Hotel-casino companies in Las Vegas continue to see huge dips in their visitor numbers this fall. It’s a difficult situation and has caused many of these companies to adjust their operating hours. New reports claim The Palazzo Las Vegas is now choosing to temporarily stop accepting reservations.
This goes to show how much Las Vegas is struggling right now. Today, we’ll talk about how this new rule will affect The Palazzo. We’ll also discuss what is happening with this venue’s owner company, Las Vegas Sands.
Let’s get into it!
Las Vegas Sands Considers Nevada Property Sales
Nevada is home to most of the biggest gaming operators in the United States. Prior to 2020, the majority of these companies were thriving. We saw gaming revenue increase around the country and several massive new casino-resorts were being constructed in different states.
The land-based casino industry is now facing its toughest test in history. Most casinos are still seeing major drops in their revenue and visitation rates. Some states have even ordered their commercial casinos to shut down once again due to health concerns.
Las Vegas Sands is being hit particularly hard. Earlier this year, news broke that company officials were considering selling some of their biggest properties in Nevada. It was extremely surprising to hear from one of the country’s most powerful gaming companies.
As many know, Las Vegas Sands controls several properties in Las Vegas including The Venetian and The Palazzo. It also operates several massive casino-resorts in Macau. Both of these major gaming destinations have struggled to bring in tourists and gamblers this year.
Analysts claimed several companies would be interested in taking control of Las Vegas Sands’ properties. As of now, however, none of the company’s properties have officially gone up for sale. It seems officials within LVS are focused on cutting down on costs right now, rather than getting rid of their gaming venues.
We’ve seen many hotel-casinos in Las Vegas limit their operating hours in recent months. The Palazzo is now choosing to do the same.
Reservations Are No Longer Accepted at The Palazzo Las Vegas
Tourism rates in Las Vegas have been low throughout the year. As many experts predicted, these tourism numbers have been dropping even further as the colder months approach. More travel restrictions and a major uptick in Covid-19 cases are contributing to this tourism drop.
This, of course, takes a toll on casino companies. Several of the biggest casino-resorts in Las Vegas have recently begun to shut down for certain days of the week as a way to cut down on costs. Las Vegas Sands is now choosing to take a similar approach.
Reports have confirmed that The Palazzo Las Vegas has stopped taking reservations and will shut down until at least December 23rd. This move is taking place to “better reflect occupancy patterns.” The casino at this resort will remain open, yet hotel guests are no longer permitted.
Airport traffic numbers shine a light on how much tourism in Las Vegas has dropped. This past October, airport traffic declined by 57% compared to the same month in 2019. It’s likely that an even larger drop will be reported for the month of November.
Las Vegas Sands isn’t completely shutting down its hotel business in Nevada. The Venetian’s hotel will remain open to guests. Hope is that the shutdown of The Palazzo will help LVS save money and remain operational during these difficult times.
It wouldn’t be a surprise to see more casino companies in Las Vegas announce shutdowns in the near future. Some even feel that Governor Sisolak will soon be forced to order all of the state’s casinos to close their doors again soon. Stay tuned for updates!
Atlantic City Casinos Struggle With New Regulations
Las Vegas isn’t the only major gaming destination hurting badly right now. Things are almost as bad over in Atlantic City, the East Coast’s premier casino hub. New regulations ordered by Governor Phil Murphy have been making things extremely difficult for casino companies here.
Not long ago, Murphy announced that casinos could no longer serve late-night food or beverages. This added to an already large set of restrictions towards these casinos. More regulations lead to a major decrease in tourism into the city.
Joe Lupo, president of Hard Rock Atlantic City, expressed his disappointment with this situation to the media this week.
“It’s so discouraging,” Lupo said. “We were doing really well. We were really gaining some ground… It’s going to be a long, slow winter. And there are going to be less people here and less people working.”
Fortunately, Atlantic City casinos are able to earn profits from New Jersey’s regulated online sports betting and casino industry. These internet gaming platforms are helping these companies stay afloat right now. We’ll need to wait and see how tourism and land-based casino revenue evolve here over the next few months.
Are you surprised to see The Palazzo Las Vegas shut its doors? What will be the next hotel-casino in Las Vegas to close? Let us know in the comments section below!