Hard Rock to buy Bally's AC
Has anyone heard this as well...?
Quote: aceofspadesWith my ears to the ground, my sources in AC tell me Hard Rock is set to by Bally's AC!!!
Has anyone heard this as well...?
That's the perfect property for them overall. But the Claridge tower doesn't fit their style, and neither does the Wild Wild West.
Quote: rdw4potusThat's the perfect property for them overall. But the Claridge tower doesn't fit their style, and neither does the Wild Wild West.
Wild West is basically boarded up and has some slot machines - not even sure if the Mountain Bar is still open. The Ridge is also useless. I believe the plan is to renovate the place. I always say that Bally's has the perfect location smack dab in the center of the Boardwalk!
Quote: aceofspadesThe Ridge is also useless.
I agree that the Ridge casino is useless. But the hotel tower directly above it is both dated and structurally linked to the rest of the property. So it'd be really hard to raze the tower, and I'm not sure if it'd even be possible to renovate and get it up to Hardrock's standards.
Quote: rdw4potusI agree that the Ridge casino is useless. But the hotel tower directly above it is both dated and structurally linked to the rest of the property. So it'd be really hard to raze the tower, and I'm not sure if it'd even be possible to renovate and get it up to Hardrock's standards.
The Ridge casino is not even open - they only have a BJ tournament area located there - no slot machines or any tables open for real business. I think if hard Rock purchases it, they will have taken into account the totality of the property and what they would have to do with it.
Quote: 1BBI heard that the Hard Rock wanted to build just south of the Atlantic Club.
That's one possibility, one that Bashaw has been tied to. Another site might be the gaping lot left by the Sands/Traymore property (not to mention the Madison). Thirdly, the renovation of the Claridge rooms has apparently been completed, and from what I've seen, not to bad effect, either.
Quote: SanchoPanzaThirdly, the renovation of the Claridge rooms has apparently been completed, and from what I've seen, not to bad effect, either.
Do the elevators still feel like death-traps?
Quote: aceofspadesWith my ears to the ground, my sources in AC tell me Hard Rock is set to by Bally's AC!!!
Has anyone heard this as well...?
By selling Bally's, Ceasar's could legally purchase Borgata (both MGM and Boyd's share). The NJ Gaming Commission is required by law to see that no single company controls more than 50% of the gaming in Atlantic City. MGM is also required by law to sell their half of Borgata.
I assume that 50% is the requirement at purchase. If they build up the business and it goes over 50% they may get a waiver or they might be required to sell the Showboat.
The Harrah's/Borgata properties are very close, and MGM was going to develop the land between the resorts. Now they are not legally allowed in New Jersey so I presume the land is for sale as well.
Quote: pacomartinBy selling Bally's, Ceasar's could legally purchase Borgata (both MGM and Boyd's share). The NJ Gaming Commission is required by law to see that no single company controls more than 50% of the gaming in Atlantic City. MGM is also required by law to sell their half of Borgata.
I assume that 50% is the requirement at purchase. If they build up the business and it goes over 50% they may get a waiver or they might be required to sell the Showboat.
The Harrah's/Borgata properties are very close, and MGM was going to develop the land between the resorts. Now they are not legally allowed in New Jersey so I presume the land is for sale as well.
While that strategy would be a huge boon for CET, I'm not sure that they have the capital to buy Borgata. It's the only property that can pull its weight (right now) and Boyd would ask for a HUGE buyout. Boyd isn't that strapped for cash anyways, and while they may not have the money to buy out MGM's vested share, I just don't see that being the viable solution.
To be honest, the news of Bally's AC being sold is somewhat alarming. While the casino/hotels do not fit in CET's current marketing strategy, it's so linked to Caesars and has a surplus of hotel rooms to boot. The location is prime; the property just needs a serious facelift. Of course, if CET hasn't done it yet, they have no intention to fix it.
Quote: TiltpoulThe location is prime; the property just needs a serious facelift.
I just realized (or, I guess, remembered) - the property is literally at the intersection of Boardwalk & Park Place.
Quote: dlevinelawWhy can't MGM build in NJ?
Long story short: MGM has a property in Macau, which was a property they secured through Pansy Ho, the daughter of Mr. Ho (I can't think of his first name, too lazy to look up). Mr. Ho is believed to be involved in criminal activity (most likely given the nature of Macau) and NJ Gaming Commission said Pansy Ho is not a suitable partner for MGM, because of her father's connections.
MGM had to choose... a split property in a dying market, or a split property in a flourishing market... the decision was very easy, and they put their shares of Borgata into a trust that still needs to be sold.
Quote: TiltpoulLong story short: MGM has a property in Macau, which was a property they secured through Pansy Ho, the daughter of Mr. Ho (I can't think of his first name, too lazy to look up). Mr. Ho is believed to be involved in criminal activity (most likely given the nature of Macau) and NJ Gaming Commission said Pansy Ho is not a suitable partner for MGM, because of her father's connections.
MGM had to choose... a split property in a dying market, or a split property in a flourishing market... the decision was very easy, and they put their shares of Borgata into a trust that still needs to be sold.
This was just brought up in Md as well, since MGM would manage the National Harbor casino - although since Md seems to want gaming so badly, I don't think it's going to hold it up. Was just surprised to see WaPo bring it up in the paper recently.
-B
Quote: toastcmuThis was just brought up in Md as well, since MGM would manage the National Harbor casino - although since Md seems to want gaming so badly, I don't think it's going to hold it up. Was just surprised to see WaPo bring it up in the paper recently.
This is also one reason (among many) why CET will be hard-pressed to expand into Macau, even if they could find a partner Macau. When you have properties in a bunch of states, each with different regulatory agencies, you run the risk of selling off properties. CET would be fine with that, for the most part, but it would be tough to find buyers for those properties. They would have to sell off at huge losses.
Supply and demand...
Quote: SphincterHave these rumors been proven true?
New Jersey does not require any trials to "prove" anything. A thorough investigation is conducted and submitted to the DGE and CCC. That is what happened when Hilton was thrown out of the state.
Quote: SanchoPanzaNew Jersey does not require any trials to "prove" anything. A thorough investigation is conducted and submitted to the DGE and CCC. That is what happened when Hilton was thrown out of the state.
I'm pretty sure that the question was about the larger rumor about CZR selling off Bally's at all.
Quote: 1BBI heard that the Hard Rock wanted to build just south of the Atlantic Club.
It looks like there will be no Hard Rock in Atlantic City. The deadline was today and AC Gateway LLC has decided not to go forward. This was planned as a smaller boutique casino.
