The iconic Tropicana resort in Las Vegas could undergo big changes under the leadership of Bally, which is set to complete its acquisition this year. Chairman of the casino operator Suhyeon Kim, whose investment company last week made an offer to buy the remaining shares of Bally’s, said that the company is open to exploring a number of options, including the demolition of the institution, KSNV reports.
Bally’s Corporation first entered into a $308 million real estate purchase deal in April last year, the deal is expected to close sometime this year. Whatever happens to the building, the chairman of Bally’s said that the building will most likely be rethought and renamed “Bally’s”.
Kim told the Las Vegas Review-Journal that the company would “almost certainly” rename the property and also probably try to redevelop it. The chairman acknowledged that the management has not yet decided what it will do, but will consider “everything”, from repairs to “demolish it and start all over again.”
“We are open to anything,” Kim said, according to the quoted source, saying that demolishing the casino hotel and building something from scratch could be one way to “maximize value.” “We have big plans that we are working on,” he added.
The possible name change to Tropicana follows Caesars Entertainment’s decision to rename its Bally’s resort on the Strip to the Horseshoe brand, which was announced last week as part of a major transformation of the venue. According to Kim, the rebranding will free up the Bally’s brand in Las Vegas, which means that Bally’s Corp. will be able to use it.
Bally’s Corporation, formerly known as Twin River Worldwide Holdings, until the casino operator acquired the Bally’s trademark from Caesars, first announced the acquisition of the iconic Tropicana institution for about $308 million in April last year. He acquired it from Leisure Properties, Inc., a publicly traded real estate investment fund focused on gaming.
The completion of the purchase and new plans for the venue will also be part of Bally’s national ambitions.
“It’s hard to be a national gaming company without a presence in Las Vegas,” Kim said, according to the Review-Journal.
The Tropicana Las Vegas Hotel and Casino is located on the Strip, on a 35-acre lot at the corner of Tropicana Boulevard and Las Vegas Boulevard. It has 1,470 rooms, a 50,000 square foot casino with 1,000 gaming seats, a 1,200-seat theater, and 100,000 square feet of conference and conference rooms.
The new plans submitted by Bally’s and Caesars for their respective facilities mark a period of change, including rebranding and transformation, at some of the most iconic Las Vegas Strip casinos.
The two giants are joined by Hard Rock International, which acquired The Mirage Hotel & Casino in a $1.1 billion cash deal with MGM Resorts International. The famous volcano that spews fire will be replaced when a Seminole tribe from Florida takes over, which intends to build a massive guitar-shaped hotel.
Last week, shares of Bally’s Corp. They jumped more than 20% after the hedge fund Standard General LP, the largest shareholder in the business, submitted an offer to buy the remaining shares it does not yet own at $38 per share. The deal values the company at about $2.07 billion.
Bally chairman Su Kim, founder and managing partner of Standard General, said his buyout offer had nothing to do with Bally’s desire to close the acquisition of Tropicana. The private equity firm intends to finance the transaction “through a sale with a leaseback” and other long-term financing mechanisms.
Source: official website of YogoNet