The shuttered Deadwood Gulch Resort property was sold this week after over being on the market for over three years. The gaming and hotel property, located on the south side of Deadwood near Lead, is expected to reopen in parts throughout the next six months.
The entire Deadwood Gulch property closed in March due to the pandemic. It is the only major casino that has yet to reopen in Deadwood.
New Deadwood Gulch owner discusses plans for property
Ernest Hospitality, LLC is the new owner of Deadwood Gulch, according to the Black Hills Pioneer, which broke the story on Friday. “I am really excited to be in Deadwood. We are going through a full renovation but expect to be completely operational in time for summer,” Tim C. Johnson of Ernest Hospitality told the local newspaper. “Future plans include snowmobile, UTV rentals, and luxury cabins up on the hill out back.”
The purchase price appeared to be around $3.5 million, according to the Lawrence County Register of Deeds. The property was on the market for $6.6 million in 2017. It disappeared from real estate listing services in the fall of 2020. Deadwood Gulch removed its public Facebook page from public view around the same time.
Deadwood Gulch will be renovated before reopening
The Black Hills Pioneer reported that the entire property will be remodeled before welcoming back guests. The Deadwood Gulch name will remain. The new owners hope to have the hotel reopened in about a month. There are 87 rooms on the property. Rates are not yet available.
The casino will require a licensing process that could delay the return of slots and video poker until July. The 100 or so gaming machines on the property were a part of the sale.
Deadwood Gulch did not deal any live or electronic table games when it closed. It hosted two blackjack tables a decade ago. You can visit our Deadwood Gulch page to see what we found during our last visit to the property in August 2019.
The Creekside Restaurant will not return to Deadwood Gulch. Ernest Hospitality hopes to lease the space to a tenant that fits the new vision of the property. If no qualified restaurant operators are found for the space, Deadwood Gulch expects to manage its food outlets in-house.
The convention space will receive a full remodel, according to the Black Hills Pioneer. This includes new carpeting and a kitchen to cater large events. Ernest Hospitality hopes to have this space open by May.
The reopening of Deadwood Gulch is expected to bring about 50 jobs to the Deadwood labor market.