Showboat Closing
FILE - In this Wednesday, July 23, 2014 file photo, the Showboat Casino Hotel is seen along the Boardwalk in Atlantic City, N.J. The casino is due to close on Sunday, Aug. 31, 2014, one of three Atlantic City casinos shutting down over the next few weeks, along with Revel and Trump Plaza. Caesars Entertainment spokesman Gary Thompson told The Associated Press that Caesars officials were showing the Showboat on Tuesday afternoon to a party that had expressed interest. (AP Photo/Mel Evans, file)
(Mel Evans)
Richard Stockton College of New Jersey has purchased the former Showboat casino in Atlantic City and will use it as a new campus, the school announced Friday.
Purchased for $18 million, the new campus will be used to "spur economic development and community development" in the city, according to the school.
The school used money from its Investment Fund to purchase the 1.73 million-square-foot building from Caesars entertainment.
It will be knows as the Stockton-Island Campus, which will include 852 rooms for student housing in the building's Tower 2 and Tower 3, dining, parking and recreational facilities.
The property's Tower 1 will most likely continue to operate as a hotel with 479 rooms, restaurants and entertainment available there.
The hotel portion is expected to be ready and operating by late spring 2015, according to Stockton representatives, with summer session classes to follow and full academic programs beginning in fall 2015.
"Stockton's acquisition of the Showboat exemplifies the efforts of the governor and legislative leadership to bolster Atlantic City's non-gaming offerings. The diversification of activities available in AC stands to benefit all of the city's stakeholders," Gray Loveman, Chairman and CEO of Caesars Entertainment said in a written statement.
The former casino floor is expected to be transformed into an area for academic, administrative and community uses including 20 mixed-use classrooms, 10 lecture facilities, music, dance and choral instruction rooms, an experimental theatre and a dance studio.
"Stockton is committed to southern New Jersey's continued social and economic development," said President Herman Saatkamp. "Our roots officially began at the former Mayflower Hotel in Atlantic City, and as our campus has expanded, so has our mission to provide higher education, research and community partnerships that enhance the region and state."
The hotel, retail and food service of the campus will continue to be subject to local and state taxes and the school is negotiating a payement in lieu of taxes (PILOT) agreement with Atlantic City for the parts of the property used for college operations.
Rebecca Forand may be reached at rforand@southjerseymedia.com. Follow her on Twitter @RebeccaForand. Find the South Jersey Times on Facebook.