Carl Icahn has signed a deal with Hard Rock International for the selling of the Trump Taj Mahal Casino of Atlantic City.
Businessman Carl Icahn has had a rough go in the gambling industry as of late. Over the past year, Icahn has fought with the Local 54 Union of Atlantic City as unionized employees went on strike due to the lack of health and pension benefits within their Trump Taj Mahal Casino employment. Back in October, Icahn decided to shut down the casino and faced even more issues with lawmakers.
A bill was created that would have stopped Icahn from offering casino gaming at the venue for five years, though the measure never moved forward. Due to the attempt by lawmakers, Icahn decided to try and sell the venue. It seems the businessman has now found a buyer after announcing a deal for acquisition with Hard Rock International.
The Hard Rock International Company has decided to purchase the Trump Taj Mahal from Icahn, though the amount of the purchase has yet to be announced. The news was first announced yesterday by the Press of Atlantic City that Hard Rock International, a company based in Florida, had signed a deal with Icahn to be the new owners of the gaming venue. Senator Jim Whelan of New Jersey reportedly said he knew the deal had been reached but the companies have yet to confirm publicly.
Once the news hit the press, it was not long before Icahn and the Hard Rock Company would make a statement on the matter. Icahn Enterprises, the owner of the Tropicana Casino in Atlantic City, stated that they were determined to own just one gaming property in the area and chose to sell the Taj Mahal for the best outcome for the company. The company reportedly took a great deal of time analyzing and discussing their options before coming to the conclusion to sell.
Hard Rock International issued a statement as well that laid out ideas for the new venue. The casino will be known as the Hard Rock Hotel & Casino Atlantic City and the company plans on investing as much as $300 million in the purchase, renovations and reopening of the casino venue.
Jim Allen is the Chairman of Hard Rock International who stated that the company is excited to be part of Atlantic City’s revitalization by creating jobs for local employment. Allen is convinced the new property will be a success in Atlantic City.
A Proven Company
Hard Rock International is a proven success when it comes to the gambling industry. The company is based in Florida and is controlled by the Seminole Tribe of the state. The tribe operates six gaming venues in Florida as well as five more in varying locations. The Hard Rock International Company will be the majority owner of the new property with two minority partners in place, the developers Edgewood Properties and Jingoli Construction, both located in New Jersey.
Hard Rock International has already tried to become operational in New Jersey but failed in previous attempts. The company was working to create a casino some five years ago but the market conditions were not favorite. The company also decided to try and be part of the expansion in the northern region of the state but legislation to approve two casinos in North Jersey failed to gain voter approval last November.
The full plan for the Taj Mahal Casino has yet to be revealed but one can assume in the coming weeks or months, Hard Rock International will lay out their plan so we can see just what will come to pass as the new owners take over the Atlantic City casino property.