Prestonburg, Ky., as it moves on plans to launch a Quarter Horse meet in Corbin, Ky.

Under the plan, Keeneland would close Thunder Ridge and use the racing license to open a Quarter Horse track in Corbin, which is near the Tennessee border. That location would be attractive as the plan would call for Instant Racing machines along with full-card simulcasting and a short live meet at the new track.

Instant Racing machines look like slot machines but base payoffs on a pari-mutuel formula. They were determined to be legal by the Kentucky Horse Racing Commission in 2010. The machines have proven popular at Kentucky Downs, which also is near the Tennessee border. Tennessee does not allow casino wagering, making the Corbin location attractive for Instant Racing because of a lack of gaming competition.

The agreement on the transfer was discussed during Tuesday's meeting of the KHRC's race dates committee. During a break in the meeting, Keeneland chief operating officer Vince Gabbert confirmed an agreement is in place to purchase Thunder Ridge. An attorney from Thunder Ridge said an agreement was largely in place.

The transfer of a racing license would have to be approved by the Kentucky Horse Racing Commission. KHRC chairman Bob Beck, who also serves as the race dates committee chairman, said such a transfer would be subject to close regulatory scrutiny. Much of that scrutiny would likely fall on Keeneland's proposed partner in the deal, casino owner Full House Resorts.

Gabbert wasn't sure why a KHRC committee or sub-committee had not yet begun to review the proposed deal. Stories on the possible deal were first reported early last year.

"We're patient but we're also very enthusiastic about this project," Gabbert said. 

According to Gabbert, Keeneland has a land option agreement in place for the location of the new track and could be ready to conduct a short Quarter Horse meeting about 18 months after final approval.

The topic came up as Thunder Ridge's proposal to offer 21 Standardbred race dates in 2015 was being considered by the KHRC race dates committee. The committee requested more information on the Prestonburg track's operations before approving the 2015 Standardbred dates.