According to reports, sports betting revenue in Illinois topped half a billion dollars in 2021. As a result, Illinois became the second-largest market for gaming revenue in the country, just behind the expanding New Jersey betting market. Based on data shared by the American Gaming Association, the state posted $525 million in sports wagering revenue as the state continues to establish its dominance in the vibrant sports betting market in the country.
In total, casino gaming revenue for the state last year topped $1.71 billion, which was a boost of at least 130% compared to 2020. Casinos in Illinois reopened after the pandemic restrictions were finally lifted in January last year. However, brick-and-mortar casinos have been the slowest to recover.
Last year, casinos and sportsbooks in Illinois generated tax revenue of close to $400 million, which was a rise of 147% compared to the same period in 2020. The state Treasury reported that it had received $327 million in taxes from operators last year. The funds generated from taxes have since been redirected to fund education programs, as well as various community projects.
As far as retail casinos are concerned, Rivers Casino continues to dominate the retail casino scene. Last year in October, almost $16.8 million was wagered, which was an all-time high for any location. Rivers Casino has been the top revenue generator, followed by Casino Queen in East Louis and Alton Argosy taking up the 3rd place position.
Record lottery sales also helped to significantly boost the state’s gaming tax revenue to $1.36 billion for 2021. The gaming tax revenue was still lower compared to the pre-pandemic period in 2019. However, the gains acquired from video gaming, lottery, and as well as the first year of sports betting almost compensated for the declines in casino revenues, which continued to drop in 2021 amid capacity restrictions and temporary casino closures.
In October last year, the state generated the 8th largest handle since sports betting was legalized on a state-by-state basis. Bettors in Illinois wagered $7.06 billion in October and set the all-time monthly operator revenue at a little under $52 million. As a result, Illinois became the 3rd state, next to Nevada and New Jersey, to surpass the $50 million mark in operator revenue.
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Illinois also reports record sports betting handle at the start of the years
This January, the Illinois Gaming Board reported a record monthly sports wagering handle of $867 million thus moving the state’s all-time betting within $250 million of the predicted $10 billion mark. The $867.5 million generated in January was the 14th highest monthly amount generated by any state after the sports betting market was legalized in 2018.
BetMGM, which debuted to coincide with the beginning of remote registration in Illinois, is what gave the Prairie State a chance at a $1 billion handle this March as a result of the NCAA Tournament, which likely spur more action. The taxes generated by the operators almost hit the $10 million mark, thus resulting in the state becoming the 3rd state to surpass $100 million in tax receipts from sports betting, just behind Pennsylvania and New Jersey.
Illinois was the quickest state to hit the $100 million benchmark of the 3 states (Pennsylvania, New Jersey, and Illinois). Illinois managed to hit the $100 million point just 22 months after debuting in the market compared to Pennsylvania which took 27 months and New Jersey, which took 32 months before it made $100 million in tax receipts.
In 2019, the gambling expansion laws also authorized the construction of 6 new casinos in the state. Of the 6 new casinos under the Rebuild Illinois Act. These approved locations for these new casinos include Waukegan, Chicago, Danville, Rockford, Walker’s Bluff, and South Suburbs. In Waukegan, Full House Resorts recently received approval from the planning and zoning commission to establish a temporary casino.
Full House has already set up a temporary casino known as the Temporary by America Palace as it develops the permanent casino resort. Both the temporary and permanent casinos will be situated on 28 acres of land, located next to the Fountain Square shopping center. The temporary casino is expected to open this July and will include approximately 1000 slot machines, 50 table games, restaurants, and a bar.
In Danville, the Golden Nugget Casino also recently received approval from Illinois Gaming to build and open a new casino in the area. As expected, GNOG and Danville will set up a temporary casino first as they construct a more permanent structure. In Wind Creek, the ground has already been broken for the construction of a casino that will feature 1350 slot machines, table games, as well as luxury eateries and restaurants.
In Williamson Country, Walker’s Bluff casino broke ground last year to construct a casino, event center, several restaurants, as well as a 116-room hotel. Walkers Bluff announced last year in March that it had selected Elite Casino Resorts to construct the first phase of the casino. Walker’s Bluff is already such a huge and popular attraction in the region and the new casino expansion is expected to attract even more visitors.
Not too long ago, Bally’s was finally approved by the Chicago City Council and Mayor Lori Lightfoot to open its casino resort in the River West neighborhood. The $1.74 billion project by Bally’s is expected to feature a theatre, a 500-room hotel tower, 3,400 slots, 170 table games, 6 restaurants, and more.
At present, Illinois has 10 riverboat casinos but none are operated by Native Americans. As such, 2 of the 6 new casinos will be owned and operated by Native American tribes. Specifically, the Hard Rock Casino located in Rockford will be under the control of the Seminole Indian Tribe of Florida. The Wind Creek casino situated in the Homewood area will in turn be controlled by the Poarch Band of Creek Indians situated in Alabama.
Final Thoughts
When the state approved sweeping legislation in 2019 to expand the betting market in Illinois, lawmakers envisioned it as a way to generate more tax revenue, thus opening the state to everything from sports betting to approving brand new casino licenses. The pandemic disrupted those plans. However, the state seems to be recovering well.
