Posted on: July 20, 2024, 07:15h.
Last updated on: July 20, 2024, 07:15h.
Cherokee Nation Entertainment, the casino gaming arm of the Native American tribe of the same name, doesn’t operate a Las Vegas venue, but it’s not opposed to the idea over the long-term.
In remarks made earlier Saturday at the National Council of Legislators from Gaming States (NCLGS) in Pittsburgh, Cherokee Nation Gaming Commission Chairman John Sparks said the Tribe isn’t looking to enter Las Vegas “just yet.” However, Sparks did not say the Tribe is permanently opposed to eventually coming to the US casino center.
Currently, Cherokee Nation runs eight casinos in Oklahoma and is widely viewed as the frontrunner to land a gaming license in Pope County, Ark. Just over two years ago, the Tribe paid MGM Resorts International $450 million for the Gold Strike Hotel & Casino in Tunica, Miss.
Cherokee Nation Would Need Likely Acquisition to Get Las Vegas Casino
Cherokee Nation Entertainment is one of the largest Tribal gaming entities in the US and thus likely has the financial resources to eventually make a move into Las Vegas, which almost certainly need to be accomplished via acquisition.
Sparks did not comment to that effect at the NCLGS conference. While the gaming industry consolidation rumor mill has a knack for seemingly perpetual motion, there are no Strip casinos officially for sale at this point. The same is true of large-scale off-Strip venues and there is just a single downtown gaming property officially on the market.
Additionally, some analysts believe that high interest rates are a headwind to casino mergers and acquisitions activity because many prospective buyers don’t want to finance deals at elevated borrowing costs. It’s possible that the Federal Reserve will lower borrowing costs in September, but it could take more than a single cut to galvanize gaming industry deal-making.
Over the past several years, the bulk of the scuttlebutt regarding Strip casino hotels that could change hands has centered around mid- and lower tier properties. It’s not clear if such venues would be to Cherkoee’s liking or if the Tribe would prefer something glitzier.
Assessing Las Vegas Tribal Landscape
With Mohegan Gaming & Entertainment out as the casino operator at the off-Strip Virgin Hotels Las Vegas and with the closure of the Mirage, the lone Sin City gaming venue run by a Native American tribe is the off-Strip Palms, which is owned and operated by the San Manuel Band of Mission Indians of California.
Assuming no acquisitions or new from the ground up developments, the Las Vegas Tribal roster will increase to two in 2027 when Hard Rock International reopens Mirage bearing the operator’s famous brand.
At the NCLGS conference, Cherokee’s Sparks did not reveal a timeline for the Tribe entering the Las Vegas market.
Source link
Casino.org News 2024-07-21 00:20:34
