Lawyers for The Greenbrier Hotel say they would welcome flexibility about keeping the casino open during a half-billion financial transaction.
That was a main point in a letter sent today from Steve Ruby, a Charleston attorney representing The Greenbrier, to acting Lottery Director David Bradley.
“We would of course be very pleased to be able to close our refinancing and continue to operate the casino for a brief period while Lottery approval remains pending. Please advise whether we can enter into an agreement to permit a transition period of that nature in order to maintain casino operations,” Ruby wrote.
The Greenbrier’s casino license has been a hinge point in a proposed $500 million transaction between the owners of the hotel, Senator Jim Justice and his family, and Kennedy Lewis Investment Management.
Because the proposal is a joint venture, West Virginia Lottery has been reviewing the finances relating to a change in responsibility for the gaming license.
The financial deal is also part of a federal court fight over control of The Greenbrier. In a filing Wednesday evening in U.S. District Court, lawyers for The Greenbrier said they couldn’t wait any longer for the West Virginia Lottery review and would have to close the casino to move forward with the financial deal.
Today, The Greenbrier’s message to lottery is there could be ways to avoid a closure, although that could still occur:
“Given the time constraints created by that litigation and by the enormous costs of continued delays in closing, we must close the transaction tomorrow. We would welcome a temporary agreement to continue operating the casino between closing and Lottery approval. We similarly would welcome an emergency meeting, which would be appropriate under the circumstances, to confirm Lottery approval by tomorrow.
“Absent one of those resolutions, however, we remain obliged to close the transaction tomorrow and cease operations at the casino, in which case we request approval as soon as possible thereafter so that casino operations may resume and casino employees can go back to work.”
The Greenbrier’s casino was established in 2010, a year after the historic hotel was purchased out of bankruptcy by Jim Justice, a former governor now serving as a U.S. senator, and his family. The casino brings in millions of dollars a year as a tourism destination, employer and tax source.
The Justices are working on a $500 million financial deal with Kennedy Lewis Investment Management LLC, which is a New York-based alternative asset management firm focused on opportunistic and private credit.
Kennedy Lewis is considering a financing deal that could pay off roughly $300 million in first-liens loans on The Greenbrier purchased earlier this year by White Sulphur Springs Holdings, an affiliate of Omni Hotels & Resorts. More money could go to pay down other debts and, potentially, upgrade The Greenbrier property.
This is all unfolding in U.S. District Court for the Southern District of West Virginia, where White Sulphur Springs Holdings filed a lawsuit to try to have a receiver named to run The Greenbrier while pushing out the Justices. The court case has mostly been on hold while the Justices see through the financing possibility with Kennedy Lewis.
Now it’s heating up again as U.S. District Judge Frank Volk requires updates about the status of the financial deal and moves toward hearings next month.
In a status report filed Wednesday, lawyers for the historic resort said they can close a half-billion dollar deal by Friday.
But, “the Greenbrier has reluctantly decided that it will shut down its casino in order to close the transaction because the West Virginia Lottery (“Lottery”) has indicated that it will not consider the transaction by that date.
“This will result in the layoff of approximately 90 casino employees, which Defendants deeply regret, as well as a loss of revenue to the State, which is also regrettable.”
The West Virginia Lottery Commission doesn’t have a regular meeting scheduled until August 26. The Lottery Commission has a conference call scheduled for August 19 to discuss the agenda for that meeting a week later.
West Virginia Lottery publicly released a three-page letter dated Wednesday in response to The Greenbrier’s threat to close the casino.
“I am writing in response to your August 11, 2026, letter notifying me for the first time that the casino operated by Greenbrier Hotel Corporation (“GHC”) was at risk of closing because the West Virginia Lottery did not approve its change of ownership by Friday, August 7, 2026. That threat — especially without prior notice — is deeply concerning for several reasons,” wrote Bradley.
Bradley concluded his letter by writing, “It is critical to note that the action required by the Lottery Commission, that we may be positioned to address on August 26, in no way requires the closure of the casino at GHC pending resolution of the financial transaction with Kennedy Lewis.”
That’s the point that Ruby cited in response to say some bridge arrangement could be worked out.
“As we have previously explained, we believe the impending transaction is a clear win for the State and resolves every concern that the Lottery has raised about the Greenbrier and its casino,” Ruby wrote.
“The refinancing will pay off more than $400 million of debt that is classified as currently due, thereby eliminating the stated concern that led the Lottery to place the Greenbrier’s casino on financial watch at the most recent license renewal.”