The iconic castle-like hotel that greets drivers entering New Hampshire from Massachusetts on the Everett Turnpike is about to get a major transformation. Delaware North, the Buffalo-based global hospitality firm that owns the Sheraton Nashua, is seeking approval to convert the property into the Gate City Casino Hotel: a two-phase expansion that would add nearly 93,000 square feet of casino and restaurant space to one of southern New Hampshire’s most recognizable landmarks.

The first phase of the project is scheduled to come before the Nashua Planning Board on Thursday, June 4, 2026. If approved, it would mark the beginning of a development that could reshape Nashua’s hospitality and gaming landscape for decades.

The Plan: Two Phases, One Transformed Property

The Sheraton Nashua, located at 55 Northeastern Boulevard near the Massachusetts border, has been a fixture in the city since its construction in 1979 on what was formerly farm and orchard land. The 357-room, seven-story hotel was expanded in 1990 and has long been one of the most visible structures for motorists traveling north into the state on the Everett Turnpike, which carries U.S. Route 3.

Delaware North is pursuing the project under the name ARBI Farms LLC. The full build-out, when both phases are complete, would add approximately 93,000 square feet of new casino gaming space and four distinct restaurant concepts to the property. The hotel’s existing castle-style exterior, which architects describe as a defining landmark for southern New Hampshire, would be preserved and enhanced rather than replaced.

Phase 1, expected to be completed in 2027, centers on a new two-story building constructed in what is currently a parking lot on the south side of the hotel. That addition would house 65,900 square feet of new gaming floor space, along with a new steak house, employee dining, support areas, and a parking garage with 1,275 spaces. This is also when the Gate City Casino, the existing Delaware North charitable gaming venue on Northeastern Boulevard, would relocate into the new space.

Phase 2, planned for 2030, adds another 26,960 square feet of casino gaming floor and 425 additional parking garage spaces.

A Charitable Gaming Powerhouse

Gate City Casino is not just a business proposition for Delaware North. Under New Hampshire law, charitable gaming operations must direct 35% of their daily house proceeds to eligible nonprofit organizations. Gate City Casino generated $7.1 million in revenue during 2025 and has produced $20 million in gross receipts since 2022, according to Ernie Dellaverson, the casino’s general manager.

That financial performance has made Gate City a meaningful funding source for dozens of Granite State nonprofits. When the Planning Board first heard details of the expansion on April 2, 2026, it received more than a dozen letters of support, many from charitable organizations that have benefited directly from the casino’s proceeds. No one appeared in opposition at that meeting.

Moving into the larger Gate City Casino Hotel space would allow the operation to grow from its current 450 to 550 gaming machines to between 600 and 700 machines, plus expanded gaming tables. The casino would operate under the hours allowed by the New Hampshire Lottery Commission: 8 a.m. to 4 a.m. daily.

Beyond gaming, Dellaverson told the Planning Board that the expanded operation would create 290 additional permanent jobs. The four planned restaurant concepts include a full-service restaurant with an expanded menu, a steak house featuring private dining rooms, a sports bar, and an Asian noodle bar.

Why Now, and Why New Construction?

The timing of this proposal is worth understanding, because it represents a pivot from an earlier plan. In May 2022, the Nashua Planning Board approved a conditional use permit to convert the Sheraton’s 13,000-square-foot hotel ballroom into casino space. That permit was granted, then extended, but ultimately expired without being used.

Delaware North has since decided to keep the ballroom as event space, a decision that the company says allows it to preserve a revenue stream from weddings, corporate events, and other gatherings while simultaneously building a purpose-designed gaming facility. The new construction, rather than a ballroom conversion, also allows for a significantly larger footprint and a more thoughtfully designed guest experience.

John Weaver, of the law firm McLane Middleton, is representing Delaware North before the Planning Board. He has framed the project around three priorities: maintaining the existing hotel as the “dominant presence” on the site, ensuring visual consistency between the original building and the new addition, and using exterior lighting to emphasize the hotel’s existing architectural character.

Architect Derek Soltes, of Montgomery Roth Architects, told the board in April that the casino and parking garage additions are specifically designed to complement the existing structure rather than compete with it. “The original hotel has served as the site’s main visual focus,” Soltes said at that meeting, noting that new construction is positioned to serve as “supporting features” to the landmark building.

What the Board Still Needs to See

The April 2 Planning Board meeting was productive but inconclusive. The board heard a detailed presentation and informally agreed that the expansion concept met the conditional use permit requirements. However, members wanted additional information before calling a formal vote, specifically on traffic mitigation and several site plan specifics.

A vote was originally set for May 7, then pushed to June 4. In the week before the June 4 hearing, Delaware North submitted both a traffic mitigation proposal covering both phases and a drainage and stormwater report, two of the key outstanding items from April.

Because of the project’s scale and the need to get the foundation in place before the New England winter, Delaware North has also applied for a separate, expedited permit allowing excavation, site grading, and utility work to begin. This is allowed under state law and would permit preliminary earth work to proceed while the full site plan and conditional use permit application move through the normal approval process.

A “planned investment” arrangement with the Nashua Police Department is also part of the proposal. Dellaverson said the casino intends to maintain an extra duty program with NPD to ensure adequate law enforcement coverage during peak hours.

What Delaware North Brings to the Table

Delaware North is not a small regional operator. The company, headquartered in Buffalo, New York, operates some of the most prominent hospitality and entertainment venues in the country. Its portfolio includes TD Garden in Boston, home of the Bruins and Celtics, as well as sports facilities, national parks lodges, and gaming venues across multiple states. That institutional depth matters for a project of this ambition in a city the size of Nashua.

The Sheraton Nashua sits at a strategically valuable intersection. The Everett Turnpike is a primary gateway into the state from Massachusetts and points south, and the hotel’s location makes it one of the first and last impressions many visitors have of New Hampshire. Transforming that property into a destination gaming and dining venue is a significant bet on Nashua’s continued appeal to visitors from across the border.

New Hampshire’s charitable gaming sector has seen substantial growth as the state has expanded its gaming framework. For context, a different proposal is also under consideration in Littleton, where an operator is eyeing a new casino venue as broader gaming interest across the state continues to rise.

It is worth noting that charitable gaming does not mean the same thing as full casino gaming in the Las Vegas or tribal casino sense. New Hampshire’s charitable gaming statute sets strict caps on the types and numbers of games allowed, and all operations must be tied to charitable beneficiaries. The Gate City Casino model operates within those parameters, and the expanded venue would do the same.

A June 4 Decision with Long-Term Implications

The Planning Board’s June 4 vote will likely be the most significant hurdle in Phase 1’s approval process. If the board grants conditional use and site plan approval, Delaware North could move quickly into construction given the pre-winter excavation permit it is simultaneously pursuing.

The public hearing portion of the April 2 meeting was never formally closed, which means June 4 will include an opportunity for public comment on the project. Residents and stakeholders who did not attend in April will have a chance to weigh in.

For Nashua residents watching the Everett Turnpike corridor, the Gate City Casino Hotel proposal is a reminder that the city remains an active target for substantial private investment. The question for the Planning Board will be whether the project’s economic benefits, job creation, and charitable gaming revenues justify the traffic, infrastructure, and neighborhood impact a development of this scale inevitably produces.

The Andy Sanborn fraud case, which involved Concord casino operations, was a reminder that New Hampshire’s gaming industry is not without its complications. Delaware North’s institutional size and the transparency of the Planning Board process offer different circumstances, but the Nashua hearing will draw scrutiny from observers across the state.

What is the Gate City Casino Hotel? The Gate City Casino Hotel is the planned new name for the Sheraton Nashua after a two-phase expansion by owner Delaware North. The project would add nearly 93,000 square feet of casino gaming space and four restaurants to the existing hotel, while preserving the property's iconic castle-style exterior.
When is the Nashua Planning Board vote on the casino expansion? The first phase of the project is scheduled to come before the Nashua Planning Board on Thursday, June 4, 2026. The board first heard the proposal on April 2 and postponed the vote after requesting more information on traffic and site planning details.
How much does Gate City Casino generate for New Hampshire charities? Gate City Casino generated $7.1 million in 2025 and $20 million since 2022. Under New Hampshire law, charitable gaming operators must direct 35% of daily house proceeds to eligible nonprofit organizations. Many of the letters of support submitted to the Planning Board came from nonprofits that have received these funds.
How many jobs would the expansion create? Delaware North says the expanded casino and four-restaurant complex would create 290 additional permanent jobs. The casino portion alone would grow from 450-550 gaming machines to 600-700, along with more gaming tables and extended hours.
What happened to the original 2022 casino permit for the hotel ballroom? In May 2022, the Planning Board approved a conditional use permit to convert the hotel's 13,000-square-foot ballroom into casino space. That permit was extended but ultimately expired without being acted upon. Delaware North has since decided to keep the ballroom as event space and build the casino in new construction instead, enabling a much larger footprint.