Accel Entertainment Plans Chicago Launch Pending VGT Regulation
Accel Entertainment Eyes Chicago’s VGT Market
Accel Entertainment is considering expanding its presence into Chicago through Video Gaming Terminals (VGTs), following recent discussions about allowing these machines in licensed venues across the city. Officials in Chicago have suggested that the introduction of VGTs could bring significant new tax revenues, while Accel sees a promising business opportunity in the potential market.
Progress Toward VGT Regulation in Chicago
Accel Entertainment has expressed interest in bringing its gaming and entertainment services to Chicago if the city moves forward with regulating and permitting VGTs at licensed locations. The City Council Office of Financial Analysis estimates that allowing VGTs could generate up to $64 million in annual tax revenue, which corresponds to a gross gaming revenue of about $1 billion yearly. This would be in addition to the $3 billion produced annually by VGTs in other parts of Illinois. However, experts caution that it may take up to ten years for the market to fully mature and reach these revenue levels.
Currently, VGT operators receive roughly 32% of the gross gaming revenue. Applying this rate to Chicago’s potential market suggests an incremental net revenue of around $320 million for operators if VGTs are fully authorized in the city.
Optimistic Outlook for Market Entry
Despite a potentially slow ramp-up period, Accel Entertainment remains confident that it can successfully enter and establish itself in Chicago’s VGT market. Drawing from its extensive experience across Illinois, the company anticipates it could begin generating income by the third or fourth quarter of 2026, followed by steady growth toward stable operational results.
Accel emphasizes its strong financial position, operational infrastructure, and management capabilities as key advantages that will support its market entry and growth. These factors, combined with an effective capital deployment strategy, position Accel to effectively capitalize on the Chicago VGT opportunity once regulations are finalized.
As Chicago moves closer to establishing a regulatory framework for VGTs, Accel Entertainment continues to assess the market environment and prepare its strategies to participate successfully once the opportunity is official.
