Mohegan Sun to partner in Catskills racino

Westchester-based developer Louis Cappelli has inked a deal with the operators of Connecticut’s Mohegan Sun Casino to enter a partnership in the development of a long-stalled Catskills racino project. According to the Wall Street Journal, the Mohegan Sun Gaming Authority would be the operator of video slot machines, a 258-room hotel and a racetrack as part of the deal. The $600 million project, on the site of the former Concord hotel in Monticello, has been planned on and off and in various forms since 1999. Cappelli is now hoping to complete its first phase by 2013, though he still needs around $600 million in financing and has more than $25 million in liens, which he says are being settled. Mohegan Sun will be a part equity owner in the project, but wouldn’t say how much it will invest. [WSJ]