This story was originally produced by Nashua Ink Link. NHPR is republishing it in partnership with the Granite State News Collaborative.
The first phase of a plan that would eventually add nearly 93,000 square feet of casino and restaurant space to the Sheraton Nashua hotel is before the Nashua Planning Board Thursday.
Owner Delaware North, as ARBI Farms LLC, is seeking conditional use and site plan approval for the first phase of the project, which includes a new two-story building in what’s now the parking lot, and a new parking garage.
Once the second phase, planned for 2030, is done the iconic “castle” hotel near the Massachusetts border next to Everett Turnpike would house nearly 93,000 new square feet of casino and four restaurants.
The project also comes with a new name – Gate City Casino Hotel. The Gate City Casino, at 55 Northeastern Boulevard, also owned by Delaware North, will move into the space as part of the first phase.
While the plan includes extensive new construction, it will preserve the iconic presence of the castle-like hotel next to the Everett Turnpike while adding “contemporary elements,” developers told the Planning Board April, s when the plans initially were presented.
The addition is designed to build on the design elements of the hotel’s character while introducing contemporary elements, John Weaver, of McLane Middleton, who was representing Delaware North, told the board.
The 357-room, seven-story Sheraton Nashua, previously the Sheraton Tara, was built in 1979 on former farm and orchard land, and expanded in 1990. The new additions would be built in parking lot space on the south side “front” of the hotel, with parking space maintained in between the two wings, so that the existing well-known building will still be visible to drivers on the Everett Turnpike, which is U.S. Route 3 and one of the main gateways into the state from Massachusetts and points south.
Charitable gaming is allowed by zoning on the property with a conditional use permit, and one was originally approved by the board in May 2022 to convert the ballroom to casino space. That was extended, then expired without being used. The owners have decided to keep the ballroom as event space and put the casino in new construction, Weaver said.
Delaware North, headquartered in Buffalo, New York, is a global hospitality property firm that owns, among other venues, TD Garden in Boston.
The board heard details of the plan April 2, and informally agreed that the plan met the conditional use permit requirements, but wanted to hear more about traffic mitigation and some site plan specifics. A vote was set for May 7, then postponed for Thursday, June 4. The public hearing portion of the April 2 meeting wasn’t closed, which means the public can speak about the project. No one spoke in opposition in April. More than a dozen letters in support were received, many from nonprofit organizations that have benefited from proceeds at Gate City Casino.
Developers have shown they’re aware that maintaining the iconic castle appearance of the hotel, one of the first things those entering the state on the Everett Turnpike see, is important to the city and public.
Weaver said that there are three goals to the project: maintaining the hotel as the “dominate presence,” maintain consistency between the building and the addition, and using exterior lighting to emphasize “the distinctive design features.”
Architect Derek Soltes, of Montgomery Roth, made the point, too, telling the board that the project will respect the established design and add modern design only where necessary.
He noted that the original hotel has served as the site’s main visual focus – the casino and parking garage are designed to complement it and serve as “supporting features.”
Most of the new construction is being done in what is now a parking lot, on the south side of the building.
Gate City Casino generated $7.1 million in 2025, and $20 million since 2022, Ernie Dellaverson, general manager of Gate City Casino, told the board. Eligible nonprofits get 35% daily house proceeds under New Hampshire law.
The move to the new location will increase the amount of machines to 600-700 from 450-550, and also increase gaming tables, Dellaverson told the board. He said that they will also be open to the limit allowed by the New Hampshire Lottery – 8 a.m. to 4 a.m.
The expanded casino and its four restaurants would mean 290 additional permanent jobs, he said. Planned are a full-service restaurant with an expanded menu, a steak house with private dining, a sports bar, and an Asian noodle bar.
A conditional use permit was granted in May 2022 to change the 13,000-square-foot hotel ballroom into a casino was never acted on and expired after an extension. Delaware North representatives April 2 said that the ballroom will now continue to be event space, with the casino going into new construction.
The first phase incudes a new-construction two-story addition in what’s now the parking lot, and is expected to be done next year. It will house gaming, restaurant service, support areas, a new steak house, employee dining and a parking garage. The addition will add 65,900-square feet of gaming floor space and 1,275 garage spaces.
A traffic mitigation proposal for both phases, as well as a draining and stormwater report were submitted by the developer to the planning department last week. Both were some of the information that the board was looking for April 2.
The second phase, planned for 2030, will add 26,960 square feet to the casino gaming floor and 425 garage parking spaces.
Weaver said the new development won’t generate excessive traffic, “the unique architectural character” of the existing buildings will be maintained, and the project complies with the city’s master plan.
Because of the project size and the need to get the foundation done before winter, the developers are also applying for permission for excavation, site grading and utility work, separate from the CUP and site plan approval, as allowed under state law.
Dellaverson, general manager of Gate City Casino, said that they have a “planned investment” with the Nashua Police Department with an extra duty program to make sure they’re covered during peak hours.