Greenbrier Casino to Close Temporarily as $500M Refinancing Deal Moves Forward

WHITE SULPHUR SPRINGS, W.Va. – The Greenbrier plans to temporarily close its casino as it works to complete a refinancing deal worth up to $500 million.

About 90 casino employees are receiving WARN notices, although they will continue to receive pay and benefits during the 60-day notice period. The rest of The Greenbrier resort will remain open and operating, according to an attorney for the Justice family.

The planned shutdown comes as the family of U.S. Sen. Jim Justice seeks to complete a transaction with New York-based Kennedy Lewis Investment Management. An Aug. 12 federal court status report said the parties expected the refinancing to close Friday, Aug. 14, while approval of a related casino ownership change remains pending before the West Virginia Lottery.

Casino Closure Tied to $500 Million Refinancing

The proposed financing is intended to address major creditor obligations and provide funding for improvements at the historic resort. It would also create a new ownership structure requiring regulatory review before the casino license can be transferred to the new holding company.

Justice family attorneys said further delays would increase the amount needed to complete the transaction by approximately $145,000 per day because of interest charges. They told U.S. District Judge Frank W. Volk that closing the casino would allow the financing transaction to proceed without waiting for the Lottery Commission to complete its review.

The filing said the closure would result in approximately 90 casino layoffs. However, attorney Steve Ruby subsequently told WCHS-TV that affected employees are being given WARN notices and will remain on pay and benefits during the 60-day notice period, leaving time for the regulatory issue to be resolved before permanent terminations become necessary.

West Virginia Lottery Pushes Back on Delay Claims

The West Virginia Lottery disputed suggestions that its review is forcing the casino to close. Acting Director David Bradley said in an Aug. 12 letter that the agency was not told until Aug. 11 that the casino could shut down if the ownership change was not approved quickly.

Bradley also said final draft transaction documents were not provided until Aug. 5 and that the proposed structure would give Kennedy Lewis a 51% controlling interest in The Greenbrier. The regulator said that level of ownership change requires sufficient time for financial due diligence and a suitability review.

The Lottery said it could not hold the requested Aug. 7 special meeting because state open-meeting rules require advance notice. Bradley added that the commission may be positioned to consider the matter at its Aug. 26 meeting and said the pending regulatory action does not itself require the casino to close.

Debt Dispute Keeps Pressure on Greenbrier

The refinancing is part of a wider federal dispute involving White Sulphur Springs Holdings, which is seeking a receiver over The Greenbrier and related properties. Justice family attorneys have said completing the Kennedy Lewis transaction would provide funding to address creditor claims and avoid receivership proceedings.

The latest threat to casino operations comes only weeks after the Greenbrier Casino Club avoided closure following a last-minute license renewal. The West Virginia Lottery approved that renewal in late June but placed the property under additional financial monitoring while its debt refinancing remained unresolved.

The immediate question is whether the refinancing can close and whether regulators can approve the ownership change before the WARN period expires. If approval arrives during that period, Ruby said casino operations could resume, and the affected employees could return to work rather than lose their positions.

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