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Maryland Exercises Right of First Refusal to Acquire Preakness Stakes Branding Rights for $85 Million
Maryland Governor Wes Moore announced the state will exercise its right of first refusal to acquire intellectual property rights to the Preakness Stakes and Black-Eyed Susan Stakes for $85 million, preventing Churchill Downs from owning the branding rights. The acquisition, funded through tax-exempt revenue bonds, comes as Pimlico Race Course undergoes major reconstruction with plans to return both races to the venue by 2028.
Quick Facts
Who
Governor Wes Moore
What
Maryland exercises right of first refusal to match Churchill Downs offer
When
Thursday (June 18, 2026)
Where
Maryland
- Maryland exercises right of first refusal to match Churchill Downs offer
- State acquires intellectual property rights to Preakness Stakes and Black-Eyed Susan Stakes
- Churchill Downs intended to purchase and license back branding rights
- Maryland Jockey Club assumes control from 1/ST Racing
- Pimlico Race Course undergoes major reconstruction
Maryland Governor Wes Moore announced Thursday that the state will exercise its right of first refusal to match Churchill Downs Incorporated's $85 million offer for the intellectual property rights to the Preakness Stakes and the Black-Eyed Susan Stakes. Churchill Downs, which operates the Kentucky Derby, announced in April its intention to purchase these branding rights from 1/ST Racing, with plans to license them back to Maryland annually to stage the races.
Governor Moore emphasized the cultural and economic significance of the decision, stating that ownership of the Preakness secures a vital asset that allows Maryland to shape its horse racing destiny and preserve the state's role as a key player in the Triple Crown. The $85 million acquisition will be funded through a tax-exempt revenue bond issuance rather than general fund tax dollars, with repayment supported by revenue generated from ticketing, wagering, and sponsorships. The state anticipates that fees to Churchill Downs will escalate over time.
The Maryland Jockey Club, a nonprofit organization, will assume control from 1/ST Racing as part of the transition. The acquisition comes amid a significant reconstruction project at Pimlico Race Course in Baltimore, the traditional home of both races. The Preakness and Black-Eyed Susan races were temporarily relocated to Laurel Park in 2025, with plans to return to Pimlico by May 2028 once the full grandstand renovation is completed. The Maryland Jockey Club intends to establish year-round racing operations at Pimlico.
Industry leaders have praised the decision as transformative for Maryland racing. Katharine M. Voss, president of the Maryland Thoroughbred Horsemen's Association, called it a defining moment, while Mark Anthony Thomas, president and CEO of the Greater Baltimore Committee, noted that state ownership ensures future decisions about the Preakness will be made in Maryland's interest.
Why This Matters
This acquisition preserves Maryland's control over two prestigious horse racing events worth $85 million, preventing an out-of-state corporation from monopolizing the branding rights and future licensing decisions. For Maryland's economy, this ensures racing revenues and sponsorship fees remain subject to state interests rather than corporate profit motives, while protecting the state's role in the Triple Crown racing legacy. For racing enthusiasts and local stakeholders, state ownership guarantees that the Preakness and Black-Eyed Susan will continue at their historic Baltimore location under Maryland's stewardship.
Timeline & Sources
Jan 1, 2025
WirePreakness and Black-Eyed Susan races temporarily relocated to Laurel Park due to Pimlico reconstruction
Jun 18, 2026
WireMaryland Governor Wes Moore announces state will exercise right of first refusal to match $85 million offer
Jan 1, 2027
WireExpected return of Preakness races to Pimlico