As the bankruptcy proceedings that will determine the fate of Hawthorne Race Course hit the stretch run, there remains a possibility the track will survive as a venue for racing, according to attorneys.
Hawthorne, overwhelmed with unpaid bills and bounced checks, filed for Chapter 11 protection Feb. 27. After months of preliminary hearings and rulings, the track and creditors are seeking bids from potential buyers who might either demolish the track for redevelopment or continue racing and add a racino on the property.
The deadline for bids is June 26 and an auction, if necessary, is slated for July 7 with a final sale hearing July 13.
Hawthorne and a creditors committee had asked June 16 for an extension of that time frame, but withdrew the request two days later.
"We don't need it," Hawthorne attorney Barry Chatz said before a June 23 hearing in bankruptcy court.
During the hearing, Judge Timothy Barnes asked whether Hawthorne is confident there is sufficient time to accept and analyze bids.
"Don't worry, your honor. We believe we have a 'stalking horse' bid. We may need some time to approve ... a contract that just came in as I was sitting here," Chatz said.
A "stalking horse" bid is an offer that sets minimum price and other standards for rival bidders. It requires court approval and Chatz and Barnes negotiated potential dates within a one-week window for a hearing on a motion.
"We'll be back in touch very soon," Chatz said.
Chatz said the proposed contract in hand is "on the real estate side," which prompted a direct inquiry from Barnes, who has acknowledged he is a casual fan of racing.
"There is at least a potential for a going-concern bid. Is that correct?" the judge asked Chatz, meaning a bid that would continue racing operations.
"That is correct," Chatz answered.
Hawthorne, located in the close western Chicago suburb of Stickney, is the only remaining Chicago-area racing venue. Hopes for its future were high when, in 2019, the Illinois legislature authorized racinos at tracks.
Hawthorne quickly received preliminary approval from the Illinois Gaming Board and began demolition of its grandstand in preparation for gaming, but hit a wall when financing fell through. Despite repeated assurances to the horsemen, the Illinois Racing Board and others that a deal was near, nothing materialized and the skeleton of the grandstand still looms over the track.
With past-due bills mounting and other tracks cutting off its simulcast signals, the track's longtime banking partner froze its accounts at the end of 2025. Checks, primarily to harness horsemen, began to bounce and the Illinois Racing Board suspended the track's Standardbred license, leaving a bankruptcy filing as the last resort.
Finalizing the sale process will be complicated and potentially time-consuming with several creditors maneuvering to ensure their claims are prioritized.
