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Gateway Casinos & Entertainment Limited plans to invest $200 million after reaching a deal with the Ontario Lottery and Gaming Corporation (OLG) for southwest Ontario properties.

Canada’s largest gaming and entertainment company adds that the deal sets the stage for a full-fledged casino in London.

“We are planning a major gaming and entertainment casino property in London,” senior vice-president of marketing and communications Carrie Kormos told AM980.

“However, we are still working on our plans and it is important to be respectful of the approval process that we have with our OLG partners, with government, and with other folks.”

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Gateway signed a 20-year casino operation and services agreement (COSA) with the OLG and has purchased the business and assets of the Southwest Gaming Bundle, effective Tuesday.

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The bundle includes a casino in Point Edward, and slots in Woodstock, London, Clinton, Dresden, and Hanover.

The $200-million investment includes a major commitment to London with announcements to come next month.

“While we’ll have more to say in the coming weeks and next month, we’re planning a major gaming and entertainment property in London that will be a significant investment and in fact our largest development in Ontario,” said Kormos.

“We’re still working through our plan, but if you look at what Gateway has built in other provinces, we really have a track record of creating full-service entertainment destinations that involve restaurants, spectacular gaming floors, hotels, other non-gaming amenities. We’re working through those plans right now with the OLG.”

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The changeover from OLG to Gateway is not expected to cost any jobs and the future investments in London could bring up to 1,000 jobs in addition to any construction jobs, the company says.

“In addition to the jobs that will come at the property with the new development, we’ll also be having our head office for Ontario based here in London.”

Kormos adds that over the next couple of years, Gateway will be launching their signature brands, which include Playtime, Cascades, Starlight and Grand Villa at all of its Ontario properties.

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— With files from Devon Peacock.