Weep no more, my owner. Churchill Downs, just days before the 141st Kentucky Derby, will unveil a capital improvement it hopes will turn a page and redefine the experience of horsemen who have a stake in its most celebrated races.
The project – priced at $4.2 million – centers on 20 new suites for Kentucky Derby and Oaks horse owners and their entourages. Constructed at track level under the National Historic Landmark track’s iconic twin spires and adjacent to the winner’s circle, the suites will be private and high-end and their tickets complimentary.
“These new Winner’s Circle Suites are where anyone who has ever owned or dreamed of owning a racehorse wants to be,” said Kevin Flanery, Churchill Downs Racetrack president. “We’re thrilled to make this investment.”
The suites are “exclusive,” Flanery said, and will provide “extraordinary amenities” and full-service hospitality, including a premium bar and gourmet food. Each suite will accommodate 18 guests. Seating will be open-air, covered by awnings. There will also be separate wagering options and restrooms for the suites section.
For owners of Derby and Oaks starters, the suites replace complimentary six-person clubhouse boxes in Section 318, occupying space directly above them. That section, which was not exclusive to owners, became over decades a socio-economic nexus where Arkansas hardboots and Bluegrass gentry rubbed shoulders with corporate 1 percenters, media personalities and some (reasonably) average folk. No one could ever see much of the race itself through the madding crowd, but it was the Derby, after all.
Section 318’s tradition aside, dissatisfaction with Churchill’s treatment of Derby and Oaks horsemen surfaced in the last few years. It came to a head publicly last year with complaints from Hall of Fame jockey Ron Turcotte, owner Rick Porter and, especially, Steve Coburn, co-owner of Derby winner California Chrome, who lambasted Churchill on national television in the Pimlico winner’s circle after his horse won the Preakness.
Such criticism has been tied to a growing perception by some in the racing industry that, except for Derby week, Churchill isn’t interested in the sport, and there have been public disputes in the last year between the company and horsemen and horseplayer groups.
Churchill, of course, isn’t just a racetrack anymore. It’s the flagship of a corporate parent, Churchill Downs Inc. CEO William C. Carstanjen said the facility “has evolved from the country’s most famous racetrack into one of the country’s premier racing, gaming and entertainment companies.” CDI owns and operates fi ve racetracks, six casinos, the country’s leading online betting service and communications and data-services companies that support its wagering operations. (Last year CDI (NASDAQ: CHDN) reported record net revenues of $812.9 million, a 4 percent increase over 2013, and record adjusted EBITDA of $202.5 million, up 15 percent over 2013.)
Whether prompted by horsemen dissatisfaction or not, Churchill’s new suites are, according to Kevin Flanery, “substantial investments [that] signify that we’re committed to ensuring the Kentucky Derby, Kentucky Oaks and our everyday racing product remain viable and one of the region’s major economic engines for many years to come.”
In addition to the suites, Churchill’s project includes a new courtyard and a remolded and repositioned winner’s circle. The courtyard, a lawn in front of the suites, will accommodate more than 600 temporary premium seats for Derby week and be a parklike setting for racing and entertainment events during the rest of the year.
The suites and courtyard were created from what had been clubhouse boxes and grandstand bleachers. They were designed by Populous, a Kansas City-based architectural firm whose projects include Louisville’s KFC Yum! Center and New York’s new Yankee Stadium. Their construction, which began in December, resulted in a decrease of total seating in the areas – from 3,345 before renovation to about 1,800 now.
The winner’s suites project is the latest major investment in Churchill’s efforts to upgrade and transform its facility. Since 2001, the company has spent more than $178 million on various construction, including a $121 million clubhouse and grandstand renovation completed in 2005, corporate suites, a private luxury area (with seats averaging $10,000), a grandstand terrace and a $12 million 4K ultrahigh definition video board that was installed last year.