All bets are on for Sportech … but don’t expect NFL wagering before season starts
“The big question is always, ”˜When?”™”
So said Ted Taylor, president of Sportech Venues, about the details of his firm”™s arrangement with the Connecticut Lottery Corp. to be a part of the state”™s sports betting future. Announced Aug. 13, the agreement with the CLC allows Sportech to offer sports betting at its 10 OTB locations, including Bobby V”™s in Stamford and Winners in Norwalk.
The “when” revolves around the NFL, by far the preferred pastime for the sports bettor. According to the American Gaming Association, some $100 billion is wagered at licensed sportsbooks during the NFL season. Handicapping site BetFirm estimates that $4.5 billion was bet on the last Super Bowl ”” 97% of them done “in a technically illegal fashion.”
The NFL has been top of mind since this past spring, when Connecticut finally reached an agreement with its two Native American tribes over the long-contentious issue. But Taylor said that despite hopes that all legitimate processes would be in place when the NFL kicks off on Sept. 9, that isn”™t going to happen.
“No,” he told the Business Journal. “This was only just signed and certain things are going to take time. We”™re reliant on the CLC and its suppliers of new terminals, including self-service terminals, software and other technology. All of that then has to be tested. So I”™d say we”™re looking at six to eight weeks for all that to happen,” which means October.
With its exclusive license to conduct off-track, pari-mutuel betting in the state ”” which allows it to operate as many as 24 venues ”” Sportech is already operating at an advantage, Taylor said, by having offered sports betting around Connecticut “in a regulated and licensed environment for years.”
According to the Department of Consumer Protection, OTB wagering on horse and dog racing, as well as jai alai, at Sportech venues totaled $90.7 million last year, compared with $137.1 million in 2019, as Covid-19 took its toll. Taylor allowed that betting on the NFL, NBA and other major leagues would represent a significant increase in revenues, though he declined to provide an estimate.
“We see this as being a good thing for us, and a good thing for the state,” he said. “I think Connecticut will be best-in-class because you”™re going to have three competitors in the marketplace ”” retail, the casinos and the lottery. That”™s just going to benefit the customers.”
As for expanding Sportech”™s Connecticut footprint, Taylor noted that the legislation grants the CLC the right to operate up to 15 retail sports-betting locations, including one in Bridgeport.
Earlier this year, Taylor told the Business Journal that his company was considering building its own Bridgeport venue to replace its OTB at Shoreline Star Greyhound Park at 255 Kossuth St., which is currently for sale. But with the latest developments, those plans are now on hold.
“We”™re hoping to work with the CLC on (Bridgeport),” he said, “but right now it”™s not a priority for us. The landlord has been trying to sell (the Kossuth Street location) for a while and we can see an exciting new location in Bridgeport ”” it”™s definitely somewhere that deserves and will get something special.”
In fact, Sportech has no plans to expand in Connecticut for now as it works to get its sports betting operations up and running.
In the meantime, the state is still awaiting federal approval of the new arrangement with the tribes; the legislation is currently being reviewed by the Department of the Interior.
As for Sportech”™s threatened lawsuit over being initially left out of the state”™s sports-betting picture, Taylor said he”™s now willing to let bygones be bygones.
“We were not particularly happy when the legislation was first put out there,” he said. “But we ultimately were able to negotiate something that we believe works for everybody.”