This Side Up: A Million Memories, From Heaven to Hell

“Quit? Hell, no!”

Anyone who has seen the framed photograph in the grandstand concourse will always remember the caption; nor, in continuing through one of the most sumptuous public facilities in all sport, will they forget the bricks-and-mortar incarnation of that invincible spirit.

The photo shows the smouldering debris of the Arlington grandstand after the fire of July 31, 1985. Twenty-five days later, the fourth Arlington Million was staged on schedule before 35,000 spectators in temporary bleachers and tents. The “Miracle Million” was won by a horse trained in Yorkshire for Lord Derby, confirming that unprecedented prizemoney was duly awakening horsemen the world over to the possibilities that had meanwhile inspired the inauguration of the Breeders' Cup.

But who, among those attending the bitter rites of Arlington's final international raceday, will still be clinging to that mantra with any real conviction? For there is evidently one inferno that will never be quenched, even by the kind of human fervor, dynamism and imagination that first conceived and then redeemed the Million. And that is the remorseless furnace of corporate avarice, where this cherished jewel of the American Turf faces imminent immolation.

As one of many Europeans first introduced to the American racetrack environment by accompanying turf raiders to Million day–albeit one of few, no doubt, whose lives would ultimately be transformed by this new world–I view Saturday's valediction as a kind of bereavement. With grief, with anger, incredulity and despair. And I can't even be there, to pay my respects at the funeral.

Instead I must console myself in the despondent collation of so many happy memories and somehow reconcile myself to the prospect of this magnificent, bracing city being indelibly cheapened by a monumental lapse into tawdriness. For the fate of Arlington shows what happens when capitalism becomes detached from its vital sources, when the organism starts to consume itself, its own lifeblood absorbed into the unthinking, monstrous viscera of accountancy.

One of my most privileged Arlington memories is a meeting with one of Chicago's definitive capitalists. And he told me something that struck me as very wise.

“We're never going to chase a dollar,” he said. “If you have the best services you can, a quality product, and a competitive price, then we feel the dollar will catch us.”

His name was Richard L. Duchossois, the same man honored today by the final running of a race that can no longer vaunt a seven-figure purse and instead patches up its dignity as the Mister D. S. An apt tribute, undoubtedly, to a remarkable man closing on his 100th birthday: one of the last of the great generation raised in the Depression, their endurance tested and deepened further yet as the vigor and dreams of their prime were diverted, and often fatally consumed, by war.

Mister D. himself shared a vivid recollection of lying on a stretcher in Normandy, one of the dying among the dead. To the overwhelmed medics, these two categories had to be treated as one and the same. They had separated only those who stood some kind of chance. And the 22-year-old Duchossois couldn't argue with their verdict. He was paralyzed from the neck down. After days and nights of combat without respite, sedated, absolved of responsibility, he began to yield to a great weariness. Dimly he heard a shout: “That one over there, you better bring him along.” It was only when he felt the stretcher being raised that he realized who “that one” was.

By a no less tenuous thread of fortune, it turned out that the bullet had not severed his spinal cord. The nerves were only in shock. Lying in a Paris hospital, booked for a passage home, Duchossois could think only of the unfinished battle. If anything, the British pilot in the next bed was a still harder case. He had lost a leg, but between them they got hold of a wheelchair and some crutches. Somehow they clambered through a window, and Duchossois was picked up by some guys from his unit. Though promoted to Major by the time he demobbed, he was technically still AWOL.

Through all the ensuing decades he has embraced through so narrow an aperture in fate, Mister D. never left the front line. From the railcar workshop where it all began, right through making a $2-billion empire, he never lost sight of the importance of personal example and human engagement.

“Providing product, that's mechanical,” he said dismissively. “Customer service, people-to-people, is the most valuable thing we have.”

Sure enough, year after year, anyone tending the European horses at the quarantine barn became accustomed to the appearance every morning of a spry, dapper old man, driving himself over just to check whether any service, however trifling, might have been overlooked.

Now I don't imagine you can be as successful a Chicago businessman as Mister D. without having a good deal of the steel that went into those first freight cars. Nor would I presume the slightest idea whether his wonderful acuity may have been eroded in the nine years since our conversation or, indeed, of his inner sentiments about the ruthless cash-out by the corporation to whom he sold Arlington 20 years ago. After all, as I recall Mister D. himself had a major stake in Churchill Downs Inc.

Be all that as it may, our sport will always have a great debt to Mister D. and it's right to honor him and his family today. (By the way, with his late son Bruce also remembered this time, in the big sophomore prize, we must ask which track and race will now seize the opportunity to present a Secretariat S.?)

For my own part, however, I don't see anything sustainable in chasing the dollars of gaming addicts in their zombie compounds. (Ideally, of course, without the expensive pretext of a race meet: talk about “mechanical” product!) True, the conversion of capitalism's nutrient cells into cancerous ones is a two-way process. All around us, every day, we see consumers idiotically complicit in the erosion of socially vibrant and viable markets, conspiring with a handful of megabrands (which will someday end up transcending all democratic government) in order to get something cheaply and conveniently.

But talking to people who were blessed to be at Saratoga for the meet's spiritual core–the Hall of Fame induction, Whitney weekend, the sale–there's absolutely no question that our sport retains the capacity to impassion a more commercially fertile demographic. And I also believe that our community has sufficient resources, in both finance and flair, somehow to acquire and secure other storied venues vulnerable to the kind of disaster that has overtaken Arlington.

In this instance, to be fair, the people responsible don't feel answerable to anything as nebulous as “horseracing.” What's more, they will doubtless do a very professional job with those tracks that are deemed worth their shareholders' while. But the condemned man knows he will gain no reprieve by gazing imploringly into the hardened, unseeing eyes of the guard.

Must we quit, really? Can we really let a wrecking ball pulverize the phoenix that rose from the flames? One thing is for sure. If we do, then the pain must animate and invigorate the defense of our heritage against further corrosion. Otherwise, to use a phrase popularized by Chicago's greatest interpreter, Saul Bellow, the blaze of 1985 will be as nothing compared to “the moronic inferno” closing around us all.

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Report: Two New Non-Racing Bidders Revealed for Arlington

Two additional bidders in the controversial Arlington International Racecourse sale have been revealed, and neither explicitly mentions the continuation of Thoroughbred racing as a component of their proposed development.

Eric Peterson of suburban Chicago's Daily Herald broke the story over the holiday weekend.

Of the four now-known bids submitted to seller Churchill Downs, Inc. (CDI), only one–submitted by the track's former president, Roy Arnold–calls for the track's grandstand and track to remain in place alongside a new 60-acre entertainment district and 300 units of housing.

Before this past weekend, the only other disclosed bid came from the Chicago Bears football team, which wants to raze the racetrack in favor of a new stadium.

According to the Herald, the two latest proposals are from Chicago-based Glenstar Properties and Schaumburg-based UrbanStreet Group LLC.

Glenstar's pitch is unconventional, the story stated, because it doesn't entail buying the land outright.

“Instead, the company would be track owner Churchill Downs' partner in a plan to sell off individual parcels for a mixed-use development with an 80- to 100-acre open recreational space as a major component of the 326-acre site,” Peterson reported.

“The more traditional way redevelopment happens is for someone to buy the property and assume all the risks,” Peterson wrote. “But under the Glenstar proposal, Churchill Downs would be part of the process and share in the risks to reap a higher reward.”

UrbanStreet representatives could not be reached for comment on the specifics of the firm's Arlington Park pitch. But Peterson wrote that the firm's approach in a redevelopment project of similar scope was to buy the entire site “and act as master developer as a variety of office, residential, retail and entertainment interests materialized.”

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Citing Need to ‘Chase Profitability,’ CDI Outlines Different Paths for IL, KY Tracks

An earnings conference call with investors Thursday morning underscored that Churchill Downs, Inc. (CDI), intends to sell Arlington International Racecourse near Chicago for “non-horse racing” purposes.

The gaming corporation with six Thoroughbred tracks in its portfolio also announced Feb. 25 that the previously halted reconstruction project at Turfway Park has resumed now that a Kentucky bill to legally redefine historical horse race [HHR] gaming has been signed into law.

But pandemic-delayed flagship property plans for a hotel, HHR facility, and track amenities expansion at Churchill Downs itself all remain on hold.

Bill Carstanjen, CDI's chief executive officer, said that the corporation will “revisit” and “reimagine” whether or not it wants to follow through with that Louisville project at its previously announced price tag of $300 million.

Those items were the Thoroughbred track-specific topics covered in Thursday's conference call. Per usual, the prepared remarks by CDI officials skewed heavily toward finances and gaming-specific initiatives, with a strong emphasis on CDI's desire to achieve corporate profitability.

Carstanjen said that “what we need to do for our company is demonstrate a very quick pathway to profitability. [That means] don't chase [market] share, and don't chase size–chase profitability. So everything we do in this company is built on a short time frame and a conservative time frame on when we think we can demonstrate profitability. And that'll be our model designed to keep us in the game long-term.”

Carstanjen kept his comments brief and in general when discussing Arlington being put up for sale for redevelopment. That announcement was made on Tuesday, but it was a decision that had been feared for several years by the racing community in light of CDI's ownership interest in one competing Chicago-area casino and plans to bid on a second, and potentially more lucrative, casino license in that region.

“We announced this week that we have initiated the sales process for the Arlington Park racetrack land,” Carstanjen said. “We will conduct racing in 2021 at the track while moving forward with the transaction to sell this highly desirable land for other non-horse racing, mixed-use options.

“It is our intention to work constructively with state and local authorities to find a solution to continue Thoroughbred operations in Illinois, and we look forward to further constructive dialogue as we explore alternatives,” Carstanjen said. “I am optimistic that state and local authorities are interested in finding a path forward with us.”

The news on CDI's two Thoroughbred properties in Kentucky came across as a split decision for racetrackers. The greenlighting of the Turfway build signaled welcome news that the torn-down grandstand and clubhouse won't linger in an unfinished state. But Carstanjen's hints at possibly scaling back the Churchill project came across as cryptic, with few specific details divulged.

“We have already restarted the construction process for our Turfway Park racing and [HHR] facility and are targeting a grand opening for the summer of 2022,” Carstanjen said. He added that CDI anticipated spending $145 million to finish the project, which CDI halted back in October when the legal status of HHR in Kentucky was unclear.

The Churchill construction pause is not new. It's been halted since April, just after the onset of the pandemic, when Carstanjen said in another CDI earnings call that the $300-million project would be on hold “until after we have completed” the 2021 GI Kentucky Derby.

On Thursday, Carstanjen gave the first update since October on that paused project, and it contained the new twist that it might not be built to the specifications that were originally outlined when CDI budgeted $300 million for it in October 2019.

“Before suspending activity when the pandemic hit, we had completed all of the underground utilities and a handful of site-prep projects,” Carstanjen said. “We spent approximately $15 million of the $300 million of capital that we had approved for this project. We are finalizing our revised plans that we believe will be just as impactful…. We believe that we can and should do the project more cost-effectively as we reimagine each of the three elements of the overall project–the hotel, and [HHR] facility, and expanded permanent seating and hospitality.”

Carstanjen continued, “There is really a fourth element to consider as well, which is the potential future expansion of Derby City Gaming. This facility has really performed well since opening…”

At a later point, when corporate investors were allowed to ask questions, Carstanjen was reluctant to directly answer to what extent a potential satellite outbuild of the Derby City Gaming HHR facility in Louisville might have on the overall Churchill Downs project.

“Derby City Gaming has just become this juggernaut,” Carstanjen said. “And we have to make sure we maximize that and make it everything that it can be. So watching its performance over the last year has really been, you know, fairly stunning. And we want to make sure that that property is everything in and of itself that it's supposed to be before we rush forward with an idea of what else we should do at the racetrack.”

Another corporate investor wanted to know additional details, like what factors CDI would be paying the most attention to as it reconsiders the Churchill Downs project.

Carstanjen again declined to provide specifics. But he did note that the impact of the COVID-19 pandemic on the hotel industry was one issue that CDI would be examining.

“There's not a lot more that we can say on today's call, because we're not ready to say it,” Carstanjen said. “But some of the factors we're looking at really go to the robustness of the [HHR] product and how best to deploy, here in Louisville; what the best hospitality offering is at the racetrack itself [and] how to think about the hotel with some of the disruption that we've seen in the hotel industry across the United States over the last 12 months. Those are all things we're looking at, and we have a really good handle around those things. We're just not ready right now on this call to get into them.”

As for the May 1 Derby, Carstanjen said ticketing plans are coming into focus but remain fluid because of COVID-19.

“We are currently planning to sell our seated areas at approximately 40 to 50% capacity, and may offer some amount of general admissions tickets when we are a little closer to the date,” Carstanjen said. “We may adjust our ticketing plans as we see further improvement in the circumstances surrounding the pandemic.”

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Illinois Grants 2021 Dates Amid Distrust for Arlington’s Corporate Ownership

Citing distrust in Churchill Downs, Inc. (CDI), the gaming corporation that owns Arlington International Racecourse, the leadership of the Illinois Thoroughbred Horsemen’s Association (ITHA) on Sept. 16 asked the Illinois Racing Board (IRB) to impose a condition on 2021 race dates that would withhold millions of dollars in purse fund “recapture” money from the track if it did not end up racing its applied-for 68 days next year.

The IRB, which was meeting with three newly appointed commissioners for the first time on Wednesday, probed Arlington president Tony Petrillo about CDI’s intentions for racing in suburban Chicago in 2021 and beyond.

Board members specifically wanted clarification on earnings-call comments made July 30 by Bill Carstanjen, the chief executive officer of CDI, that said the corporation will honor its 2021 race meet contract with the ITHA “if we elect to do so” and that the Arlington property “will have a higher and better purpose for something else at some point.”

But after the IRB received advice from its attorney that statutory provisions covering recapture don’t allow the attachment of such a stipulation to dates orders, board members voted 6-0 to grant Arlington’s schedule with no strings attached.

The IRB also unanimously approved 2021 racing at Hawthorne Racecourse for 50 dates. Since 2016, the two Chicago-area tracks, Arlington and Hawthorne, have presented a unified race dates and dark-day host status template for the IRB’s approval.

Fairmount Park, which is 350 miles south and not considered part of that Chicago circuit, got its requested 53 dates.

Prior to the ITHA’s request for the recapture provision, Petrillo told the IRB that Arlington anticipates “running eight races per day during those 68 days and being able to offer a purse structure that will allow us to attract a sufficient horse population to fill those races, as well as conducting a stakes schedule that is necessary to support a long race meet over five months over the most competitive time of the year.”

John Walsh, Hawthorne’s assistant general manager, said the 10-month Chicago circuit arrangement “is good for the industry. The horsemen will have a place to be, and they’ll have something to look forward to in 2022 as we hopefully finish our casino sometime toward the end of next year.”

But despite the news of apparent accord, ITHA representatives made it clear the horse community didn’t have 100% faith that CDI would follow through on its contracted commitment to 2021 racing.

ITHA executives cited last year’s stunning decision by CDI to intentionally miss a deadline to apply for newly legalized racino licensure that would have bolstered purses at the track, plus an acrimonious eight-month battle with Arlington over recently inked contracts for 2020 and 2021.

“[Arlington saying] that they’re going to run in 2021 after the difficult time with the contract we had this year, that’s purposeful. It’s meaningful. We’re grateful for that,” said ITHA president Michael Campbell. “However, Arlington is the organizational licensee. CDI is not. And CDI will do whatever is in their best interest to fulfill their [corporate] fiduciary responsibility. And that’s a problem for us given [the disconnection] that we are greatly concerned about. We cannot go through another year as horsemen [with] even the possibility that there’s going to be some disruption or the cancellation of the racing season.”

David McCaffrey, the ITHA’s executive director, then made the request for the recapture provision.

“It’s not meant to be antagonistic or provocative in any way. And there really shouldn’t be any resistance, in my judgment, on Arlington’s part if their intention is to truly race,” McCaffrey said. “Because if they race, this would be meaningless. [It] would at least give some surety to the horsemen. Or, if for some reason, the meet doesn’t happen, at least it preserves the $4.5 million in recapture that would be taken out of the purse account.”

IRB chairman Daniel Beiser asked Petrillo to clarify CDI’s intentions for 2021 and beyond. But the Arlington president’s drawn-out reply was vague and laden with corporate-speak.

“Although 2022 will be here before we know it, there is some time needed to sort this out,” Petrillo said, in part. “And I know that these conversations have come up daily within the confines of the strategic team at Churchill Downs. And I know that they are working on some solutions. What they are at this time I don’t think that anybody could comment on publicly on that right now. But we…do feel our responsibility to the industry as well as the community. And we intend to fulfill that in 2021, and beyond that when the opportunity does exist.”

Beiser, after considering the ITHA’s request to use recapture payments as a cudgel for compliance, asked if Petrillo could provide written clarification from CDI regarding the gaming corporation’s intentions for Arlington.

Petrillo replied that the IRB would get that written assurance in the form of a signed dates acceptance letter that licensees are required to submit to the commission after getting dates orders. He bristled at the proposed “unprecedented conditions” over recapture that “might cause a flurry of legal matters to arise.”

Petrillo continued: “I think we’re opening up a can of issues that then also impede upon the agreement that we have with the horsemen’s association. Again, I just want to reiterate that it is our intent to race in 2021. When that acceptance is signed, that’s written in stone. If we do not comply, the IRB has a number of mechanisms to try and enforce that acceptance or penalize Arlington if there’s a failure to fulfill those commitments.”

Beiser again told Petrillo he’d prefer a separate form of written commitment. The IRB then recessed and voted upon the slate of dates after hearing advice from the board’s attorney. It was noted that while the IRB doesn’t have the authority to attach the recapture stipulations to the dates order, it does have the power to set the recapture payment schedule, and board could consider that when it certifies recapture payment amounts in January. But that would be nearly four months before the track even opens for racing.

Next year will see the return of a spring Thoroughbred meet at Hawthorne (Mar. 6-Apr. 25), which had been cancelled this season to allow for racino construction at the property.

Arlington’s dates will span Apr. 30-Sept. 25.

Hawthorne races again in the autumn, Oct. 1-Dec. 26.

Fairmount races Apr. 27-Sept. 6.

The actual race dates were awarded in blocks. The days cited above account for the dark days at the beginnings and ends of meets that were indicated in each track’s application.

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