Maryland Moves to Acquire Intellectual Property Rights of Preakness Stakes and Black-Eyed Susan

Maryland Governor Wes Moore declared on Thursday that the state plans to secure ownership of the intellectual property rights associated with the Preakness Stakes and the Black-Eyed Susan horse races. This decision follows the exercise of Maryland's right of first refusal to match an $85 million offer made by Churchill Downs Inc. for these rights.

“The Preakness Stakes is more than just a race; it is a cornerstone of Maryland’s history, culture, and economy,” Governor Moore said in a statement. “This decision secures a vital asset for our state, allows Maryland to shape its horseracing destiny, and by leveraging the Preakness’s iconic status and partnering with industry experts to enhance the fan experience, preserve Maryland’s position as a key power player in the Triple Crown for generations to come.”

Currently, Maryland owns Pimlico Race Course and manages the Preakness Stakes. The state also has a pending purchase of Laurel Park Race Course. According to a news release issued on Thursday, the choice to invoke the right of first refusal was the result of a strategic evaluation aimed at controlling the "essential assets" of the Preakness Stakes.

The acquisition will be financed through a tax-exempt revenue bond issuance by the Maryland Economic Development Corporation. Importantly, no General Fund tax dollars will be used for this purchase.

Revenues generated from wagering, ticketing, and sponsorship related to the Preakness Stakes and Black-Eyed Susan races will support the debt service on the bonds.

With ownership of the intellectual property, Maryland will no longer be bound by the existing licensing agreement. Instead, the state plans to implement a model that benefits the surrounding community and the broader racing industry.

In 2024, the Maryland General Assembly approved $400 million in bonds to redevelop Pimlico Race Course, located in Baltimore’s Park Heights neighborhood. This investment is expected to increase racing days at Pimlico from 15 to over 100 annually.

Additionally, the state has invested in neighborhood revitalization efforts in Park Heights through Governor Moore’s ENOUGH Initiative, which has allocated $3 million to projects led by Park Heights Renaissance.

Mark Anthony Thomas, president and CEO of the Greater Baltimore Committee, praised the move, stating, “Ownership ensures that the decisions shaping the future of the Preakness are made in the interest of Maryland and that the value created through public investment benefits Maryland taxpayers, businesses, workers, communities, and the equine industry. We look forward to working alongside the State, the Maryland Jockey Club, and partners across Maryland to help maximize this opportunity and ensure the Preakness continues to grow as a source of pride, prosperity, and economic opportunity for generations to come.”