Most of Las Vegas is still shut down. All casino companies here are currently losing a huge amount of money and it’s unclear when any gaming venues here will be allowed to open up again. Interestingly, The Blackstone Group continues to invest money into this city.
This company has already put a huge amount of money into this city. It appears The Blackstone Group now sees an opportunity with the current situation Las Vegas finds itself in. Today, we’re going to look at some of the recent investments Blackstone Group is making into the Las Vegas market.
Let’s get into it!
Governor Sisolak Extends Nevada’s Stay-At-Home Orders
It’s been more than a month since all of the casinos in Nevada closed down. It should come as no surprise to hear this is taking a serious toll on the state economy. Cities such as Las Vegas, for example, are losing an incredible amount of revenue right now.
Las Vegas casinos help to bring the state major revenue every month. This gambling industry also employs thousands of people. With casinos now closed down, the vast majority of these workers are now left without a job.
Many have questioned how long Governor Sisolak would force these businesses to remain shut down. There’s a statewide stay-at-home order set in place that some have criticized. Even the Mayor of Las Vegas has called for the city to reopen again.
This week, Sisolak announced that he plans to extend the state’s stay-at-home order. It’s a decision that is likely to frustrate casino companies. With that being said, most health experts feel that Las Vegas is not ready to completely open up once again.
Some casinos are still preparing to open back up. With the Governor’s new decision, this is unlikely to happen anytime soon. That isn’t stopping some major investment firms from putting money into Las Vegas, though.
The Blackstone Group Invests Millions Into Crown Resorts
There’s a good chance you’ve heard of The Blackstone Group before. This company has pushed hard into Las Vegas over the past decade. It now owns several major casino-resorts throughout the city.
Not long ago, this company purchased the Bellagio Las Vegas for an astounding $4 billion. Prior to that, it bought the Cosmopolitan for $1.7 billion. Blackstone Group even bought the MGM Grand and Mandalay Bay in a joint venture for $4.6 billion.
This week, news broke that this company purchased a $360 million stake in Crown Resorts. It appears to be another major push into the Las Vegas market. With the investment, Blackstone now owns a 10% stake in Crown Resorts.
It’s a strategic move. Crown Resorts has worked hard to buy and construct property here. Back in 2007, the company invested money into a company building the proposed Fontainebleau Casino & Resort. The plans for this venue were eventually scrapped.
It remains to be seen what plans Blackstone Group and Crown Resorts have for Las Vegas. It seems likely that more property sales will take place over the next few months.
Las Vegas Casinos Are Gearing Up For a Return
At the start of this year, it looked as if everything was going right in Las Vegas. Casinos here were bringing in a huge amount of revenue and tourism was reaching record numbers. No one could have predicted that things would change in the way that they have.
Unfortunately, the city is now at a standstill. Governor Sisolak is extremely hesitant to reopen the casinos here. As a result, there are almost no visitors now coming to the city.
Casino officials in Las Vegas continue to make preparations for the future. Some of these casinos are set to install thermal cameras to detect patrons with a fever. It’s also likely that EMTs will be placed inside the casino to assist anyone dealing with Covid-19 symptoms.
If all goes according to plan, Las Vegas casinos may be able to open again within the next couple of months. When that happens, it’s almost guaranteed that these venues will not look the same way they did prior to this pandemic.
Blackstone Group clearly sees a major opportunity here. By teaming up with Crown Resorts, these companies will start making a serious impact on this Nevada casino. Stay tuned for updates on this situation over the next few weeks!