Two years after Crown Resorts’ Melbourne property came under government review, and following the acquisition by Blackstone Group, the flagship casino has been deemed fit to retain its license and continue to operate, overcoming a difficult regulatory spell that necessitated strict government supervision because of breach of anti-money laundering laws.

VGCCC Pleased with Progress and Ongoing Efforts

Much of this is now in the past, with the Victorian Gambling and Casino Control Commission (VGCCC), a hardened regulator which emerged precisely because of omissions in the previous watchdog’s model, deeming the Crown Resorts property as suitable to carry on. The VGCCC allowed itself rare praise of the property, calling the “systematic failings” of Crown Melbourne a “thing of the past.”

But ongoing suitability will be significantly demonstrated by how Crown responds to instances of operational failure, not by their total absence.

VGCC chair Fran Thorn

VGCC chair Fran Thorn has spoken about the long process that the property and the regulator undertook to ensure that all regulatory benchmarks are met in full and conscientiously. Crown Resorts has confirmed that it will continue to work towards the betterment of its operations and achieving better sustainability.

“Over 10,000 pages of documentation have been submitted and 770 remediation activities have been delivered to our state regulators, fundamentally rebuilding our organization from the inside out,” Crown CEO Ciaran Carruthers said, indicating that the property has been actively working on clearing up its name.

Crown Resorts will also be paying $294 million worth of fines that have to do with the breaches of AML law, or some AU$450 million.

Too Big to Fail but Not Excused from Responsibility

Crown Melbourne is almost “too big to fail” as authorities seriously debated whether the property should lose its license altogether, but in the end, it was deemed that the adverse economic impact would only compound the matter. The property also remained vigilant over its name being misused by bad actors.

Crown Melbourne is the biggest private sector employer to operate out of a single location in the state, employing some 11,500 staff members, which gives it some bargaining leeway. Regardless, VGCCC’s attitude over the past two years suggested that the regulator would not have hesitated to pull the trigger if it had been forced to shutter the company’s license over non-compliance, however.

Recently, Crown Resorts conducted an internal investigation looking into alleged wrongdoings by CEO Carruthers who supposedly allowed patrons who were escorted out by security back in. These allegations proved false.

The post Crown Resorts’ Melbourne Property Fit to Hold License appeared first on Keno Wizard.

A New Jersey Appellate Court panel recently heard arguments in two cases concerning amendments to the state governing how much money casinos pay in lieu of property taxes. The cases, brought by Atlantic County and the nonprofit Liberty and Prosperity, revolve around changes made in 2021 that excluded internet gaming and online sports betting revenues from the calculations of casino payments.

The State Argues Casinos Require Special Treatment

In Superior Court in 2022, Atlantic County and Liberty and Prosperity prevailed in their lawsuits, contending that the amendments violated a 2018 consent agreement and the state Constitution. They argued that the changes resulted in a loss of approximately $5 million per year for county taxpayers, benefiting an industry detrimental to public health.

Despite the initial victory, the New Jersey Attorney General’s Office argued in favor of the amendments, emphasizing the need for changes to ensure a predictable revenue stream for casino taxes and to prevent potentially ruinous tax hikes. During the appellate court hearing, Tim Sheehan, representing the state, argued that the amendments were necessary to safeguard the financial stability of casinos and prevent closures.

The Legislature acted to exclude internet gaming and (online) sports gaming revenues … to ensure casino taxes continued in a predictable revenue stream.

Tim Sheehan, New Jersey Attorney General’s Office representative

Sheehan highlighted the rationale behind the amendments, citing concerns that a significant portion of internet gaming and online sports betting revenues went to third parties rather than the casinos themselves. He added the amendments were vital to avoid potential tax hikes, which could be disastrous for the broader sector and damage a leading contributor to the local economy.

The Amendments May Just Spread the Financial Burden

Despite the state’s concerns, Appellate Judge Francis J. Vernoia questioned whether the amendments effectively rescued casinos from ill-conceived business deals at the expense of other property owners. Seth Grossman of Liberty & Prosperity echoed this sentiment, arguing that the burden had unfairly shifted from casinos to non-casino property owners, adding the gambling sector did not need such a safety net.

So the amendment was to make sure the casinos kept more of the money? Aren’t we just rescuing a bad business deal?

Appellate Judge Francis J. Vernoia

The crux of the dispute revolves around whether the amendments violated the terms of the 2018 consent agreement and encroached upon judicial authority. While Sheehan contended that the Legislature had the authority to change laws at any time, Ronald Riccio, representing Atlantic County, argued that such changes cannot alter court orders.

The outcome of the appellate court’s decision is eagerly awaited, with Riccio acknowledging the unpredictability of judicial rulings based on judges’ questions during the hearing. The court should settle on a decision in the coming weeks, potentially impacting the tax obligations of New Jersey casinos and other property owners.

The post New Jersey Court Reexamines Casino Property Tax Amendments appeared first on Keno Wizard.

In a move to address the escalating property tax concerns of older constituents, Utah Representative Kera Birkeland is championing a proposed constitutional amendment that would legalize the state’s first-ever lottery. 

Rep. Birkeland’s Lottery Proposal Could Boost Utah’s Finances by $200M

Rep. Birkeland contends that legalizing the lottery could inject up to $200 million into Utah’s coffers, money currently flowing across state lines as residents travel to neighboring states like Idaho, Wyoming, and Arizona to purchase lottery tickets. The proposal aims to redirect these funds to alleviate the financial strain on seniors facing rising property taxes, reported KSL.

The lawmaker’s initiative sparks a broader conversation about the intersection of gambling practices, fiscal policies, and the unique challenges posed by Utah’s comprehensive ban on all forms of gambling. Utah and Hawaii are the only states where any game of chance is strictly prohibited.

Birkeland argues that the prohibition on gambling has deprived the state of a significant revenue stream. She emphasizes the real-world impact on seniors, sharing stories of constituents forced to sell their homes due to soaring property tax bills.

While the full details of the bill are yet to be unveiled, Birkeland is considering including a stipulation that mandates tax revenue from lottery sales be dedicated to offsetting the tax burden on older adults with fixed incomes. 

The proposal faces a significant hurdle, as a constitutional amendment requires the support of two-thirds of lawmakers in both chambers and approval by a majority of voters in the upcoming general election.

Gov. Cox Challenges Lotteries, Deems Them Harmful

Gov. Spencer Cox, despite not possessing the authority to veto constitutional amendments, conveyed his opposition in a recent news conference, asserting that he believes lotteries and gambling, in general, function as taxes on individuals who struggle with mathematics, causing more harm than good.

Despite the challenges and opposition, Birkeland is determined to push the bill forward, emphasizing the need to address the primary concern of her constituents regarding property taxes. 

Birkeland recognizes the challenging nature of the endeavor but maintains her determination, asserting that she has introduced several bills attempting to limit property taxes and decrease government spending, yet none of them has gained traction.

The proposal reignites the ongoing debate on gambling laws in Utah, with past endeavors facing significant resistance. Birkeland’s initiative signals a potential shift in the state’s stance on gambling, setting the stage for a contentious legislative session.

The post Utah Lawmaker Proposes State Lottery to Tackle Senior Property Tax Woes appeared first on Keno Wizard.

American casino and hospitality giant Caesars Entertainment continues its work on its upcoming property in Danville, Virginia. Danville Register & Bee, a local news outlet, inquired about the state of the project and learned that everything seems to be on track for a 2024 opening.

The outlet contacted Caesars Virginia’s general manager, Chris Albrecht, who provided an update on the progress his team has made. According to him, the hotel tower is under construction, with the workers currently building the third floor. In the meantime, progress is being made on the casino basement, including back-of-house areas and the loading dock. Albrecht added that several customer surface parking lots are also nearing completion.

The Virginia property cost Caesars $650 million and is expected to contribute $38 million in tax revenue to Danville once it launches. The property is being constructed by Whiting-Turner, which has also worked on Horseshoe Baltimore, Caesars Palace Las Vegas, and a number of other venues.

The new casino will sport some 1,400 slots, 85 live table games, 24 electronic table games, a WSOP room and a Caesars Sportsbook. In addition, the property will have a 500-room hotel, a 2,500-seat theater and a 40,000-square-foot convention area.

Albrecht said that Caesars expects to meet the 2024 deadline when it comes to opening the new casino resort. In the meantime, players can enjoy gaming in Caesars’ temporary gaming facility in Danville.

Danville Players Can Play at Caesars’ Temporary Casino

Caesars’ temporary property in the city is currently open to local customers and boasts a team of over 400 employees. It opened on May 15 and has almost 800 slot machines, 33 table games, 36 electronic table games and 12 sports betting kiosks.

The temporary casino team will move over to the full resort, according to Albrecht. In addition, Caesars will start posting for positions at the full resort in mid-2024, according to the manager.

Albrecht couldn’t confirm whether Caesars Virginia will sport the 1,300-employee team it had anticipated. In any case, the company will need a much larger team than the one managing the temporary casino.

Albrecht also refrained from commenting on which restaurants will be available to visitors and promised that the company will share more specifics at a later date.

In other news, Caesars just offered two years of IDX services to its loyalty program customers whose data got compromised during the recent cybersecurity incident.

The post Caesars Expects to Open Virginia Property on Schedule appeared first on Keno Wizard.

Casino and hospitality leader Bally’s Corporation has confirmed the opening of the now-expanded Bally’s Kansas City property. The venue now features a 35,000-square-foot gaming and retail area that will provide guests with exciting experiences.

The entire casino floor has been reimaged with tons of new gaming products getting added, Bally’s said. Customers can expect to find 200 new games and a dedicated high-limit slot area. The property boasts a second floor that seeks to provide visitors with a more relaxed and comfortable gaming experience.

In addition to the improved gaming area, Bally’s Kansas City is now home to Chickie’s & Pete’s Crabhouse and Sports Bar where guests can refresh themselves. There is enough space to incorporate additional restaurants and shops in the future.

The casino has also undergone what Bally’s described as an “extensive aesthetic renovation.” Sporting a refreshed interior and exterior, the casino now boasts state-of-the-art lighting elements, greatly improving the atmosphere. The façade is illuminated by a series of steel frames and fabric panels, giving the property a fresh and modern look.

The casino has multiple entrances, allowing guests to park and step into the casino right after.

Bally’s Corporation has been working hard on upgrading the venue since acquiring it in 2020. One of the highlights of the property is the Asian-themed 1800 Baccarat Lounge which offers Asian food and eight baccarat gaming tables. The property also has a Celebrity Casino & Lounge on the second floor where players can find 30 slot machines, a blackjack table, a baccarat table and a selection of dining options.

The Ribbon Was Cut at an Official Ceremony

The recent expansion of the Kansas City casino is notably Bally’s most significant investment in the property yet.

The ribbon of the renewed Bally’s Kansas City venue was cut during an official ceremony at the Commercial Center Entrance to Bally’s KC. The occasion was attended by multiple notable guests, including Bally’s president George Papanier and Chickie’s and Pete’s founder Pete Ciarrocchi, among many others.

Michael Donovan, Bally’s regional vice president and general manager for the Midwest, commented on the matter. He said that his team is very excited about the opening of the renewed property and is looking forward to welcoming and engaging guests.

Donovan thanked everyone who made this expansion possible: “We are grateful for the collaborative work of the city and the hundreds of union members who played a critical role in bringing this expansion to reality over the past two years.”

In other news, Bally’s just donated $5 million to the CCRI Foundation.

The post Bally’s Unveils a Transformed Kansas City Property appeared first on Keno Wizard.

As a result, Blackstone will be investing in what it sees as a much-needed renovation in Crown Melbourne, following the $6.5-billion acquisition of Crown Resorts last year. This was carried out amid increased pressure on the property, as it faced probes into various offenses and breaches of Australia’s gambling laws.

Blackstone Outlines Future Success of Melbourne Property

However, Blackstone president Jon Gray said that he was confident in Crown’s prospects in a recent interview with The Australian, echoing a group-wide sentiment that despite its tarnished reputation, Crown Melbourne is a shiny jewel in global gaming and hospitality.

All it needs to get back to its once-favored status is a bit of a buff. According to Gray, Crown Melbourne is one of a kind, with its scale and significance undoubtedly capable of attracting crowds from the world over.

Despite regulatory headwinds, the property remains as important in Blackstone’s global gaming and hospitality strategy as ever. He added:

Melbourne is a physical turnaround story and our objective would be to invest significant capital there and enhance the asset, which we think will be great for the community and great for tourism there as well.

Blackstone president Jon Gray

Gray said that the regulatory heat Crown was facing was not really anything that worried it as of right now. Crown recently agreed to settle a $300 million (AU$450 million) fine imposed by AUSTRAC, Australia’s financial regulator. This too has not made Blackstone any less confident in the property’s prospects.

If anything, Gray has drawn parallels to The Cosmopolitan in Las Vegas, a property that the group acquired for $1.7 billion in 2014 only to sell years later for $5.7 billion. At the time, Blackstone went in with the same confidence, seeing the potential of the famed company despite its financial troubles.

Present Challenges Should Not Dissuade Investment Zeal

Gray said that it was a combination of factors that made The Cosmopolitan sale worked the way it did, because the company found the right managers to take care of The Cosmopolitan and break away from the same practices that drove the business into the ground in the first place. Investment was also needed to refurbish the venue and Blackstone was more than happy to cough up.

Ultimately, though, Gray said that there is nothing to suggest that Crown Melbourne and Crown, in general, would lessen its appeal. Australia’s tourism industry is one of the country’s main economic drivers with cities such as Perth, Sydney and Melbourne popular destinations that people want to visit.

The post Blackstone Group Signals Confidence in Crown Melbourne Property appeared first on Keno Wizard.

Construction of the Hard Rock Hotel & Casino has already begun and the property is due to open doors for guests early in 2025, taking over the Rideau Carleton Casino.

Hard Rock Casino Begins to Work on Its Hotel and Casino in Ottawa

The project marks the ambitious if somewhat tentative expansion of the company in Canada, with the hotel featuring a 150-room hotel with 22 suites, a dedicated gaming floor, and a sportsbook.

Guests will discover 1,500 slot machines and 40 live-action tables waiting with a high stakes gambling available on the property, including at a dedicated Baccarat room. The resort will also host the Hard Rock Live theater, which has room for 1,800 seated or 2,200 standing people.

The property will also feature bars, lounges, restaurants, and more, along with the Hard Rock Café and Council Oak Steakhouse, Rock Shop, and Unity Store. In a sense, Hard Rock is pulling all the stops, making sure that it brings the full company experience to Ottawa which may serve as the basis for further expansions to follow.

Commenting on this opportunity, Hard Rock International Chief Operating Officer Jon Lucas said:

We are excited to be one step closer to bringing our iconic brand and rich music history to the people of Ottawa and the surrounding region.

Hard Rock International Chief Operating Officer Jon Lucas

Lucas similarly thanked the local partners for the company, as well as the regulators who have made it possible for Hard Rock to consider and now bring its project closer to realization.

The Ontario Lottery and Gaming Corporation and the Alcohol and Gaming Commission of Ontario have offered invaluable support and help to make sure that construction may begin in a compliant and prompt manner.

Big Expectations for the Upcoming Project’s Economic Potential

This project is already touted as one of the biggest private investment developments and it will have an impact on the city’s economy, including 1,900 direct and indirect construction jobs.

This sentiment was reflected by Mark Sutcliffe, the city’s mayor, who said: “The new Hard Rock Hotel & Casino represents a significant investment in the south end of our city. It will create new jobs and build on the existing attraction at Rideau Carleton Casino.”

The company is also committed to supporting local and Indigenous organizations through every means possible, including partnerships, sponsorships, and donations.

The post Hard Rock Hotel & Casino Begins Construction on First Property in Canada appeared first on Keno Wizard.

Bally’s Corporation and Gaming & Leisure Properties (GLPI) have announced a binding agreement with the Oakland Athletics of Major League Baseball (Oakland A’s) to construct a Major League Baseball park at Bally’s Tropicana Las Vegas.

Bally’s consummated its purchase of the gaming and other assets when GLPI and PENN transferred ownership of the non-land assets of the Tropicana Las Vegas to Bally’s for $148 million in cash paid to GLPI on September 27, 2022.

Bally’s still intends to operate a casino from the location and expand assets on other portions of the property.

2.5 Million New Visits to the Location Expected Annually

The park is expected to deliver two and a half million fans per year to the only site of its type on the Las Vegas Strip. Benefits heralded in the announcement include enhanced attraction at the site driven by increased visitations, and the ability to further develop the site in a phased manner with a financial approach based on disciplined further investment.

Additional enhancements for iconic and sponsoring brands at one of the busiest traffic intersections in America which sees over seven-million visitor impressions each month, and significant marketing database growth for Bally’s to exploit as part of its global omnichannel growth strategy.

GLPI maintained ownership of the property which it had earlier purchased and was leased back to Penn National Gaming prior to Bally’s purchasing the gaming assets, license rights, etc. GLPI will pitch in up to $175 million toward improvements and receive future rent increases based on the increased value.

Bally’s is also banking on increased footfall for the casino and other assets through the ballpark and other attractions.

The Oakland A’s or stadium authority will have about 9 acres of the 35-acre site assigned for development by Bally’s and GLPI. The stadium would hold as many as 30,000 visitors at a time.

Oakland’s Triple-A minor league team, the Aviators already calls Las Vegas home.

Bally’s Confident but Hedging its Bet

Bally’s kept an Ace in the hole to assign assets and attract other partners, and it has other parties expressing interest in a similar offering. However, it is expected the necessary approvals from the MLB Association as well as public finance and legislative agreements will all come into place to make the current plan a reality.

Bally’s President, George Papanier, said “We are honored to have been selected to partner with the Oakland Athletics on this monumental step in helping to bring Major League Baseball to the great city of Las Vegas and to be a part of the once-in-a-generation opportunity of having a professional baseball team located within a short walk of the Las Vegas Strip.

“The Tropicana has been a landmark of Las Vegas for generations, and this development will enhance this iconic site for generations to come. We are committed to ensuring that the development and ballpark built in its place will become a new landmark, paying homage to the iconic history and global appeal of Las Vegas and its nearly 50 million visitors a year,” Papanier noted.

Among other comments, Peter Carlino, Chairman and CEO of Gaming & Leisure Properties said: “We are pleased to help facilitate their exciting vision for a new ballpark through our contribution of nine acres of the Tropicana site and look forward to the prominent place that the overall project will occupy in the Las Vegas skyline. The Oakland Athletics’ interest in developing a world-class Major League Baseball stadium on our site underscores its status as one of the most prime locations on the Las Vegas Strip and will enhance any future development of our remaining 26 acres.

“As the project moves forward, we also expect that Gaming & Leisure Properties will have opportunities to further invest in the various aspects of the overall project to the extent we deem that doing so will generate an attractive risk-adjusted return on our shareholders’ capital.”

Oakland A’s President Dave Kaval added: “We are excited about the potential to bring Major League Baseball to this iconic location. We are thrilled to work alongside Bally’s and Gaming & Leisure Properties, and look forward to finalizing plans to bring the Athletics to Southern Nevada.”

Source: Bally’s to replace Las Vegas Strip casino with MLB ballpark, G3 Newswire, May 16, 2023

The post Oakland A’s plan move to Bally’s Tropicana Las Vegas property appeared first on Keno Wizard.

The venue that was voted Best Casino and Best Overall Dining in Pennsylvania by Casino Player Magazine has announced the launch of a pioneer slots program dedicated to Live! Rewards card members.

The Giant Jackpots program that will be officially launched on April 28 will also include the sister casino in Pittsburgh as part of the first-ever joint property progressive jackpot program in the Commonwealth to be provided by a gaming facility.

Guaranteed Jackpots up to $100,000

The mystery progressive slots program will run guaranteed jackpots starting at $50,000 and going all the way up to $100,000. The progressive growth will be triggered every time a guest visits Live! Casino in Philadelphia or Pittsburgh and spins any of the eligible 2,750 slot machines at the respective facilities.

To be eligible for the big win, guests will need to also possess Live! Rewards Cards and make sure to insert them in the slot machines prior to playing. The program does not include electronic table games and video poker machines.

The progressive jackpot will continue to grow until a player in Philadelphia or Pittsburgh will eventually hit it. The jackpot is guaranteed to hit before the Giant Jackpot will reach the $100,000 mark.

As soon as the massive prize will be awarded to a lucky player, the Giant Jackpot at each of the two gambling facilities will go back to $50,000 and the process will start all over again.

Special Accelerated Progressive Jackpot During Opening Weekend

Between April 28 and April 30, Live! Casino & Hotel Philadelphia will run a special accelerated progressive jackpot that will start at $25,000.

The jackpot is also guaranteed to hit prior to the $50,000 mark and will be used to celebrate the launch of the first-ever joint property progressive jackpot in the history of Pennsylvania.

Live! Casino and Hotel Philadelphia vice president of marketing Brian Uran expressed excitement regarding the upcoming program while emphasizing their ongoing mission to come up with brand new and exciting ways for their members to make the most out of their gambling experiences.

Uran also spoke about the impressive success recorded by their sister property located in Maryland and explained they were expecting similar success at their facilities in the Keystone State.

The VP also believes in the Giant Jackpots program’s potential to prone to become a game changer in the industry by attracting fresh slot customers who have never experienced the Live! slot machines before.

The post Live! Casino & Hotel Philadelphia Pioneers Joint Property Progressive Jackpot appeared first on Keno Wizard.

A Bloomberg article detailed that there was a total of 5 offers exceeding $1 billion. The bids were international, with a variety of plans for the future of the waterfront land – from high-end condos or office spaces to situating an entertainment destination there. The Malaysian gambling giant hasn’t announced a final decision yet; however, it was reported that three candidates would be shortlisted before that comes to fruition.

Genting Ready for a Large Profit

Genting’s Miami property sale could be finalized within weeks. The Malaysian operator started marketing their decision to sell the 16 acres of prime real estate back in November 2022, so attracting five bids over $1 billion is an achievement in and of itself. The parcel was home to the Miami Morning Herald newspaper and sits across Miami Beach on Biscayne Bay.

The decision to sell, however, follows a failed push to legalize non-tribal casinos in Florida. As such, Genting is reportedly going to use the proceeds from the sale to fund its casino expansion into New York and further expand its extensive Las Vegas offerings. The operator at potentially very sizable profit from the sale. The land was originally purchased for $236 million in 2011.

Genting’s international status could also potentially enable the operator to distribute the sale profits across markets other than the US. However, such a decision would be motivated very differently. The Genting Casino Nottingham was closed recently, mainly due to “commercial considerations.” The operator didn’t win a Macau concession, so prospects for that market would also require further investment.

And so, although the company’s intentions to use the proceeds from the sale to further strengthen its positions in New York and Las Vegas date a few months back, this is still the more likely option. Other operators have been pouring money into their Macau businesses such as Wynn or MGM, but both won their concession bids, and Genting doesn’t have one.

Eyeing a New York Casino License

Another reason to look to New York specifically is that after Genting’s Macau push didn’t bear fruit during the concession renewal bids, the state has an ongoing bidding war over three new licenses. The competition is expected to be fierce, though, as two of the three licenses are expected to go to racing casinos, potentially leaving only one city casino license available.

The bidding process is run by the New York Gaming Facility Location Board, which said in January that it would not be imposing artificial deadlines due to the complexity of the process. While the state is looking to cash in more gaming tax revenue, the application fees themselves are at $500 million per applicant. So, that’s already a not-insignificant investment just for the attempt.

Genting operates Resorts World which sits close to the Aqueduct Racetrack in Queens. The operator’s plans for expanding the slot-machine facility with a hotel, resort, and casino, could potentially cost more than $1 billion, so the Miami property sale could fill in a big chunk of that investment, or cover all its license application costs and leave some change.

The post Genting Received Multiple Bids Over $1B for Miami Property appeared first on Keno Wizard.