Suffolk Downs will lease land to Connecticut gambling giant Mohegan Sun under an ambitious new proposal to bring a roughly $1 billion gambling resort to the Revere side of the racetrack property.
Under the deal announced Wednesday, the track’s owners, who for years have pursued casino development rights at the site on the East Boston-Revere city line, would become landlords for Mohegan Sun and its financial partner, Brigade Capital Management, a $15 billion New York investment firm, said Mitchell Etess, chief executive of the Mohegan Tribal Gaming Authority.
Mohegan Sun, if licensed by the state gambling commission, would develop and operate a resort casino on the roughly 50 acres of track property that lie within Revere city limits.
“Essentially Brigade and Mohegan Sun will own the casino on land leased from Suffolk Downs,” explained Etess, in a Globe interview. Mohegan Sun would hold the casino license, in a structure similar to the arrangement Mohegan had with land owners in Palmer, where voters on Nov. 5 narrowly rejected the company’s casino project. Full story for BostonGlobe.com subscribers.