Thursday, June 6, 1996 | 11:59 a.m.
International Thoroughbred Breeders Inc. said it has received a $30 million loan from Foothill Capital Corp., a unit of Norwest Corp.
The loan, which includes a $16 million revolving credit line and $14 million term loan mortgage, will be used to repay a $14 million first mortgage note and for corporate purposes.
The first mortgage was assumed in connection with the company's acquisition of the land housing the former El Rancho hotel-casino in Las Vegas, where ITB said it plans to develop the Starship Orion project.
Starship Orion is a planned $1 billion gaming and entertainment complex on the Strip opposite Circus Circus. The complex, to be built on 36 acres, calls for seven gaming companies to contribute up to $100 million each to own and operate casino areas around a themed $300 million core.
While there has been skepticism in the financial community over the company's ability to develop the project, ITB officials have said they've received expressions of interest from several gaming companies eager to gain a foothold on the Strip but unable to do it alone.
"This financing represents a solid vote of confidence from a leading member of the financial community in the significant changes that have taken place at ITB," said Joel Sterns, ITB chairman.