The owner of the Hard Rock in Las Vegas and the Atlantis casino resort in the Bahamas has won the bidding for the closed Revel casino hotel in Atlantic City.
Brookfield Property Partners offered $110 million for Revel, a fraction of the $2.4 billion it cost to build.
Brookfield says it’s exploring various options for the 57-story building to ensure its viability as a resort destination.
Israel Posner, executive director of Institute of Gaming, Hospitality and Tourism at Richard Stockton College, says even though Revel struggled financially, Brookfield has a list of upscale customers that can help it be successful in the Atlantic City market.
“You start off with your little black book and perhaps not so little and provide a lot of value to those customers I think you very well can make it especially if you’re not burdened with billions of dollars of debt,” Posner said.
Posner says reopening the building would be welcome news in a city where thousands of casino workers have lost their jobs and more cuts could be on the way.
“There’s a lot of interest in putting people back to work but there’s a few other things that matter and that is a return to health of the Atlantic City municipal tax base. A company that’s paying taxes can help a lot. You also have vendors and suppliers who depend upon the business,” he said.
Atlantic City Mayor Don Guardian declined to comment on the deal until the purchase is final. UNITE HERE, the casino workers union also said it wants to keep quiet for now.