Every single local I’ve spoken with has not only nothing good to say about their experiences at Circa, but their experiences were SO bad that they’ve vowed never to return. (Like charging $10 just to take a picture of the stadium pool, charging $4/hr for self park, but only $15 for valet ... or enforcing a ridiculous dress code at the new Legacy Club.) Has Derek Stevens purposely decided to create an unwelcome property for locals or is he even aware of the backlash from locals? This is such a let-down.
We answered a similar question in early September; it was about Circa's announced Strip-like room rates when the reservations system went into effect.
In that QoD, we wrote about owner Derek Stevens building the Circa foundation on the demand for high-end product at his two other downtown properties (The D and Golden Gate); Sin City's long tradition of setting unnaturally high prices when opening new properties; that Stevens has tried to create some must-see cachet and to subliminally convey the message that Circa is as good as anything on the Strip; and that the $850 million price tag has compelled him to generate as much cash flow as possible as quickly as he can, especially in the face of the current situation.
We continue to stand by these causes for the high-priced effect.
And if, in the process, Circa has become an "unwelcome property for locals," so be it. How many Las Vegans completely stopped going to the Strip between the time that the parking fees were instituted, then dropped due to the pandemic? Plenty, if not most, but we never heard that Caesars Entertainment or MGM Resorts regretted the move. Yes, the Wynn did, but that was under the highly extenuating circumstances at the time. Otherwise, the casinos that continued to charge for parking just kept padding their bottom lines with money collected from non-locals, who still flocked there in record-setting numbers. Out of towners who want a high-class experience -- on the Strip and at Circa -- will pay the price, while bargain hunters and locals won't.
The question in our minds is, is Circa good enough? George Maloof made the same play with the Palms, calculating that a super-high-class off-Strip hotel-casino would siphon off enough of the Strip crowd to do well and at its peak, the Palms was making George a fortune ($50 million a year).
By contrast, as you state in your question, many locals, including one or two right here in our office, believe that Circa is a let-down, though it's undeniable that Stadium Swim is a valuable asset. On the other hand, when the post-pandemic crowds return to town, and they will, Circa could still be new enough, at least at first, or good enough in the long run, to command a premium.
Time will tell.
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