[Willy702]

Originally Posted by BBMW

The fact that no one will buy individual Vegas properties for anything more than fire sale prices says something.

More than anything it just says the valuations have gotten way too high on a cash flow basis and the cost to build has gotten to be outrageous. The combination makes a sale of a Strip asset very difficult because the buyers with capacity are just looking at it as a cash flow story, they don't care about the flagship property or the idea you can't replicate the Strip elsewhere.

[Merrily Gather]

I can't remember which goes with which but I saw Marriott, Hilton and Radisson all partnered with Strip properties recently.

TI was Radisson
I think The Drew is JW Marriott
and I can't recall which was Hilton. Was it SLS, Tropicana, or another one like Lucky Dragon?

[BBMW]

The can offload hotel management, and become part of the hotel chain's global reservation systems.

Originally Posted by Merry Lee Gather

I can't remember which goes with which but I saw Marriott, Hilton and Radisson all partnered with Strip properties recently.

TI was Radisson
I think The Drew is JW Marriott
and I can't recall which was Hilton. Was it SLS, Tropicana, or another one like Lucky Dragon?

[BBMW]

I'm sure the bondholders love that. They're holding debt on properties that are unsalable. It doesn't say much for what future investment in the strip will be going forward.

Originally Posted by Willy702

More than anything it just says the valuations have gotten way too high on a cash flow basis and the cost to build has gotten to be outrageous. The combination makes a sale of a Strip asset very difficult because the buyers with capacity are just looking at it as a cash flow story, they don't care about the flagship property or the idea you can't replicate the Strip elsewhere.

[Willy702]

Originally Posted by Merry Lee Gather

I can't remember which goes with which but I saw Marriott, Hilton and Radisson all partnered with Strip properties recently.

TI was Radisson
I think The Drew is JW Marriott
and I can't recall which was Hilton. Was it SLS, Tropicana, or another one like Lucky Dragon?

Waldorf Astoria is a Hilton owned brand, probably what you are thinking of. Even if they do affiliations, these are much different than the typical branding with hotel flag. In other words, all these casinos will still more prominently give their casino/resort name on everything and just utilize the network on a smaller percentage of the total rooms that would normally be sold through the booking sites such as Expedia. There are other deals with hotel brands coming soon that haven't been publicly announced yet, stay tuned...

[Merrily Gather]

I understand they keep their name and exterior signage while they join the hotel management group. That's true for TI and Radisson.

However, I saw The Drew will be a landmark property for the JW Marriott and the new renderings included the JW Marriott style including the large Griffin statues outside. We'll see if that all goes through as they pushed back the opening to 2022.

There was another recent announcement about Hilton partnering with another Strip property but I can't remember which one it was. I do remember they explained they would keep the hotel theme while it would be under the Hilton group similar to what's happening with TI and Radisson.

Interested to see the other announcements coming soon!

[Svoboda]

Rio has been sold.

https://www.reviewjournal.com/busine...516-3m-1855014

[BBMW]

^
When the management contract with Caesars expires, hopefully it won't be renewed, and Imperial with strike a deal with the Marnells. I'd like to see the Rio go back to what it was when the Marnells built it.

[Willy702]

Maybe, but without that database the property is a disaster. If its going to a single asset owner eventually they might as well implode at least the old tower, if not the new one. I could see a strong return on a village style development. Smaller footprint for the hotel/casino, maybe just the new tower and tear everything else down or repurpose it. Then build in some condos/apartments and a large outdoor retail/entertainment facility aimed at locals but close enough to get tourists as well. Linq is a good blueprint of what can work, but with paid parking and not enough scale to bring regulars, it doesn't attract quite what it could from the locals market.

[BBMW]

For the Rio (as opposed to CZR as a whole) I don't know that CZR's database / rewards program does that much for them. CZR has so many properties in Vegas that the Rio gets lost in the crowd.

Rio did very well (probably better than it did now) as a stand alone property before Harrah's bought it. And, also, under the Marnell's it wouldn't be stand alone. They have the M also. Yes, not CZR scale, but it's something. And if CZR is willing to sell it off, they likely haven't been putting anything into it to build business. The Marnells would.

I also think there's a bit of discontent in the Vegas tourist base about how the big companies are treating them. That could be exploited.

Originally Posted by Willy702

Maybe, but without that database the property is a disaster. If its going to a single asset owner eventually they might as well implode at least the old tower, if not the new one. I could see a strong return on a village style development. Smaller footprint for the hotel/casino, maybe just the new tower and tear everything else down or repurpose it. Then build in some condos/apartments and a large outdoor retail/entertainment facility aimed at locals but close enough to get tourists as well. Linq is a good blueprint of what can work, but with paid parking and not enough scale to bring regulars, it doesn't attract quite what it could from the locals market.