West Virginia Lottery Reviews How $500 Million Deal Could Affect Greenbrier Casino License

The West Virginia Lottery Commission is still working through its review of a proposed $500 million financing deal involving The Greenbrier Resort, and it remains unclear whether that process will wrap up before an August 7 deadline set in a related federal court case. The commission met by phone this week to set the agenda for its next regular meeting on July 29, and the Greenbrier matter has not been added to that agenda, meaning the review could stretch until the commission’s following meeting on August 26.

At stake is more than just paperwork. The Greenbrier’s casino license — tied to a resort owned by U.S. Senator Jim Justice and his family since they purchased it out of bankruptcy in 2009 — would need to be transferred to a newly created holding company as part of the financing arrangement. That kind of ownership restructuring requires sign-off from state gaming regulators before the broader deal can close.

A Deal Years in the Making, Now Racing the Clock

The financing package at the center of the review comes from Kennedy Lewis Investment Management, a New York-based alternative asset manager, and could total up to $500 million. The proposed loan would be secured on a first-lien basis by a pledge of 100% equity in a new borrowing entity along with essentially all Greenbrier assets, including its hotel and golf properties, development land, and timber holdings. Sen. Justice and other family members would also provide personal guarantees, a structure consistent with past financing arrangements tied to the resort.

The urgency stems from a separate legal fight. White Sulphur Springs Holdings — an affiliate of Omni Hotels & Resorts parent company TRT Holdings — acquired roughly $289 million in the Greenbrier’s first-lien loan debt from Carter Bank earlier this year and has pursued a federal lawsuit seeking to place the resort into receivership. U.S. District Judge Frank Volk originally expected the Justice family’s refinancing to close by July 16, but attorneys for the family told the court this week that closing likely won’t happen until after that date, pointing to the pending West Virginia Lottery review as one of the remaining hurdles.

Casino License Already Under Heightened Scrutiny

This isn’t the first time the Greenbrier’s gaming license has drawn extra attention from regulators this year. In late June, the Lottery Commission approved the casino’s annual license renewal only after an emergency meeting, following a delay in submitting required audit materials. That renewal came with a condition: the Greenbrier was placed on a financial “watch” status requiring quarterly reporting, after an independent auditor flagged rising liabilities — from roughly $90 million in 2024 to $260 million in 2025 — along with matured, unrefinanced loans.

Despite those financial pressures, the casino itself has remained profitable, reporting close to $15 million in revenue for 2025 against about $7.8 million in expenses. The resort’s gaming operation, established in 2010, continues to be a meaningful contributor to both local tourism and state tax revenue even as the ownership fight plays out in federal court.

With the Lottery Commission’s next two meeting dates now set — July 29 and August 26 — the timeline for resolving the casino license question may ultimately extend well past the court’s original expectations, leaving the Justice family’s refinancing plans, and the future of one of West Virginia’s most recognizable properties, in a holding pattern for at least a few more weeks. Anyone following the broader shifts in the regulated gaming space can find the latest on West Virginia’s online casino market as the state’s gambling landscape continues to evolve.