Four Las Vegas Casinos May Stay Closed
Four Las Vegas casinos can remain locked once and for all, according to a report by the Las Vegas Sun.
In a sales call Tuesday Frank Fertitta III, CEO and chairman of Red Rock Resorts, the parent firm of Station Casinos, stated that Palms, Texas Station, Fiesta Rancho and Fiesta Henderson will Stay locked for the near Future.
“We don’t know if or once we’re likely to reopen some of those locked possessions,” said Fertitta on the call. “We believe it’s too premature to make that choice. ”
Station Casinos opened 16 of its 20 Las Vegas properties when Gov. Steve Sisolak gambling operators to resume business on June 4. Before the official reopening was announced, Station officials said that those four properties would not reopen when they were before all else eligible to and that the company would take a gradual reopening approach with its properties.
The stated approach was similar to how Caesars Entertainment and MGM Resorts handled its Vegas reopening, as both companies only opened a couple of properties on the Las Vegas Strip while gauging demand in a post-COVID-19 marketplace.
But Station Casinos hasn’t reopened these four possessions, even following some favorable economic news. While net earnings was down 76 percent in the second quarter of 2019, EBITDA (Earnings Before Interest, Taxes and Amortization) for the 16 casinos started by the business really jumped 47 percent for its next quarter.
Fertitta said that these amounts are due to how gambling revenue is the chief source of revenue. A number of the properties appeal to locals, instead of tourists coming from outside of the city.
The organization doesn’t have any properties on the Las Vegas Strip, and Palms is one of their two off-strip casinos. Palace Station is the other.
“We’re mostly a gaming business that happens to get resort, catering and conference company as an amenity,” said Fertitta. “Primarily, 80 percent of our business stems in the casino, so we’re in a position to get the results which we needed in the short term minus powerful resort, catering and conference. Hopefully those will reunite because we obtain the COVID-19 emergency in check, but our principal business is suburban Las Vegas neighborhood small business. “