Ameristar Casinos, Inc. announced a proposed $100 million expansion project at the company’s Council Bluffs property. The company said it will make a formal presentation on the project to the Iowa Racing and Gaming Commission at the IRGC’s June 7 meeting.

The expansion would add 60,000 square feet to the existing casino and will double the current casino floor square footage by incorporating an additional 38,500 square feet of new gaming space with approximately 600 new slot machines and 20 additional table games, including a poker room, the company said.

The expansion also will feature an elaborate central bar area and two additional bars, a deli restaurant, a new 1,000-space parking garage and an upscale Star Club VIP lounge, the company said.

Access to the casino will be improved with an additional garage entrance, an enhanced connector from the existing garage and better access from the existing streetscape, Ameristar said.

The Council Bluffs property has performed exceptionally well, improving its earnings and operating margins since the second quarter of 2006 in the face of a larger competitive facility, said John Boushy, Ameristar CEO and President.

There are two other casinos in Council Bluff’s, a Harrah’s and Horseshoe.

Boushy went on to say, “We believe our Council Bluffs property has additional growth opportunities. The latent market growth, coupled with the creative and innovative way the expansion engages and utilizes the existing vessel will generate a good return for our shareholders. We are confident this project can help us reduce capacity constraints during peak periods and increase revenues for our property and for the market overall. In addition, we expect that the project will drive increased visitation to the market and provide additional tax revenues.”

Ameristar said it has the ability to fully finance this expansion within its existing capital structure. Subject to the receipt of necessary regulatory approvals, the company said it expects the Council Bluffs expansion to be completed in mid-2009.

The exterior of the facility will retain its existing character, with an architectural design reminiscent of a gateway river town, Ameristar said. In its entirety, Ameristar Council Bluffs will resemble a riverboat docked at an historic building.

The company said it will construct a new coffer dam to enclose the basin in which the existing casino facility rests. The coffer dam will allow for the control of water levels within the basin and stabilize the level of the vessel in relation to its landside facility.

Ameristar said the expansion will create roughly 175 jobs for local construction workers over an 18-month period, and expects to hire about 100 additional employees to staff the expanded casino.