Preakness owner, Md. authority push to revamp Pimlico, shift horse racing from Laurel

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Maryland would fundamentally change its thoroughbred horse racing operating model and Pimlico Race Course, home of the annual Preakness Stakes, would receive much-needed upgrades under plans that state thoroughbred racetrack officials devised to keep the $2 billion-per-year industry alive and running in Maryland.

The plans, which are subject to state lawmakers’ approval, would temporarily relocate the Preakness Stakes and could bring a parking garage, a hotel, and an event center to Pimlico.

The recommended overhaul is part of the “framework of an agreement in principle” that the state and The Stronach Group, the Canada-based entertainment and real estate company that owns Pimlico, announced Friday. The two parties are expected to finalize an agreement in 45 to 60 days.

Belinda Stronach, chairwoman, CEO and president of The Stronach Group, said in a statement that the agreement in principle represents a first step toward “reinvigorating thoroughbred racing in Maryland.”

The future of the industry in Maryland would center on Pimlico and would likely end racing at Laurel Park, an Anne Arundel County track that opened in 1911. Racing at Laurel Park would end in about three years and then be subject to redevelopment, according to the agreement.

Members of the Maryland Thoroughbred Racetrack Operating Authority, which represented the state in negotiations with The Stronach Group, determined the state couldn’t afford to revamp both Pimlico and Laurel Park and ensure the viability of the industry.

The authority, which lawmakers established in early 2023, first met in August and was composed of appointees of the governor and top lawmakers, as well as representatives from horse industry organizations, the Maryland Stadium Authority, the Maryland Economic Development Corporation and areas surrounding Pimlico, Laurel Park, and the Bowie Race Course Training Center.

Greg Cross, a Venable LLP attorney who chairs the authority, said in a statement that the new model would “ensure the industry continues to thrive for decades to come.”

Under the agreement, The Stronach Group would retain ownership of the intellectual property for the Preakness States and the Black-Eyed Susan Stakes, which occur over the same weekend, but ownership of Pimlico and operation of the two races would go to the state.

The Stronach Group would also transfer control of all day-to-day thoroughbred racing in the state to a new state-created nonprofit operator.

The new model, which would take effect Jan. 1, 2025, would resemble the setup of the New York Racing Association, a nonprofit that operates racing on New York’s three state-owned tracks.

Plans to revamp Pimlico are expected to take several years, during which the Preakness Stakes would be at Laurel Park. The event would be at Pimlico in 2024, leave for Laurel in 2025 and 2026, and then return to an upgraded Pimlico in 2027.

Prior efforts to bolster the industry have been underfunded and fallen short. In 2020, the COVID-19 pandemic and the various economic hurdles it created complicated a $375 million plan that lawmakers had approved for improving the tracks.

The allocation isn’t enough to rebuild both Pimlico and Laurel, so state officials have centered the future of racing in Maryland on Pimlico, and the new plans don’t call for more state money.

State officials hope developments at Pimlico will put the facility on par with its Triple Crown partners, Churchill Downs in Kentucky and Belmont Park in New York.

Gov. Wes Moore, a Democrat entering his second year in office, said in a statement that he’ll be working with lawmakers and racing officials to “finalize an agreement that ensures this important industry continues to create jobs and drive economic growth.”

The Moore administration has contended that the upgraded site will leverage investment in the Park Heights community, which surrounds Pimlico and bears the brunt of the influx of Preakness Stakes attendees each May.

The revamped site would bring jobs and year-round economic activity with between 140 and 160 racing days, according to the agreement.

The state is contemplating private investment for a hotel adjoining the racetrack that would have a 1,000-seat venue for nonracing events, a 2,000-car parking garage to alleviate congestion and other land parcels available for development.

Pimlico is too small to house all of the state’s thoroughbred racing horses, so officials have also identified three potential training sites in the state — Bowie Race Track in Prince George’s County, Mitchell Farm in Harford County, and Shamrock Farm in Woodbine, a rural community within both Howard and Carroll counties.

After the state purchases and develops a training site, it would include track facilities and barns and stables for roughly 650 horses, which, combined with Pimlico, would help make up for lost stalls at Laurel Park. There are currently 1,400 stalls between Pimlico and Laurel Park.