The multimillion-dollar repercussions from Stockton University’s purchase of a defunct casino hotel in Atlantic City keep piling up, the Bergen County (N.J.) Record reported yesterday. Stockton University has spent nearly $3 million over the past five months — in addition to the $18 million purchase price — on the former Showboat, which it is now unable to convert to a satellite campus because of the deed restriction requiring that it remain a “first class casino.” The Showboat had closed its doors in August and was purchased by the university from Caesars Entertainment. The school made an agreement with Florida developer Glenn Straub — who bought The Revel, which is next door and closed in September — to sell the Showboat to him by July for $26 million. Meanwhile, Stockton has made a claim against Caesars Entertainment, seeking $22 million in damages for the Showboat deal. The purchase agreement specified that Caesars was responsible for resolving issues involving a deed restriction. Those issues were not resolved when Stockton purchased the property without clear title, and Caesars declared bankruptcy the following month.
