Mohegan Sun Massachusetts -
Fiscal and Economic Impact Analysis
Community Opportunities Group, Inc. | Jeffrey Donohoe Associates |INTRODUCTION
On behalf of the Mohegan Tribal Gaming Authority, Beals and Thomas, Inc., retained CommunityOpportunities Group, Inc. (COG) and Jeffrey Donohoe Associates (JDA) to prepare an economic and fiscalimpact analysis of a proposed casino gaming facility in Palmer, Massachusetts. The project includes a 319,000square foot casino with a 224,000 square foot hotel (300 rooms), a second hotel with an indoor/outdoor waterpark and 300,000 square feet of retail space including an eight screen Cineplex. The Mohegan SunMassachusetts project will be developed on a 150-acre site near Exit 8 of the Massachusetts Turnpike. Thetotal estimated development cost is $678.5 million, although this estimate does not include all developmentcosts. The estimate of $678.5 million includes hard construction costs and traditional soft costs (permitting,design, etc.), the project will incur a number of additional expenses which will increase the overall cost, suchas land acquisition, licensing, financing and associated costs.
Approach and Methodology
The consulting team’s scope of work included the following tasks:
Definition of geographic study area.
In consultation with the Town’s peer review consultants, the“study area” has been defined as Palmer (first tier); the nearby towns of Ludlow, Wilbraham,
Belchertown, Ware, Warren, Brimfield, Monson, Sturbridge, and Southbridge (second tier); and thecities of Springfield and Chicopee to the west (third tier)).
Socioeconomic assessment of the study area
. The assessment covers population characteristics,social resources, economic resources, and cultural and community institutions, focusing primarily onPalmer and, as appropriate, other communities in the study area.
of selected scholarly and professional research on the local and regional impact ofcasino gaming.
Interviews with town departments
and review of data provided by the Town.
Site visits to comparable casino gaming facilities
in other states (three in Pennsylvania, one inMichigan and one in Minnesota).
Estimate of direct, indirect, and induced
to be generated by the project.Estimate of demands on local government services, the associated cost of those services, and local revenuesgenerated by the project
that is, the project’s
on Palmer. The conclusions of the