A significant legal milestone has been achieved for the Cedar Crossing Casino & Entertainment Center, with a valuation of $275 million, as an Iowa judge ruled in favor of the validity of a 2021 gaming referendum in Linn County and confirmed the state’s decision to issue a gaming license.
Judge Michael Schilling of Iowa’s Eighth Judicial District dismissed a challenge from Riverside Casino & Golf Resort and its associated nonprofit, supporting the Iowa Racing and Gaming Commission’s (IRGC) decision from February to license the Cedar Rapids project.
“The court finds that the decision to issue a gaming license for a Linn County casino on Feb. 6, 2025, is not an erroneous interpretation of the law,” Schilling stated in his ruling.
This decision paves the way for the ongoing construction of the Cedar Crossing facility, with developers aiming for a grand opening on December 31, 2026.
“We are moving forward in full swing, and from what I understand from P2E, we are still on track for New Year’s Eve, 2026,” commented Anne Parmley, president of the Linn County Gaming Association. “We felt our case for Linn County was robust, and the judge concurred.”
The lawsuit questioned the wording of the 2021 ballot referendum, which inquired if the operation of gambling activities “may continue” in Linn County—despite the absence of a licensed casino at that time. The plaintiffs claimed the language led to voter misunderstanding and invalidated the vote.
Judge Schilling disagreed, noting: “The argument that voters were misled or confused does not sufficiently recognize the circumstances surrounding the election.” He emphasized that the vote was preceded by “extensive media coverage” and “years of community discussions.”
The IRGC’s decision to issue the license was upheld as lawful and correctly executed. Schilling indicated that the agency “fulfilled its responsibilities” by analyzing market research indicating both potential cannibalization and overall expansion in Iowa’s gaming market.
The Cedar Crossing Casino is being constructed by the Cedar Rapids Development Group, a coalition of local entrepreneurs, in collaboration with Peninsula Pacific Entertainment (P2E) based in Los Angeles. The establishment will include 700 slot machines, 22 table games, a sportsbook, plus additional amenities such as three restaurants, a 1,500-seat entertainment venue, an arts and cultural center, a children’s STEM lab, and a sports bar named after Iowa native and PGA Tour golfer Zach Johnson.
Developers have committed to a minimum property assessment of $50 million, projected to yield $2 million in annual local tax revenue, and will allocate 8% of net adjusted gross revenue to local nonprofits—more than double the state mandate of 3%.
Meanwhile, Riverside Casino has cautioned that the new facility could lead to job cuts and lower charitable contributions. Analysts predict revenue declines ranging from $28.9 million to $34 million at Riverside following the launch of Cedar Crossing.
“This presents a tremendous opportunity for Cedar Rapids,” expressed Mayor Tiffany O’Donnell. “I couldn’t be prouder of our community for persevering … and striving for the best for our city.”