CALVERT CITY, Ky. — While Kentucky betting and gambling laws have seen significant changes in recent years, betting on horse racing dates back to the early 1900s. That tradition will soon make its way to Calvert City, and local leaders expect it to bring a significant boost to the economy.

On Dec. 5, Churchill Downs announced that it had received approval from the Calvert City Planning and Zoning Board to establish Marshall Yards Racing & Gaming on a property at Exit 27, just off of Interstates 24 and 69. The gaming facility is expected to be Churchill Downs’ eighth historical horse racing entertainment venue in the state.

The facility will be considered an annex of the existing Oak Grove Racing, Gaming, & Hotel facility. The facility is set to house 240 historical racing machines — which allow players to bet on replays of horse races — as well as a retail sportsbook, a sports bar, food and beverage options, and simulcast wagering.

Churchill Downs expects the project to create roughly 250 construction jobs and about 90 permanent jobs. However, that’s just the beginning of what local leaders expect to see in terms of the facility’s economic impact.

Elizabeth Griffith Mudd, president of Kentucky Lake Economic Development, said that the project will have an initial capital investment of between $40 million and $50 million, and the expected permanent jobs will generate around $4 million in annual payroll for the city and county tax bases.

“Then you also have the indirect economic impact,” Mudd said. “We’re going to hopefully attract more people to come into our community and spend their dollars at the facility, but then also maybe at the restaurants here locally or staying down at Kentucky Dam Village in our hotels and resorts here in town. So, there’s just a ripple effect from this project, and we’re just really excited to have it here, and hopefully it’s a catalyst for more to come.”

The facility first made headlines in August when the Calvert City Council passed an Industrial Revenue Bond Service that would allow the facility to avoid certain state taxes by paying what are known as P.I.L.O.T. payments, or payments in lieu of taxes. Marshall County Judge Executive Kevin Spraggs said that will not impact the tax revenue that the city and county would expect to receive.

“It’s a payment in lieu of taxes, so they’ll be making a payment direct to the taxing districts on that, instead of the traditional method,” Spraggs said. “But, there’s no concessions that were given by the county or city, so both will receive the normal taxes they would have otherwise. County and city, both will receive occupational tax from that also that will come from net profit and payroll.”

Many members of the community have voiced their concerns about the facility and what it means for Calvert City, but Mayor Gene Colburn believes that the development will be highly beneficial to the city.

“The concerns about, you know, we have alcohol being served, gaming going on, those are legitimate concerns of the community as tightly knit as ours and with our characteristics,” Colburn said. “Some of our elected leaders, you know, they’re very, very happy for the development, and they’re maybe a little less happy about the industry that is coming in here, but I think that Churchill is very reputable. I think this is going to be a situation I think is going to have a lot of synergy with outdoor recreation and visitors coming in here, making our area a more exciting place to visit.”

While an exact timeline has not been specified for the project, Spraggs said he has heard from construction companies placing their bids for it already. The Dec. 5 news release from Churchill Downs stated that the company anticipated opening the facility in early 2026. The facility will be built on an approximately four-and-a-half-acre lot that previously housed the Willow Pond Restaurant.

Grace Boatright Jachim is a reporter for the Marshall County Tribune Courier.