Lakes Ohio Development LLC, a subsidiary of Lakes Entertainment entered an Operating Agreement with Rock Ohio Ventures I LLC and Rock Ohio Ventures II LLC to form Rock Ohio Ventures LLC. The newly formed company will engage in any activity to acquire, own, develop, mortgage, encumber, hypothecate, lease, sell, maintain, improve, alter, remodel, expand, manage, and otherwise operate and deal with part or all of the Project to develop casinos in Cleveland and Cincinnati.
Rock Ventures is a group led by Dan Gilbert, owner of the Cleveland Cavaliers, and Penn Ventures, LLC , a subsidiary of Penn National Gaming, Inc. Penn Ventures also entered into an agreement with Lakes through which it funded 10% of Penn’s costs of the Issue 3 referendum . Under the agreement Lakes has the option to a equity stake up to 10% in any casinos developed by Penn in Columbus and Toledo if it funds up to 10% of equity required for the development.