Hawthorne Race Course Faces Closure Amid Bankruptcy Sale
Hawthorne Race Course may soon shut down after the only qualified bidder revealed plans to repurpose the site. The track, located in the west suburbs of Stickney, filed for bankruptcy back in February with debts exceeding $100 million. A Delaware-based company, known in court records as ALLIMAC 2023 LLC, placed a $90 million bid to acquire the 119-acre site.
This offer, identified as a “stalking horse” bid, establishes the minimum price for the sale in bankruptcy court. However, by Tuesday’s auction deadline, no other bidders had qualified, positioning ALLIMAC as the sole buyer. Approval of the sale, set for discussion in a hearing with Bankruptcy Judge Timothy Barnes, hinges on the decision to be made on Monday.
Currently, thoroughbred racing at Hawthorne is slated for every Sunday until November. Hawthorne Race Course did not provide a comment, but the Illinois Thoroughbred Horsemen’s Association reassured its members via text that training and racing operations will continue as usual for the time being. Association President Chris Block expressed dismay at the impending sale, remarking, “This is a devastating and tragic day for horse racing in northern Illinois. We always held out hope that a racino would be constructed and the industry would be saved, but that hasn’t happened, and unfortunately, the worst-case scenario has happened.”
The Illinois Thoroughbred Horsemen’s Association filed a legal request for Hawthorne to access $1,125,000 from a state horse racing purse fund to sustain short-term operations.
Hawthorne’s financial woes are tied to declining interest and betting on horse racing over the years. In 2019, state legislators authorized the creation of racinos, combining race tracks with casinos, to invigorate the industry. Yet, Churchill Downs Inc. closed down Arlington International Racecourse in 2021, and Hawthorne struggled to secure financing to establish a racino. Despite holding exclusive rights to open a racino in the south suburbs, Hawthorne’s plans never materialized.
Recently, Hawthorne warned the state about potential layoffs of up to 290 employees if racing operations ceased. Additionally, track officials accused Illinois Department of Agriculture Director Jerry Costello II of improperly redirecting funds from Hawthorne to Fairmount Park Casino & Racing, where the director’s brother, John Costello, holds representation. John Costello refuted these claims, promising a legal battle over the allegations.
The closure of Hawthorne Race Course would mark the end of horse racing in the Chicago area. Established in 1891, Hawthorne is the oldest race track in Illinois, owned by the Carey family. Currently, approximately 300 residents, including workers and their families, live on its back stretch, caring for around 500 horses. If Hawthorne shuts down, Fairmount Park in downstate Collinsville, near St. Louis, would remain as the sole parimutuel betting track.
There are propositions to build a new harness racing track in Decatur, downstate, but legislative actions have stagnated on that front.