ROCKFORD, IL — City officials are looking to tap Rockford’s borrowing power to finance the construction of a hotel and conference center at Hard Rock Casino Rockford.
The decision to start building an expansion in 2026 comes as Ho-Chunk Nation moves forward on its construction of a casino, hotel and convention center 17 miles north of Rockford in Beloit, Wisconsin.
The proposal before the city of Rockford is to sell $103 million worth of bonds to finance construction of a 215- to 225-room hotel and 15,000-square-feet conference center next to the casino that the city would own for a period of time.
“What we’re going forward with tonight is authorization to sell bonds for the construction of a hotel and convention center,” City Administrator Todd Cagnoni said at the City Council’s May 11 Finance and Personnel Committee meeting. “The city of Rockford would own that hotel and convention center. We would have an agreement with Hard Rock in which they would pay the debt service on that bond as well as operate the hotel and convention center.”
Members of the committee voted in favor of selling the bonds and drawing up a development agreement with Hard Rock.
Under the proposal, the city would own the hotel and conference center until Hard Rock pays off the bonds or refinances the debt. Although the bonds would be 30-year bonds, Hard Rock would be required to refinance the debt and take over ownership within 10 years.
According to the casino, the hotel will generate millions in additional revenue each year and create 100 permanent jobs.
If the expansion does not generate enough money to cover the debt, the casino would pay for the bonds using casino revenue, and the casino would continue to pay a minimum of $7 million a year to the city in gaming taxes.
Ald. Frank Beach, R-10, pointed out that Hard Rock’s proposed conference center would be dwarfed by the planned convention center in Beloit. He questioned if it would be able to compete.
Ho-Chunk plans to open its Beloit casino in September. A 312-room hotel and 76,413-square-foot convention center are expected to open in a second phase coming in 2027.
Hard Rock’s 15,000-square-foot conference center would be competitive, Hard Rock Rockford President Geno Iafrate said, because it would complement the already-existing 23,000-square-foot Hard Rock Live venue, which offers flexible event, exhibition and performance space.
Without the expansion, Rockford would be at a severe disadvantage, Iafrate said.
“We can do seated banquets of up to 800 people, but when you get a conference or actually a trade show or more of a convention, they need breakout space. And I don’t have breakout space,” Iafrate said. “And I don’t have hotel rooms. So this hotel and additional convention meeting space really is complementary to Live. It’ll house plenty of events on a standalone basis, too.”
If the agreement wins City Council approval, construction would take about 15 months, Iafrate said, and could begin in late summer or fall 2026.
Hard Rock is expected to take a significant temporary hit to its revenue stream when the new Ho-Chunk casino opens.
Building the hotel and conference center is meant to soften the blow by attracting overnight guests.
The casino was actually designed two have two hotel towers when fully built and has plenty of space for future expansions, as well, said Dan Fischer, chief investor of Hard Rock Casino Rockford.
Hard Rock controls about 15 acres of land in Cherry Valley, which it is also eyeing for future use.
Jeff Kolkey writes about government, economic development and other issues for the Rockford Register Star. He can be reached via email at jkolkey@rrstar.com and on X @jeffkolkey.
This article originally appeared on Rockford Register Star: Rockford could finance Hard Rock expansion. Here’s how it would work
Reporting by Jeff Kolkey, Rockford Register Star / Rockford Register Star
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