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Legal Squabble Delays Sugarhouse Expansion

By Mike Dunn

PHILADELPHIA (CBS) - The expansion of Sugarhouse was supposed to begin this summer, but a legal squabble among the casino's owners has delayed that.

Chancery Court in Delaware is the site of a civil suit between some of the local owners of Sugarhouse and the majority owner, Chicago billionaire Neil Bluhm.

At issue is who calls the shots on the planned expansion of the casino, construction of which was supposed to have already gotten underway.

A spokesman for Bluhm would not comment on the dispute, except to say all matters regarding the expansion are on hold pending the outcome of the suit. One of the local investors, attorney Richard Sprague, also declined comment.

The mayor's Commerce Director, Alan Greenberger, says the city hopes the expansion moves ahead.

"We just know that it [the lawsuit] is part of a delay and we hope that they work it out soon. If they are able to expand, both city and state revenues would be enhanced," Greenberger says.

The expansion plans announced last year were to have included a dedicated poker room, a new high limit room and an expanded gaming floor, growing from 50,000 square feet to 90,000. A seven-story garage connected directly to the casino was also planned.

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