With construction on a $120 million mini-casino now underway at the Nittany Mall, the College Township Council is negotiating with a consulting firm to conduct a study to better understand future impacts.
Work on the casino started in mid-March, according to an email from SC Gaming CEO Eric Pearson, who said the construction process is moving forward as expected, with no hurdles encountered so far.
Fencing has been erected around the perimeter of the work site, the former Macy’s location. State College-based Poole Anderson Construction is the project’s contractor, with Pearson writing that the company has been doing a “phenomenal job” at mobilizing and keeping the project on track.
Pearson expects the casino to be open in “about a year,” unchanged from an estimate provided last year when the casino was given the green light after a series of legal hurdles that had stalled the project.
When the 24/7, nonsmoking casino does eventually open, it will contain up to 750 slot machines, 30 table games, a sports betting area, a sports-themed restaurant, a bar and several quick-serve dining locations.
At the township’s meeting last week, the council voted unanimously to enter into negotiations with Convergence Strategies Group, a New Orleans-based casino consulting firm, for a possible impact study that would explore many of the pros and cons that could arise with the casino project.
Supporters of the casino tout its economic benefits, potential to revitalize the mall and create jobs. Opponents have raised concerns about gambling addictions and placing a potential strain on first responders.
The council issued a request for quote for a consultant in the fall, with Assistant Township Manager Mike Bloom saying at an October meeting that the RFQ’s goal was to find a consultant with “specific expertise and experience with the development of multi-faceted local impact reports for high-profile, potentially impactful, commercial entertainment land developments, ideally those pertaining to gaming in comparable community settings.”
Bloom expressed confidence in Convergence at last week’s meeting, and noted that the firm was unanimously selected by the township’s evaluation committee from a surprisingly small group of RFQ submissions.
“We had a lot of interest during the initial (RFQ) process and kind of had a disappointing response in terms of submissions related to it, however, in that small group of submissions, we did receive a very good response from Convergence Strategies Group,” Bloom said. “Convergence brings in 50 years of experience in the casino, leisure and gaming industry.”
The firm has also worked with groups around the world to conduct over 450 casino impact studies for incoming casino projects.
But Andrew Shaffer, a State College Borough resident and a leader of casino opposition efforts, voiced concerns at the meeting about the consultant’s ties with casino developers.
“A quick perusal of Convergence Strategies Group’s website makes it clear that although this firm has done work for several local governments, most of the work they choose to showcase for potential clients have been done on behalf of casino developers,” Shaffer said. “The close ties between casino developers and many casino impact study consultants can cause some consults to generate studies containing biased results.”
The firm listed New York-based Saratoga Casino Holdings LLC — potentially the new partner company and majority owner for SC Gaming’s casino project — as a client on its website, Shaffer said.
Despite Shaffer’s concerns, and his request that the township continue its search for an unbiased consultant, the council unanimously voted to enter into negotiations with Convergence.
According to Bloom, while it’s too early early to determine the cost of a potential impact study, he is confident that it would come in under the township’s $100,000 project budget. If an agreement with Convergence is met, it will appear as an action item at a future township meeting.
Renovations for the casino in the Nittany Mall at the former site of Macy’s on Thursday, April 3, 2025. Abby Drey adrey@centredaily.com
A pending partnership
SC Gaming’s pending partnership with Saratoga Casino Holdings LLC is also moving forward, with Pearson writing in an email that Saratoga’s partnership application had been received, and is currently being reviewed by the Pennsylvania Gaming Control Board.
Previously, SC Gaming was partnered with Bally’s Corp. for the casino project, but in September the two companies issued a joint statement sharing that Bally’s had dropped out due to a shift in the company’s corporate strategic priorities.
The new potential partnership was announced in a press release shared by Saratoga last month, with plans for the new company to develop and manage the casino.
“We are excited to partner with SC Gaming and expand our footprint into the competitive Pennsylvania gaming market,” Sam Gerrity, CEO of Saratoga Casino Holdings LLC., wrote in the release. “This collaboration will allow us to leverage each of our strengths and deliver an unparalleled experience to our customers.”
Pearson does not anticipate the review of the application to delay the casino’s construction or opening timeline.
Jake is a 2023 Penn State Bellisario College of Communications graduate and the local government and development reporter for the Centre Daily Times. He has worked professionally in journalism since May 2023, with a focus in local government, community and economic development and business openings/closings.
