Crystal Shores Casino - New GT Band Gaming Facility - Set to Open in January

More details are emerging on a new gaming facility the Grand Traverse Band of Ottawa and Chippewa Indians plans to open in Benzonia. Called Crystal Shores Casino, the facility will be significantly smaller than Leelanau Sands Casino & Lodge or Turtle Creek Casino & Hotel but will give the Tribe a gaming foothold in Benzie County, with a planned opening next month.

The Tribe first announced the facility in late November, with plans to convert the existing community center at 7282 Hoadley Road near the intersection of US-31 and M-115 highways into a casino. Tribal attorney John Petoskey gave an overview of project plans recently to Benzie County commissioners and will give a similar presentation today (Wednesday) to Benzonia Township officials. Construction on casino renovations started Monday, with a planned mid-to-late January grand opening.

According to the Tribe’s Economic Development Corporation CEO Johnny Barrientoz, the gaming floor is planned to be 2,794 square feet. That’s a relatively modest facility compared to Turtle Creek – which has a gaming floor of over 56,000 square feet – and Leelanau Sands, which clocks in at close to 30,000 square feet. Barrientoz says the Benzie casino will feature slots only at this time – no table games. A liquor license application is pending from the state, with planned beer and wine sales. However, to start “we will open without alcohol sales,” Barrientoz says. The casino will have limited food service and no live entertainment.

According to Barrientoz, the planned capacity of the new venue is a maximum of 254 guests based on Michigan’s building code. Hours of operation will be Wednesday-Sunday 9am-midnight (closed Monday and Tuesday). “Our name for the facility is Crystal Shores Casino, inspired by the beauty of nearby Crystal Lake, a landmark in the area that reflects the spirit of our community and the welcoming atmosphere we strive to create,” Barrientoz says.

Petoskey told Benzie County commissioners the scope of the new casino will remain scaled-down for the foreseeable future. “The facility is small,” he said. “We don’t anticipate expanding it.” He projected the facility will generate 20-50 jobs. The Tribe also owns property across the street from the new casino and anticipates “turning that into a parking lot if demand is sufficient,” Petoskey said.

Petoskey said the Tribe has a “long relationship” with Benzie County going back to the 1990s. Since that time, the Tribe has provided close to $4 million in two percent allocation grants to Benzie, Petoskey said. The Tribe also has a cross-deputization agreement with the Benzie County Sheriff’s Office for residents that live on the Tribe’s housing development – which has about a dozen homes – located behind the facility. Petoskey said he was meeting with local boards – and had met with the local administrator – as a courtesy “so the community is not surprised by the activities that the Tribe is undertaking” on the gaming property.

While commissioners seemed generally supportive of the project, some raised concerns about potential traffic impacts. Petoskey noted the Tribe has funded traffic improvements around its other casinos, including the roundabouts and turn lanes near Turtle Creek and turn lanes at Leelanau Sands. He acknowledged the nearby intersection at the Wesco gas station is an “odd corner,” but noted that any traffic improvements would need to be determined by a traffic study.

Barrientoz tells The Ticker the Tribe will “address the traffic impact after the opening.” He continues: “In the past, we have hired engineering firms to perform traffic impact studies to address any issues and make recommendations for improvements. This is a county road, (so) we would work directly with Benzie County and not the state of Michigan.”

Some commissioners also asked if the Tribe’s casinos create an increased need for first responders. Petoskey said the Tribe has memorandums of understanding for first responders at both Turtle Creek and Leelanau Sands and would have similar coverage for Crystal Shores Casino. “We will certainly address it,” he said.

In his presentation, Petoskey stressed the Tribe’s position on the legality of its new casino. He said the Tribe believes it has the right to offer gaming on the property under the same argument it made in a lawsuit in the late 1990s over the right to operate Turtle Creek Casino – that the casino will be located on “restored” lands and thus eligible for gaming under the Indian Gaming Regulatory Act. The Tribe won that case in court for Turtle Creek.

Petoskey said the Tribe notified state and federal officials of its plans for Crystal Shores Casino and went through a 120-day review period during which officials could raise objections. That period has since ended and no objections were raised, Petoskey said, leading the Tribe’s internal gaming commission to issue a license for the new casino in late November.

“We're very confident in our position that Benzie qualifies for restored lands,” Petoskey tells The Ticker. “We're proceeding because we haven't heard anything in opposition. We're trying to be as cooperative and transparent as possible with the local units of government and the state and the U.S. We want to get community support. We have a strong legal position, and it's one we would defend.”