Gambling revenues in Nevada and particularly in Las Vegas have been setting records with nearly two years of month-to-month revenues over $1b with some months setting all-time records. The last year saw several important acquisitions, as well as announcements of coming venues and attractions, and the next year will fulfill many of them as others hurl forward to completion.
The Daily Breeze, a media outlet that’s part of SoCal Newsgroup summed up some of the things we can expect to see on the Las Vegas Strip and beyond in the next year. We’ll start with what is currently under construction and then visit some of the most notable mergers or acquisitions of 2022 and wrap up with some residency entertainment news.
Oak View Group purchased 25 acres of land close to the intersection of I-215 and I-15, according to a March press release from the LA-based company. They plan to build a casino with a 2,000-room resort hotel. A 20,000-seat NBA-ready arena will be built adjacent to OVG Las Vegas Hotel & Casino.
The casino, hotel, and 850,000-square-foot arena will be part of a retail and entertainment district. The total cost of the project with construction slated to begin in 2023 is $3b with $1b of that going toward the sports and concert arena. According to an Oakview spokesman, visitors could buy a single package deal including a live event, hotel accommodations, and access to a private club within the arena.
More New Properties in Progress
Dream Las Vegas is being built close to Harry Reid International Airport after finally working out details with Homeland Security and local planning and zoning officials. Security concerns centered around the site’s direct line of sight and proximity to the airport runway.
The 20,000-square-foot casino would also have a 531-room hotel and 12,000 sqft of meeting and convention space. The Dream Hotel Group is known in well-heeled circles as purveyors of more than a place to stay, the hotels are attractions in themselves. In November, Hyatt announced they intend to acquire the brand and its assets. Construction is expected to begin in July with the opening planned for 2024.
Station Casinos plans to open six projects by 2030 with the first one being Durango Casino & Resort. The casino resort is expected to open in late 2023 with a 200+ room hotel, 83,000 sq ft of gaming space, four restaurants, and a collection of bars and lounges. Electric vehicle charging stations and a cabana pool are also included in the plans.
Fontainebleau will retain its iconic name and simply opening the doors should shake the memories away of the years the project has stared blindly at the Strip, incomplete. Financing has been secured including $350m from Vici Properties for the Fontainebleau Development and
Koch Real Estate Investments company which owns the building.
Look for the 3,700-room hotel to open before the end of 2023 with a 3,300-seat theater, nearly 30 food and beverage outlets, a 105,000-square-foot ballroom, and a 173,000 sq ft casino.
By far the biggest deal in the “coming soon” section is the MSG Sphere. The Sphere is a flagship for Square Garden Entertainment Corp. which plans to open similar venues all over the world. The globe-shaped arena will have 17,500 seats and measure 516 feet at the widest part with 366 feet of height.
The sound system will consist of 160,000 individual speakers for a true “no bad seats in the house” experience. AT full deployment there will be enough LED screens to fill three football fields with programmable LED lighting covering 580,000 square feet of space. Completion is expected by the end of 2023. The venue sits between The Venetian and Palazzo.
Mergers and Acquisitions 2022
Hard Rock International closed the deal on the Mirage on Dec. 19, 2022, making it the first tribal entity-owned casino on the strip. Expect to see a guitar-shaped hotel when renovations are completed. No schedule has been announced but Hard Rock has stated that the entire property will eventually be stripped to the bare walls and concrete and remade in its entirety. Additional floor space will be added for gaming, meetings, and conventions. Say goodbye to the erupting volcano, the icon Steve Wynn built that started it all for themed resorts in Las Vegas.
VICI Properties, the New York-based real estate investment trust already owns Park MGM, New York-New York, Luxor, and Excalibur on the Strip and will soon own MGM Grand Las Vegas and Mandalay Bay outright.
VICI had already owned 50.1% of the properties and cut a deal with Blackstone Real Estate Investment Trust to acquire its 49.9% stake giving VICI complete control. VICI got its first stake in the properties when it bought out MGM Growth Properties for $17.2b in May. VICI leases the properties back to casino operators it purchases them from.
The biggest news this year for Rhode Island-based Bally’s Corporation is probably landing a license to open the first casino ever in Chicago, the nation’s third largest city, but the fast-growing company with an iconic American name also acquired Tropicana Las Vegas in 2022.
The Tropicana Las Vegas sale by Penn Entertainment Inc. for $308m was approved by the Nevada Gaming Commission in September. No major renovations or changes at the property are expected for the next few years.
Musical Residencies
While not technically a residency, word on the street is that U2 expects to be the first band to play the MSG Sphere with a “multi-show residency”.
- House of Blues at Mandalay Bay has booked Carlos Santana for an intimate venue engagement from Jan. 25-May 28.
- Weekend concerts by Adele are happening now at The Colosseum at Caesars Palace with the current schedule ending March 25.
- Maroon 5 will play the Dolby Live at MGM Park from March 24 to August 12.
- Country fans will find Miranda Lambert and Luke Bryan performing with Lambert appearing on March 24 and running through April 9 at The Colosseum at Caesars Palace – and Bryan continuing his residency at Resorts World Theatre from February. 1 to April 1.
Source: Las Vegas: What’s coming to casinos and resorts in 2023, Daily Breeze, December 28, 2022