Kansas Entertainment has broken ground on a long-planned hotel beside Hollywood Casino at Kansas Speedway, moving forward with a smaller property after an original agreement requiring a 250-room hotel went unfulfilled for more than a decade.

The groundbreaking took place Friday, September 25, 2026, in Kansas City, Kansas. Kansas Entertainment, a joint venture between PENN Entertainment and NASCAR, hosted the ceremony for the approximately 140-room boutique property, which is expected to open in 2028.

The hotel, known as The Dotte, will join Marriott Bonvoy’s Tribute Portfolio and connect directly with the casino’s west entrance. Prime Group US will finance and develop the property, while Shaner Hotels will operate it. Kansas Entertainment is providing vacant land for the development.

Plans call for approximately 140 rooms and suites, with further details on food and beverage offerings, meeting space and other amenities to be announced as development progresses.

Revised Agreement Clears Path for Construction

The hotel fulfills a development obligation that dates back to Hollywood Casino’s original agreement with Wyandotte County. That deal required construction of a 250-room hotel, but the property was never built.

Hollywood Casino subsequently paid more than $21 million in penalties. Lydia Garvey, vice president and general manager of Hollywood Casino at Kansas Speedway, said the original hotel size was larger than management believed the market needed.

“So originally, requirements with our development with the Unified Government of Wyandotte County called for a 250-room hotel. We just never thought that that was the right amount of rooms,” Garvey said, according to local news KCTV5.

The Unified Government and the casino amended the development agreement in December 2024, allowing a smaller property. Garvey said the change made the project financially workable.

Under the previous arrangement, Hollywood Casino paid liquidated damages equal to 1% of net revenues for failing to meet the hotel requirement. Those penalties will end once construction begins.

The revised agreement also raises the casino’s annual charitable contribution to the Unified Government from $500,000 to $850,000. The money supports the Hollywood Casino Grant Program and organizations throughout Wyandotte County.

Village West Development Adds Momentum

Hollywood Casino sits near Interstate 70 and Interstate 435 in the Village West district, an area undergoing additional development.

The casino overlooks turn two at Kansas Speedway, which hosts NASCAR events including the Hollywood Casino 400. Nearby destinations include Children’s Mercy Park, home of Sporting KC, along with shopping and entertainment attractions.

Buc-ee’s is developing a travel center near the casino, while the Kansas City Chiefs are planning a new stadium in Village West that is expected to open in 2031.

Garvey said the hotel should serve casino customers while also attracting travelers because of its highway access and proximity to sporting and entertainment venues.

PENN Entertainment President and CEO Jay Snowden described the hotel as an additional growth opportunity for the company’s Kansas City operations.

“This is an exciting new addition to our operations in Kansas City,” Snowden said. “Significant developments are in process in the area surrounding our property.”

Officials Mark Start of Long-Delayed Project

Representatives from PENN Entertainment, NASCAR, Kansas Speedway, Prime Group US and Shaner Hotels attended the ceremony. Officials from the Kansas Racing and Gaming Commission, Kansas Lottery and Unified Government also participated.

Kansas Lottery Executive Director Stephen Durrell said the project showed what public agencies and private businesses can accomplish through cooperation.

Kansas City, Kansas Mayor Christal Watson said the previous negotiations occurred before she took office and emphasized the importance of the project finally moving ahead.

“The most important thing for me is that it is happening,” Watson said.

The development team hopes to begin substantial construction after receiving the necessary permits, with completion targeted for 2028.