Monte Carlo Conversion To Park MGM
The big news in Las Vegas last week was the release of the first renderings of Park MGM. The casino that you know as the Monte Carlo is currently undergoing a major renovation. You can see first impressions of the renderings from earlier this week here.
Early reactions about the new look for the Monte Carlo include: “It looks like a mall,” “just hurry up and open Eataly,” and “this looks like it could be anywhere.” I don’t mind the look of the property or the name. I like shiny new things and this seems like it will fall in that category.
Looking at the renderings it appears as though the Eataly will occupy the space that is currently Diablo’s Cantina. A new entrance to Park MGM will become a gateway from the casino to The Park at the south end of the property. Eater Vegas reports Eataly will be approximately 40,000 feet. The Monte Carlo website says Diablo’s Cantina is two floors and only 13,000 square feet. Expect to see the best coffee on the Vegas Strip, Sambalatte, move. They have a major announcement in two weeks that may or may not be related to Park MGM/Monte Carlo.
There has been a lot of work to do on this renovation. On last week’s earnings call MGM Resorts International CEO, Jim Murren, sounded exasperated by the renovations. Nobody at the company seemed to expect this much of a disruption in business.
Revenue at Monte Carlo was lower than expected in the last quarter. The work is taking a bigger bite out of business than expected. Murren intimated that the construction at Monte Carlo will get worse before it gets better when he said to expect more disruptions in the next quarter. This is almost hard to believe since about half of the casino floor is currently closed for construction.
As I wrote earlier this week Jim Murren said that if this transition from Monte Carlo to Park MGM is successful the process will be repeated. The renovations will move Monte Carlo from one of the lowest room rates for MGM Resorts to one of the highest. Expect this process to be repeated.
Buying And Selling MGM Resorts And Fontainebleau
Jim Murren talked about mergers and acquisitions in Las Vegas on the quarterly earnings call last week. He’s been hearing rumors that there might soon be a deal for someone to purchase Fontainebleau. He made it clear that MGM Resorts International was not the interested party. The potential buyer hasn’t been named yet.
Murren also mentioned that there is significant interest on the Vegas Strip. After saying MGM Resorts is not involved with Fontainebleau he went on to mention that there is high interest in MGM Resorts International properties. He specifically noted the interest was in MGM Resorts International properties and not MGM Growth Properties holdings. Perhaps a Fontainebleau sale will spur some action with Circus Circus or the MGM Festival Grounds next door.
In other Fontainebleau news, they’re finally wrapping part of the eyesore on the North end of the Vegas Strip. The big blue monstrosity will still be ugly but maybe a little less ugly. New3LV has more information on the wrap.
Lastly, Murren did say that MGM Growth Properties would be looking for acquisitions moving forward. He didn’t mention a specific property or location. Perhaps it’s a good time to bring up that rumor about MGM buying the Cosmopolitan.
More Casino Operator Earnings Notes
- Penn National Gaming, owner of M Resort and Tropicana, had an awful quarter. They reiterated that there still thinking about moving forward with more expansion of Tropicana. The Las Vegas Review-Journal has more information here. Unrelated, Robert Irvine’s Public House opened at the Tropicana this weekend. You can read more about the restaurant here.
- Boyd Gaming crushed earnings in the second quarter. Their pre-existing locals casinos (Sam’s Town, Suncoast, Gold Coast, Orleans) segment had its highest second-quarter revenue in nearly 10 years. The new locals casinos (Aliante, Cannery, Eastside Cannery) are growing at a double digit pace compared to pre-Boyd ownership. You can read the press release here.
- Nothing major to report from Las Vegas Sands (Venetian and Palazzo) or Wynn Resorts.
Free Killers Concert Outside Of Caesars Palace On Monday
The Killers will be playing six songs in front of Caesars Palace Las Vegas on Monday at 8 pm. The set is being recorded for Jimmy Kimmel Live and tickets are free for VIP’s. If you have a host, call for tickets. If you don’t have a connection for the free tickets your best bet to watch the Killers is across the street. The Linq will have a free viewing party at The Vortex. The Caesars blog has all the info you could want.
I’ll mention the news here and you can read more if anything seems interesting. We’ll start today with my least favorite topic in Las Vegas today.
- The Forum Shops at Caesars Palace is now charging for valet. This already started. Locals can self-park for free in the garage which is at the entrance of the mall. Read more here.
- Scott Blumstein won the Main Event at the World Series of Poker. He took home over $8 million. Nice prize for a 25-year-old dude from New Jersey. Maybe he purchased Revel in Atlantic City. Read more here.
- Tickets for Floyd Mayweather vs. Conor McGregor are still available. Prices range from $1,857 to $13,782. Viewing parties won’t go on sale until the fight sells out. You can buy here.
- Circus 1903 has opened at Paris Las Vegas. It’s all the parts of a circus without the animal cruelty. Read more here.
- I feel as though Eater Vegas had this news last year. Station Casinos has filed paperwork to possibly add a new hotel tower and convention center at Palace Station. Read more here.
- I don’t think I appreciated George Wallace enough when he was a Las Vegas staple. Johnny Kats from the Las Vegas Review Journal says he might be returning to the Vegas Strip. Spiegelworld is prepping a show for the Palazzo that will include GW. Read more here.
- The Cosmopolitan is upgrading levels 1.5 and 2 at Chandelier Bar. The overflow space for Eggslut will be more flexible. Read more here. I reviewed Eggslut just after it opened. You can read that here.
- You can buy a letter from the Las Vegas Club sign on eBay. If letters excite you there’s more information here.
- McCarran Airport had its busiest June everrrrrrrrrr! Read more here.
- The Plaza is an official partner of Life Is Beautiful this year. The casino will be hosting after parties including a party with MGMT. You may know them from this jam in the movie “21.” Read the press release here.