Greenbrier Casino License Approved as Kennedy Lewis Takes 51% Control

WHITE SULPHUR SPRINGS, W.Va. – West Virginia regulators have approved The Greenbrier’s casino license after Kennedy Lewis Investment Management took 51% control of the resort.

The decision clears a major regulatory hurdle following a roughly $500 million refinancing and joint venture that shifted majority ownership away from the Justice family.

The West Virginia Lottery Commission approved the new structure Wednesday after reviewing Kennedy Lewis and the changes to The Greenbrier’s governing board. Acting Lottery Director David Bradley said the investment firm’s financial background could provide greater stability to the historic resort.

Kennedy Lewis Takes Majority Control

Under the transaction, Kennedy Lewis holds 51% of newly formed Greenbrier Holdco LLC, the ultimate parent company of the resort. U.S. Sen. Jim Justice and his family retain the remaining 49% after owning The Greenbrier since 2009.

Kennedy Lewis also controls three seats on the five-member governing board. Lloyd Charles Nathan has been named chairman, alongside Kennedy Lewis directors Brian Dubin and Doug Gerowski. Justice’s daughter Jill Justice holds another seat, while the fifth position had not been announced at the time of the Lottery Commission meeting.

Gov. Patrick Morrisey welcomed the commission’s approval and said he hopes the new controlling owner will bring “much needed financial stability” to the property. He said the state intends to work with the new leadership as it considers improvements to the resort.

The Greenbrier remains under the Lottery Commission’s financial watch, meaning state regulators will continue monitoring the casino following the ownership transition.

$500M Deal Pays Debt and Taxes

The ownership change follows a roughly $500 million transaction between the Justice family and Kennedy Lewis that combines financing with a joint venture. The deal was completed after an affiliate of Omni Hotels & Resorts sought court-appointed receivership over debts secured against the resort.

The transaction paid off the Omni affiliate, although the final payoff amount has not been publicly disclosed. Greenbrier attorney Steve Ruby said the refinancing also allowed the resort to pay more than $10 million in tax obligations, including approximately $2.6 million in state taxes as well as local property and federal taxes.

Greenbrier representatives have also said the transaction provides tens of millions of dollars for deferred maintenance and other property improvements. Under the new structure, earnings generated by The Greenbrier will remain within the Greenbrier joint venture rather than moving among other Justice family businesses.

The approval resolves the regulatory uncertainty covered earlier this month when The Greenbrier warned its casino could temporarily close while the Lottery Commission reviewed the ownership change. About 90 casino workers had received WARN notices as the parties worked to complete the transaction.

Casino Continues Under New Structure

The threatened shutdown ultimately did not occur. After additional discussions with the Lottery, Greenbrier representatives completed the refinancing while keeping casino operations running, pending the commission’s final vote.

Wednesday’s approval now allows the casino to operate under the new ownership and governance structure. Kennedy Lewis is expected to assess the resort’s operations and determine where additional capital and management resources should be directed.

The Greenbrier is a 710-room resort in White Sulphur Springs with a private casino, four golf courses and a spa. Morrisey said the state will continue monitoring the casino as the new controlling owner works to strengthen the resort’s finances and address property improvements.

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