Hail, Caesars Entertainment: the casino business may or may not be eyeing Atlantic City’s Revel as their acquisition that is newest
We question that the Roman emperor himself kept his name front side and center as well as Caesars Entertainment Corporation does today. And despite continuing to carry the gaming industry’s heaviest debt load hovering at the $24 billion mark, buying and building new properties doesn’t appear to be a issue because of this casino conglomerate.
Lately, they have been in talks with Japanese leaders to construct a potential new casino in Osaka just as video gaming is legalized in Japan, and now the latest news, according to some insider reports, is that they have their attention on Atlantic City’s problem child casino, Revel.
Could Revel Stay Next on Their List?
Revel officially went into bankruptcy right back in March 2013; not even 12 months into its once-gloriously touted entrance onto the beleaguered Atlantic City land gaming scene. Now anyone interested in snatching the casino up will have under fourteen days to submit a bid, and according to Bloomberg, Caesars isn’t a slam dunk with this purchase; nor is it even 100 % particular they will even make a move to do so.
Other contenders are into the mix; those include Orlando-based intense Rock Overseas, who the New York Post last month reported as being in ‘advanced negotiations’ for the purchase. That was following a decision by Hard Rock to scrap plans to build their own casino in the New Jersey gambling mecca back in 2012; reportedly because in a nutshell the casino business is pretty much down for the count in that town. With profits dipped to a three-decade low in 2013 largely due to massive competition from surrounding states building one thing new sort of lost its appeal, apparently.
Who knows who to think right here, but if the inside scoop at Bloomberg proves proper, Caesars would become holding five Atlantic City casinos, which is very nearly half of this city’s staying 11 currently in procedure. And that’s not even taking into account the Atlantic that is now-closed Club Caesars bought at a fire sale auction for absolutely nothing at the end of 2013.
NJDGE May Force A purchase
All this acquisition that is local presence may not sit well, nevertheless, with brand New Jersey’s Division of Gaming play free pokies indian dreaming Enforcement (DGE), which will not take fondly to exactly what would essentially amount to some antitrust issues by holding what the DGE identifies as ‘undue economic concentration’ in the town.
Should the Revel purchase become reality, it would push Caesars existence in Atlantic City’s casinos up to 47.2 percent in terms of revenue stocks.
What it all adds up to in this still very hypothetical situation is that the DGE could actually force Caesars to either sell off or shut down one of its other four extant gambling enterprises should they add Revel into their fold. Most apparent for that situation would be either Bally’s or the Showboat, as their moneymakers don’t shake since well as Caesars AC or Harrah’s AC; the latter two were trailing just down from competitors Borgata (owned by MGM Resorts International and Boyd Gaming) on a monthly basis.
As for Revel, the casino has nowhere to go but up. Even pre-opening, investor Morgan Stanley had already chosen to write off near to one billion bucks in debt so they wouldn’t anymore have to sink into the property’s money-pit construction funding. By the time Revel launched its doorways in 2012 with a much-touted ‘no smoking anywhere in the casino’ policy all it mostly heard at the slot devices and tables was the noise of silence. Despite spending $2.4 billion on the casino, clients in the somewhat more blue-collar Atlantic City demographic apparently didn’t feel in the home here. And despite later reversing the no smoking dictum and marketing exactly what some later called deceptive ‘free money for play’ to gamblers, the true numbers simply never really picked up; for 2013, the casino came in eighth out of (then) 12 for Atlantic City’s general video gaming revenue ladder.
How much might Caesars or any bidder, for instance ante up for Revel if they in fact buy it? No one knows yet. But also for both Caesars and Atlantic City, making more money than they spend might be a good goal for 2014.
Foxwoods Fall River Casino Goes Official, But Still Needs a niche site
Foxwoods is still within the game in Massachusetts, with Fall River now behind their casino project (Image: WBZ-TV)
Foxwoods might have been refused in Milford, nevertheless they’re not giving up on their dream of a Massachusetts casino as of this time. As has been speculated for some right time now, Foxwoods and the town of Fall River are working together to produce a casino proposition that they wish should be able to win certainly one of the three casino licenses available in the state.
Economic Boost for City
The plans had been announced at a press conference recently, in which Mayor William Flanagan and officials from Foxwoods made public their plan to bring a $750 million resort casino to the city. The mayor stated that the casino could create as many as 5,000 jobs for the populous town, which has continued to suffer from an unemployment rate that is far greater than that of Massachusetts as a whole.
According to officials, the casino would feature 140,000 square feet of gaming, along with up to 20 restaurants, a hotel, a convention center and venues for concerts and other events.
‘We want this become a destination here in Massachusetts along with the Northeast,’ Mayor Flanagan stated.
Foxwoods CEO and president Scott Butera agreed that the casino could be a ‘destination resort,’ saying that major properties such as the one they have planned are ‘economic engines like nothing else within the world.’
While Foxwoods was refused from Milford, they feel confident that they can be welcomed in Fall River.
‘ We realize it’s the home that is right us,’ Butera said.
Locals Help Foxwoods Venture
Regional specialists on the casino industry agree with Butera’s assessment. Professor Clyde Barrow for the University of Massachusetts-Dartmouth says that non-binding votes and polling that is public consistently shown support for a casino within the Fall River area.
‘ Assuming they get a site and certainly will negotiate a host agreement, I have no doubt a casino proposal would pass in Fall River,’ stated Barrow.
Locating a site is apparently the sticking point that is largest in the plan during the moment. While Foxwoods includes a rough plan of what they’d prefer to do in Fall River, they don’t really yet have any land to build on yet.
That has been a focus that is major of Tuesday press conference, as Mayor Flanagan appealed to owners who might potentially be willing to offer large parcels of land. Foxwoods is reportedly looking a website of 30 to 70 acres on which to build, with all the mayor saying that a waterfront web site would be ideal.
Foxwoods must be in a position to move quickly, as the casino firm has already undergone background checks and received a suitability ruling during their campaign to build a casino in Milford.
Foxwoods would now be competing for the casino license obtainable in Southeastern Massachusetts. The southeastern license was delayed as state regulators allowed the Mashpee Wampanoag tribe to attempt to gain land on which to build a casino in Taunton while the licenses for Western Massachusetts and Greater Boston will be awarded in a matter of months. With that process apparently stalled, their state gambling commission lifted the freeze on the Southeastern region last year. Foxwoods has become simply the 2nd company to look for a casino in the region, joining KG Urban, which is looking to build a casino in New Bedford.
For Foxwoods, the strange series of events that brought them to Fall River feels like divine intervention.
Nj-new Jersey Legislators Reintroduce International Online Gambling Bill
If brand new legislation goes through in brand new Jersey, the Garden State could become a global player into the on line gaming universe.
The web gambling market in brand New Jersey may not be pulling in the enormous revenues that Governor Chris Christie predicted, but overall, the launch has been seen as a success for the state’s gambling enterprises. But even since the New Jersey Internet market that is betting in its infancy, some legislators are thinking ahead to the way the state could capitalize on legal online gambling worldwide.
A brand new proposal from nj-new Jersey state senators Ray Lesniak and Jim Whelan would allow Atlantic City gambling enterprises and their partners who have actually earned online gambling licenses in hawaii to supply their games in other regulated jurisdictions as well. That would take nj-new jersey’s online offerings out of a cottage that is admittedly large and onto a much broader stage, where in actuality the potential earnings for casinos as well as the state are nearly limitless.
‘This opens up the market that is worldwide us, the $30 billion Big Kahuna,’ said Senator Lesniak.
This bill is perhaps not the time that is first Jersey’s legislators have taken a look at where else the state’s licensees might offer their online gaming sites. The idea was very first floated by Lesniak year that is last before the very first web sites also went live. Under that version of the legislation, on line gambling companies from around the world might have been welcomed to New Jersey, potentially turning their state into a international gambling hub. That legislation was later changed to require organizations to operate specifically out of Atlantic City, and to remove a requirement that on line gambling firms help fund the state’s horseracing industry.
Stepping Outside State Lines
The new version associated with the legislation simplifies those proposals. Beneath the plan that is current New Jersey’s licensed casinos and their online gambling lovers would be permitted to offer their services in other regulated jurisdictions. Instead of bringing the world of gambling to the state, it allows New Jersey’s on-line casino industry to reach out to the massive market that is worldwide.
The bill would also need payment processors become certified into the in an identical way as nj-new jersey’s casinos and their online gambling partners. This would hopefully solve some for the present problems players are having with banking institutions preventing online gambling payments from being processed for the state’s regulated web sites. Many major banking institutions were wary of approving gambling that is online for a number of reasons, including confusion over how state and federal laws communicate on this issue. It really is hoped that licensing payment processors may help ease these concerns.
Lesniak believes that such legislation would allow New Jersey to reap the maximum benefit from its relationship with online gambling.
‘[The bill] would put nj-new Jersey at the hub of an international gaming industry that is likely to experience rapid growth in the years ahead,’ Lesniak said when he first introduced the bill in November. ‘The plan would help attract international gaming companies to New Jersey, creating jobs, state revenue and financial expansion.
‘Our company is well positioned to benefit from a dynamic opportunity to be during the hub of a new business sector with the potential for economic growth and job creation,’ the senator added.