DraftKings Closes Wrigley Field Sportsbook Amid Illinois Tax Burden

(AsiaGameHub) –   DraftKings has closed its Wrigley Field sportsbook in Chicago, Illinois, attributing the decision largely to escalating tax pressures. The company announced that May 31 marked the venue’s final day of operation.

Wrigley Field Sportsbook Closes After Offering Betting for Two Years

Located adjacent to Wrigley Field—the home stadium of Major League Baseball’s Chicago Cubs—the sportsbook debuted its bar and restaurant in 2023, with full sports betting services launching the following year.

In its official statement, DraftKings confirmed that May 31 would serve as the last day for sports wagering at the location. Moving forward, the lounge will continue operating without sports betting functionality, though patrons may still place bets via the DraftKings mobile app while on-site.

DraftKings to Take a More Focused Approach to Investing in the State

DraftKings pointed to recent tax policy changes in Illinois as a primary factor behind the closure. Under current regulations, sports betting operators in the state are subject to a gross gaming revenue tax ranging from 20% to 40%, based on their designated tier.

This tiered structure requires any sportsbook generating more than $200 million in annual sports betting revenue to pay the higher 40% rate.

Already burdened by one of the nation’s highest tax rates, operators faced additional strain last year when Illinois imposed a per-bet fee: 25 cents on each of the first 20 million wagers annually, and 50 cents on every wager thereafter.

The situation was further exacerbated by Chicago’s recent implementation of a 10.25% municipal tax on sports betting revenue—a move that proved decisive for DraftKings, prompting the discontinuation of its Wrigley Field betting operations.

DraftKings acknowledged its partnership with the Chicago Cubs as a point of pride but indicated it would now adopt a “more focused approach” to its investments within Illinois.

DraftKings Poised for Growth

Despite challenges in Illinois, Macquarie analyst Chad Beynon recently voiced strong confidence in DraftKings, citing one of the most compelling structural growth narratives in the gambling sector over recent years.

This optimism is bolstered by the rapid expansion of the company’s prediction markets platform, DraftKings Predictions.