Arizona Downs | Horse Racing Free Tips

Open Letter to Arizona Horsemen: “Horse Racing in Our State is Not Dead”

In an open letter from AZHBPA President Lloyd Yother to Arizona horsemen released on Monday, he vowed to “fight like hell” to ensure racing in the state is not dead.

Yother's letter is in response to Turf Paradise officials announcing last week that the track won't open as usual in November as the sale of the property is imminent.

“I have had a few days to evaluate Turf Paradise and Arizona Downs' announced decisions to not hold race meets in 2023 or 2024,” Yother wrote. “However, I am here to make sure everyone in Arizona is well aware that horse racing in our state is not dead, and I plan to fight like hell to make sure of that!

Yother highlighted that the decision to close Turf Paradise not only affects the horsemen, but also the entire equine industry within Arizona.

“The horsemen and horsewomen throughout Arizona will especially be negatively impacted, but also all who earn their living through the equine industry here in our great state,” Yother wrote. “Owners, trainers, grooms, hot-walkers, our breeding farms and staff, veterinarians, farriers, feed and tack stores, hay straw and alfalfa producers will experience a substantial negative economic impact.”

Yother also gave a glimpse of hope and indicated there were ongoing discussions with some as-of-yet unnamed organizations in an effort to keep racing going in The Grand Canyon State.

“While some discussions cannot be made public yet, I can tell you there are several entities interested in negotiating with Arizona horsemen to establish a race meet at an existing track or even possibly building a new facility,” he said. “There are still many avenues to consider that will save Arizona horse racing. There are even options that include the possibility of running a late race meet in 2023 or possibly early in 2024. If these don't pan out, our board will continue to exhaust every means available to bring horse racing back to Arizona in the very near future.”

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Turf Paradise Won’t Open in November as Sale of Property Nears Closing

The current ownership that is selling at Turf Paradise in Phoenix won't be opening the track in November as planned for its 2023-24 race meet. But horsemen are holding out hope that the incoming ownership will be able and willing to operate the remainder of the scheduled season from January through May 4 if the real estate deal closes as expected by mid-December.

Turf Paradise management issued a statement via Facebook Tuesday afternoon confirming the decision.

Also on Tuesday, an email message reportedly sent to Arizona Horsemen's Benevolent and Protective Association (AZHBPA) members by that group's executive director, Leroy Gessmann, detailed potential next steps as the 67-year-old venue transitions to its new buyer, CT Realty of Dallas and Newport Beach, California.

“After several months of speculation and rumors, I finally have some definite updates that I can report to the membership,” Gessmann wrote. “Yesterday July 31, 2023, [AZHBPA] President Lloyd J. Yother received a call from [Turf Paradise owner] Mr. Jerry Simms, telling us that his final decision was to not run a race meet in November and December of 2023. After 23 years of running race meets, he felt it was time that he stepped aside and turn things over to the possible potential buyer, Mr. James Watson,” who is the managing partner of CT Realty.

“He wanted to announce this now, so horsemen had time to find alternative plans,” Gessmann wrote. “Mr. Simms has started laying off key employees, is issuing a national press release this week and stopped watering the turf track. So, I do not see things changing.”

Gessmann continued: “What is next for Arizona racing? After conversations with Mr. Watson, his status is that his final financial approval will be issued on Sept. 15. If this is approved and all the zoning goes through, then they plan to close the sale on Dec. 17. If all that falls into place, Mr. Watson is considering running a race meet starting in January through May 4. A lot of ifs in that last statement, but there is a chance for a race meet in January 2024.

“There also appears to be a lot of interest in Arizona Downs currently,” Gessmann wrote, referring to the track 82 miles north in Prescott Valley.

Arizona Downs didn't apply for a June-through-September race meet this year because of financial difficulties. That facility formerly ran as Yavapai Downs between 2000 and 2010. The ownership at that time then filed for bankruptcy.

Arizona Downs co-owner Tom Auther “is telling me he has had some racing companies contact him on the possibility of investing in Arizona Downs to allow the running of some type of race meet. This would require a lot of things to come together quickly and cooperation from the Department of Racing. But there are ongoing discussions,” Gessmann wrote.

“There have been some major racetrack operators expressing interest in building a new track in Maricopa County,” Gessmann wrote. “These alternatives may be longshots, but there is interest in rebuilding Arizona racing. I know Mr. Simms's decision to close the track is very disappointing and scary news to all of us. However, I want you to know that I, President Yother and the HBPA Board will continue to work on restoring racing in Arizona!”

The sale of Turf Paradise was first made public Apr. 12. At that time, TDN reported that racing was expected to continue there only as a placeholder for several more seasons while new uses for the venue went through the planning, approval, and construction stages.

About a month later, other news outlets in Arizona subsequently reported that CT Realty would consider keeping racing going on a longer-term basis if it could successfully lobby the state legislature to approve historical horse racing machines or some other form of gaming at the track.

The relationship between the Arizona racing community and Simms has been acrimonious. An extraordinarily long pandemic closure, multiple racetrack safety issues, and prolonged fights over off-track betting privileges, simulcast signals, and how the horsemen's purse money can be used have roiled in the courts and at racing commission meetings.

Simms has been quoted in the press since 2020 as saying that he operates Turf Paradise at a “huge negative” financially.

Gessmann told TDN back in April that, “Our understanding is it's going to be developed in stages, and they're going to race for one to two, [maybe] three more years depending on the development process.”

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Open Letter To The Stronach Group: Where Are The Answers?

Over a week has passed since The Stronach Group (TSG) announced with a short statement light on detail the closure of Golden Gate Fields at the end of the year–a momentous decision that figures to upend a way of life for so many in California.

Since then, the company has remained publicly mum on the reasons behind the closure, and its vision for the future.

Every day since the announcement, the TDN has submitted a series of questions, to which TSG has responded only once. “For now, the [Sunday] statement is going to be our comment around the story. We look forward to being in touch in the future about our plans,” wrote Stefan Friedman, a TSG spokesperson, last Monday.

The silence is troubling for the thousands of breeders, trainers, owners, grooms, hotwalkers and phalanx of individuals attempting to make a living from horse racing in the state.

With the clock racing towards the end of the year–when many will pack up bag and box, van and car, to start life anew on Christmas Eve–they face stark decisions about their professional futures and personal lives.

Do they try to make a go of it in Southern California, or do they ply their trade in another state? What's best for their families? What kind of investments should they be making at this year's sales? How do they shape their breeding plans for next year? And what kind of industry will exist to justify such investments?

These are tough questions to grapple with at the best of times–much harder still beneath a veil of uncertainty and not a little fear. The edifice of any successful racing operation is built upon foundation stones laid years, decades sometimes, in advance.

With this in mind, the TDN is publishing the questions submitted each day to TSG, and again asking when can stakeholders expect the answers they need to make those long-term business decisions that ensure this industry's future.

1 – It appears that TSG didn't give all the relevant stakeholders much (if any) of a prior warning before making the announcement. If that is indeed the case, why did TSG decide to make the announcement in this abrupt fashion?

2 – How many horses does TSG expect to be relocated to Santa Anita from GGF? And has TSG spoken with the connections of those horses about possibly making the move?

3 – Many of the horses at Golden Gate don't seem an obvious fit for the Santa Anita/SoCal circuit. Is TSG concerned that fewer horses than expected will make the move? Is TSG prepared to offer cheaper claiming races at SA (cheaper than $10,000) to accommodate the lower-level horses currently stabled at GGF?

4 – What was the reason for closing GGF? Are they economic reasons? If not, are the reasons to do with the recently proposed Berkeley City Council ordinance? Or are they a combination of factors?

5 – Did the economics from Computer Assisted Wagering (CAW) play any part in the decision to close GGF?

6 – Furthermore, TDN understands that the GGF purse account was in deficit to the tune of around $1.9 million. Did this play a part in the decision to close GGF? If so, is Santa Anita's purse account in the red or black?

7 – Is it true the state is stepping in to turn GGF into a park?

8 – What are TSG's thoughts about CARF's proposal to make Cal Expo a year-round hub of racing in the north?

9 – What specific long-term plans does TSG have for Santa Anita? Will TSG be making any substantial financial investments into the property, to show stakeholders that the company is sincere about the long-term viability of the facility?

10 – On top of that, will TSG be making any investments in the Santa Anita backstretch–in particular, to vastly improve living conditions for the backstretch workers living there?

11 – Does TSG intend to purchase the Arizona Downs facility?

12 – Will TSG extend GGF's closure date to accommodate the needs of California industry stakeholders in making the necessary adjustments to their businesses?

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Turf Paradise Nears Sale for Development; Horsemen Eye Arizona Downs Revival

Turf Paradise in Phoenix is reportedly in the due-diligence phase of negotiations to be sold for development.

Racing is expected to continue only as a placeholder for several more seasons while new uses for the 67-year-old venue go through the planning, approval and construction stages.

The incoming owner of Arizona's primary commercial Thoroughbred track is expected to transition the property in pieces to “industrial and multi-family uses,” according to the online media outlet Axios Phoenix, which first broke the story Apr. 12.

Leroy Gessmann, the executive director of the Arizona Horsemen's Benevolent and Protective Association (AZHBPA), told TDN in a Wednesday phone interview that a longer-term hope involves Arizona Downs, 82 miles north in Prescott Valley, being potentially sold to 1/ST Racing & Gaming, which might then pick up enough dates to sustain a circuit.

The possible sale of Arizona Downs to 1/ST Racing has been percolating since last year. 1/ST Racing owns Gulfstream Park, Santa Anita Park, Golden Gate Fields, Pimlico Race Course and Laurel Park. The firm's chief executive officer, Aidan Butler, did not return a voicemail message seeking confirmation of 1/ST Racing's involvement prior to deadline for this story.

“I understand that [1/ST Racing] has a contract with Arizona Downs, and they're kind of in the same stages,” Gessmann said. “They're going through their due diligence right now. I know [1/ST Racing] wants to continue racing at Arizona Downs. How it all ends up, we're all in kind of a holding pattern here to see how things develop.”

The relationship between the Arizona racing community and Jerry Simms, Turf Paradise's owner for 23 years, has been acrimonious. An extraordinarily long pandemic closure, multiple racetrack safety issues, and prolonged fights over off-track betting privileges, simulcast signals, and how the horsemen's purse money can be used have roiled in the courts and at racing commission meetings.

Simms has been quoted in the press since 2020 as saying that he operates Turf Paradise at a “huge negative” financially. He quipped to Axios Phoenix this week that “I'd rather spend time with my grandkids” than continue running the track.

Axios Phoenix reported that James Watson, the managing partner of CT Realty out of Dallas and Newport Beach, California, said he's “under contract” with Simms to purchase the property. Neither Simms nor Watson would provide Axios Phoenix with details of their negotiations, citing a confidentiality agreement.

Gessmann told TDN it's evident by what's happening around the track that the deal is getting nearer to closing.

“Mr. Watson is going through his due diligence,” Gessmann said. “The last couple weeks there have been companies here inspecting things, doing ground tests, and I know they're also working on rezoning possibilities.

“Our understanding is it's going to be developed in stages, and they're going to race for one to two, [maybe] three more years depending on the development process,” Gessmann continued. “With both parcels of land, I think they're right at 200 acres. There's a lot of empty ground here. They're going to start with the empty ground and then work towards the racing operation, I guess.

“We hope Mr. Watson will continue racing for a couple of years until we can make other arrangements,” Gessmann said.

“The horsemen are somewhat excited, yet also disappointed,” Gessmann said. “We're excited that Mr. Simms is moving on and relinquishing his hold in Turf Paradise. However, Mr. Watson is unsure on the future of racing, which is a possibility we all knew when it went up for sale, that it could get sold to a land developer.”

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