Impact of Sale of Harrah's Reno on Other Reno Casinos?

With Eldorado's sale of Harrah’s Reno and the new owner not continuing the property as a casino, how much positive impact will that have on the remaining Reno casinos? Basically, did Harrahs have good share of the casino business in Reno?

The Nevada Gaming Control Board won’t share that information with us. But our educated deduction is that Harrah’s Reno was making so little as to be expendable. Its casino floor had the reputation of being a ramshackle affair and prospective Caesars Entertainment owner Eldorado Resorts is already asset-heavy in Reno with its Silver Legacy/Eldorado/Circus Circus trifecta. Harrah’s Reno lacked the cachet (and perhaps the cash) of any of those properties.

According to the Reno Gazette-Journal, Harrah’s has been rumored to be on the market for years and Caesars thought little enough of it to do a sale/leaseback arrangement with real estate investment trust Vici Properties (a safe harbor for Caesars assets during that company’s bankruptcy). This property is also rather long in the tooth, having grown from a bingo parlor that Bill Harrah founded 83 years ago. The sale will sever Caesars’ earliest link with its Harrah-led heritage and for that reason may be regrettable -- but not for any other reason that we can see.

Taking no chances, the gaming entitlement will be removed from Harrah’s, which is being sold to Reno City Center, with the turnover taking place this autumn. The casino-less property sold for $50 million, of which $12.5 million will be rendered unto Caesars, the rest going to Vici.

Harrah’s Reno, at least in our opinion, is a sort of grind joint masquerading as a fancier place, whose main competition is the Cal Neva across W. 2nd Street, so the rest of the casino core may pick up some incremental revenue, with Caesars Rewards members obviously being incentivized to gravitate to the Eldorado-owned casinos.

As for the erstwhile Harrah’s, it will become a non-gambling property with apartments, office space, and retail stores.

How much positive impact will the sale of Harrah's Reno, and the closing of its casino, have on the remaining Reno casinos?

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gaattc2001 Apr-14-2020

Harrah's Reno was one of the first places I ever played Blackjack....

in the fall of 1968. They had single-and-double deck at two levels: $1-to-$200 and $5-to-$500. They dealt down to the last few cards, stood on soft 17, and allowed doubling on hard 10 and 11 only. That was typical for Reno in those days, but only Harrah's offered insurance.
I had just read "Beat the Dealer" (2nd ed., 1966) and was supremely naive and overconfident. Still, just to be safe, I would leave a $10 bill in the glove compartment--enough to get the car out of the parking lot, have breakfast, and gas up for the trip back to Sacramento. 
My last Reno visit in that era was in November 1968. I've been back exactly once since then, in 1989-90. Let's just say that conditions had changed considerably.

Jackie Apr-14-2020

I agree

I loved Harrah's Reno back then, all of the games were great and my favorite place to play in Reno up into the 80's.  A friend of mine and I would go there on weekends returning with about a thousand each, hers from video poker and mine from live poker and then returning to Sacramento.  All of the other properties there and especially Lake Tahoe sucked big time.

O2bnVegas Apr-14-2020

Silver Legacy was good

Harrah's Reno had seen better days, though the staff were some of the friendliest anywhere and the tiny Diamond Lounge made up for a lot--super bartender and good snacks for such a tiny lounge.

What was also good--charter flights with the choice of staying at Harrah's or limo ride up to Lake Tahoe Harrah's/Harveys.  Those had stopped at some point.  Loved Lake Tahoe in the winter.  Now getting decent offers for Lake Tahoe with some airfare compensation, just not decent enough.  

Some years back a friend hooked us up with her Silver Legacy Host for a couple days of great gambling and meals.  Wasn't part of Harrah's (and their free charters) back then, so we didn't pursue the connection.  If the new company offers the charter flights for Silver Legacy we will check it out.  Didn't they take on Harrah's Laughlin as well?

Adam Apr-14-2020

Rendered unto Caesars-- It's GOLD!

I'm disappointed that mine is the first comment to salute this turn of phrase. Well done!

Question of the Day - 14 April 2020

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