MrsHeartRN
MrsHeartRN
Joined: Nov 7, 2014
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January 4th, 2015 at 7:12:41 AM permalink
http://news.yahoo.com/atlantic-city-mayor-predicts-city-142444363.html

Mayor of Atlantic City is a tool! The article states:

As Revel and Trump Plaza went belly up in September, Guardian remained even-keeled even as some urged him to show some emotion.
"You just have to accept what happens," he said. "It's almost like, 'Why does a flood occur, or why does a hurricane happen?'"



This debacle was not an act of God! It could have been avoided if not avoided had less of an impact if the "powers that be" saw the competition in the surrounding states as a viable threat. They had their smug attitude and delusions of grandeur.

I agree that Atlantic City will start coming back somewhat but gamblers have long memories and are first and foremost gamblers, they will go wherever they feel they are valued, and right now that's not the feeling many get from AC.

I've been a loyal Taj gambler but with all this flip flopping on closure, I'm apprehensive to gamble there. Going down at the end of the month and trying Resorts, haven't stayed there in about 10 years. Hopefully a change of scenery will bring me luck.

Happy New Year everyone.
You only go around once, but if you play your cards right, once is enough. ¯ Francis Albert
dave12038457
dave12038457
Joined: Aug 16, 2014
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January 4th, 2015 at 11:14:33 AM permalink
Hey happy new year to you too!
I really think the time to change Atlantic City has long passed. Maybe in the 80's they could have done something. Bottom line is they never cleared the slums or blighted areas. Actually the CRDA is responsible for building over 1,000 new low income units.
The most recent low income housing being built by the "brain trust" will be one block from the beach and have a per unit cost of $337,000.

The state needed to take control of A.C. away from the local politicians and made the tough decisions that would have made A.C. a world class destination resort. Instead we have casinos some open some closed scattered around a blighted unsafe town.

Sounds like you have a plan regarding Taj Mahal. Wouldn't blame you a bit for jumping ship. Many including myself see the recent lifeline handed to the Taj as only stalling the unfortunate closing of this casino. Not to mention Revel will most likely reopen within a year......
JackStraw8004
JackStraw8004 
Joined: Mar 27, 2013
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January 4th, 2015 at 10:26:40 PM permalink
Guardian says he expects 5th casino to close in 2015. He wouldn't name it but the article said it was most likely Bally's.
7star4now
7star4now
Joined: Jul 8, 2013
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January 5th, 2015 at 6:44:00 AM permalink
Quote: JackStraw8004

Guardian says he expects 5th casino to close in 2015. He wouldn't name it but the article said it was most likely Bally's.



I haven't yet seen anybody make a clear analysis of the new CZR debt restructuring, which now seems to consolidate AC properties back into the parent co., will impact NJ properties.

This article points out that whatever deal is struck, there will likely be more closings on the horizon.

"The worst kept secret in Wall Street is that Caesars (NASDAQ:CZR) will file for bankruptcy protection on January 14thDebt isn't the only problem-The company's income statement reveals a reorganized Caesars still won't be profitable, even if the economy continues to improve. In 2013 (the last full year available) the company generated a whooping loss of over $2.2 billion. And that was before interest! Lower interest payments aren't going to make up that difference...
Any way you slice it, the company has some serious issues to deal with, which won't magically be resolved just by wiping some debt off the balance sheet. The core problem is more fundamental: the U.S. market is saturated with casinos and Caesars happens to own most of the money-losing ones. Caesars will eventually have to shut a large proportion of its underperforming regional casinos before it gets back in the black. The company has a lousy portfolio of properties. For every flashy Caesars Palace in Las Vegas, there are 1 or 2 rundown casinos like Bally's Atlantic City."

Based on the prior attempt by Loveman et all, to jettison both Ballys AND Caesars AC from their protected properties group, it would not surprise me if Bally's is closed sooner rather than later, & Caesars AC is eventually abandoned in an effort to consolidate as many top tier players into 1 AC property - Harrahs.

When you think about it, the Marina casinos may be the future for AC as the Boardwalk declines & decays into a mess of closed or poorly concieved ,re-purposed non casino properties. I look at the closed TP , the self destructive TAJ "I'm not dead yet" marketing plan, & the Revel's imminent implosion if their electric co goes belly up, & it's overtaken by mold & fungus.

So, as someone suggested, the once mighty Caesars AC, may soon be replaced by a "Little Caesars" .

That should make some politicians, reporters & a few math challenged "AC experts" on another board happy- as they seem to think a few pennies in nongaming profits will replace billions of $ in gaming revenues.

Pizza Pizza [tee~hee].

http://seekingalpha.com/article/2777915-caesars-is-headed-straight-for-chapter-22-bankruptcy
Dicenor33
Dicenor33
Joined: Aug 28, 2013
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  • Posts: 624
January 5th, 2015 at 7:35:29 AM permalink
It's long time overdue. The idea of boardwalk casinos lived itself out. Modern casinos resemble stand alone palaces of gambling. I'd rather see Atlantis than 20 ugly boxes.
dave12038457
dave12038457
Joined: Aug 16, 2014
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January 5th, 2015 at 8:59:35 AM permalink
A very well written analyses of both Caesars and the future of Atlantic City.
It is interesting to note that of the 6 casinos that have floundered in Atlantic City none were in the Marina District.
I am of the opinion that A.C.'s best days have already happened. The inability back in the 80's and 90's to turn the place into a destination resort sealed its fate. Now with the main source of revenue cut in half in less then a decade I believe the city is in a death spiral.
The boardwalk casinos had much to offer. Casino hopping, cheap eats along the boardwalk etc. Now tourists will pass by looming darkened hulks surrounded by uninviting blighted side streets. It just won't be the same. And with the city talking about cutting the Police force it wouldn't exactly give me a "warm and fuzzy" feeling visiting the place.
Atlantic City lacked a long term plan. Way to much power was left in the hands of corrupt local politicians.
Something over 80% of the year round population are renters. Many of these properties are run down and owned by absentee landlords.
Somebody needed to make a tough decision about what the future of Atlantic City would look like 30 years ago. Pay generous relocation expenses to tenants and more then fare market value for the properties and start from scratch.
Instead the Casino Redevelopment Authority built over 1000 new low income housing units. It is a misguided endeavor they continue to this day. Just a short time ago it was announced about 56 new low income units on the beach block. The cost, a staggering $337,000 per unit!
If Atlantic City needs help I am afraid it needs help avoiding planned failures.
SanchoPanza
SanchoPanza
Joined: May 10, 2010
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January 5th, 2015 at 9:10:22 AM permalink
Quote: dave12038457

It is interesting to note that of the 6 casinos that have floundered in Atlantic City none were in the Marina District.

Not sure whether your six included Trump Marina a k a Trump's Castle. But it should definitely be counted as a failure. It was the Donald's first in AC.
7star4now
7star4now
Joined: Jul 8, 2013
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  • Posts: 782
January 5th, 2015 at 9:14:55 AM permalink
Quote: Dicenor33

It's long time overdue. The idea of boardwalk casinos lived itself out. Modern casinos resemble stand alone palaces of gambling. I'd rather see Atlantis than 20 ugly boxes.



Perhaps Loveman showed his AC hole card with the demise of the Total rewards shuttle- with 1 marina destination, he won't need it.
dave12038457
dave12038457
Joined: Aug 16, 2014
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January 5th, 2015 at 9:37:39 AM permalink
Atlantic Club, Playboy casino, Trump Plaza, Claridge, Showboat, Revel.
Trump Marina was reburbished and opened as The Golden Nugget. In its current incarnation it seems to be doing rather well.
Boz
Boz
Joined: Sep 22, 2011
  • Threads: 151
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January 5th, 2015 at 10:25:17 AM permalink
Dave and 7 Star hit on most of points. There is still too many casinos for everyone to show a profit. My only fear is that the trash the preys in the boardwalk area will just move to the marina properties if it isn't addressed. And I am not sure how you can deal with the problem of a city full of unemployed drug addicts who are willing to do anything for their next fix. It's January, see how safe you feel playing a machine on the 2nd floor at Caesars when you are the only person playing on the floor and the homeless and other bums are watching your every move. Not a comfortable situation to be in.
Rent this space for only $9.95 a month.

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