The over $72 million per year Casinos in Nevada

This post is probably of interest more to people who follow the business, in particular the locals casinos.

I'm surprised, like you said, by Arizona Charlies and also the Rampart, which is really far out in Summerlin and is quite small square footage-wise. However, last time I was there it was absolutely PACKED with retirees. This was during a weekday afternoon. You would have thought it was New Year's. They have pretty decent video poker there, and it's a nice atmosphere.

Quote: teddys

I'm surprised by Arizona Charlies and the Rampart last time I was there it was absolutely PACKED with retirees. This was during a weekday afternoon. You would have thought it was New Year's. They have pretty decent video poker there, and it's a nice atmosphere.

Makes you wonder about all those headlines about reduced room rates! Retirees packing a casino are not doing so because of room-rate enticements, pheremone filled nightclubs or Hollywood starlets, they are there for a good bargain thats pleasant and nearby.

Arizona Charlies Decatur seems to have a loyal following, I've never figured out why the owner went bankrupt long ago and Icahn was able to take over!

Arizona Charlie's was always making money. The Beckers lost their shirt tryings to expand into riverboat gambling in the midwest. Icahn took over the choice property. As near as I can tell if you borrow money from Icahn you might as well be borrowing money from Satan. You will lose everything.

Icahn wrested The Stratosphere away from Bob Stupak as well. Then he sold the whole kit and kaboodle for $1.3 billion including Arizona Charlie's Boulder and Aquarius in Laughlin to Whitehall Street Real Estate Fund (WSREF). WSREF seem to have felt that the 17 acre empty lot next to the Stratosphere was worth about $0.5 billion. They closed the deal in February of 2008 and revenue began to tank immediately. WSREF nominally sold 22% of the now massively bleeding company for $600 million to their parent organization, Goldman Sachs, who was getting bailed out by President Obama. Now the employees are losing their jobs and their retirement plans as the new company struggles under this massive debt caused by this unbelievably misguided real estate speculation. The company was turning a good profit until it was sold at such an inflated price and incurred all that debt. Capitalism at it's bloodthirstiest.

Fortunately the government is there to bail them out.Icahn bought all those casinos when their owner was in distress, and now he is using his billion dollar profit to try and buy multiple casinos across the country (including Fountainbleau in Las Vegas).

The Following Casinos were on the list for 2008 and were dropped from the list for fiscal year 2009

@ CIRCUS CIRCUS HOTEL
@ STRATOSPHERE TOWER, CASINO & HOTEL - inside city limits of Las Vegas
@ ARIZONA CHARLIE'S DECATUR - inside city limits of Las Vegas

Im surprised Harveys is on there, when I was there in December it was a ghost town.

M should do well. There were rumors that they got clipped by a dice team their first three nights and that they happened to take a real beating at their roulette wheel their first week, but it seems to be a much loved casino that gets only raves not rants.

SouthPoint offers only 2x on craps and somehow I thought that might set the tone for the entire place but it seems they overcame their initial reputation for being stingy with comps.

The Gaming Commission keeps track of casinos that make over $72 million for statistical purposes. They also have more stringent rules about Cash to back up the tables and slot machines.

The Following Casinos were on the list for 2008 and were dropped from the list for fiscal year 2009
@ CIRCUS CIRCUS HOTEL
@ STRATOSPHERE TOWER, CASINO & HOTEL - inside city limits of Las Vegas
@ ARIZONA CHARLIE'S DECATUR - inside city limits of Las Vegas

The Following STRIP Casinos were on the list for 2009 and were dropped from the list for fiscal year 2010
@ IMPERIAL PALACE

The number of casinos in Nevada not on the strip that made over $72 million was 18 in FY2010, down from 22 in FY2009

In FY2010 5 casinos fell off the list and only the M Resort was added.
Eastside Cannery and the brand new Alliante Station did not make the list in the first full fiscal year of operation.

Texas Station was the only Station Property to fall off the list. Now only Cannery Resorts in North Las Vegas is on the list.

Rampart Casino in Summerlin fell off the list.
The paired casinos Eldorado and Silver Legacy in downtown Reno fell off the list.

The worst performance by a company was American Casino and Entertainment Properties (ACEP/LLC) . When Goldman Sachs bought the company , 3 out of 4 casinos earned more than $72 million a year. In two years that was reduced to none. The Aquarius in Laughlin fell off the list (Stratosphere, and Arizona Charlies fell off last year).

Yeah, hard times and mismanagement seem to have taken a slight toll.
Its still a profitable business for many, particularly those without a borrow like crazy attitude from years back.
That Korean owned casino in Mesquite near the freeway did all its construction from earnings not borrowings.
Same with that oriental owned dump on the outskirts of Henderson ... I forget its name but smoke so thick you need a gas mask. A green chip at a BJ table causes a heart attack and the craps table on a Saturday night goes UP to 5.00. A real dump but it too is relatively debt free.