What’s the Future Status of the Rio?

What’s the status future of the Rio? It feels dead.

We get this question all the time, primarily from people, like this submitter, who've just been there and wonder what, if anything, is going on. Indeed, we last answered it in October, barely four months ago.

And we have to agree. We hadn't been there in a while, so we took a walk over (it's directly across the street from our office) and strolled through on a Friday afternoon. We hate to say it, since we used to love this place, but it was pretty depressing.

The only reason most people were there was for a (small) convention, so the most crowded venue was Starbucks just outside the convention center. Hash House a Go Go was closed (open only 7 a.m.-1 p.m. Fri.-Sun.), as was Guy Fieri's El Burro Burracho (open only Fri.-Sat. 5-10 p.m.), Cafe Cupola (closed between breakfast and dinner); of course, the Carnival World Buffet is a big empty room. We did see something weren't expecting, though: a little lunch buffet, believe it or not. It's at the Royal India restaurant (11:30 a.m. to 4:30 p.m., $15 weekdays, $20 weekends).

The Masquerade wing is basically abandoned, other than forlorn slots, Kiss World way in the back, a Wetzels Pretzels and Smashburger, and some shlock shops.

The main action is at the venerable All American Bar and Grill and KJ, the Asian seafood and dim sum room across from the Carnival World. It probably gets a bit busier at night, given the five or six shows here, including Penn & Teller, Chippendales, and WOW, plus the comedy club. But there's no question the Rio is a sad shadow of what its former self.

The news, however, is that changes are in the air.

We've known all along that this would be a slowly developing story, for a number of reasons. Primarily, Caesars Entertainment sold the Rio to a New York-based real estate developer, doing business as Dreamscape LLC, in December 2019 (for $516 million). At the time, it was a sort of real estate investment trust deal, with Dreamscape buying the property and Caesars leasing it back (for $45 million a year) and continuing to operate it.

The initial deal was for two years, but then COVID hit and Caesars didn't reopen the Rio until six months after the shutdown -- and only on weekends. The property didn't fully reopen for another six months, April 2021. The Caesars deal was extended until "late 2023." In other words, no changes are expected till then at the earliest.

However, in mid-February, Bloomberg reported that Dreamscape had raised $850 million "to remodel its Las Vegas resort and invest in similar properties." In addition, perhaps unsurprisingly, the company created a real estate investment trust to own the Rio, not much different than the ongoing arrangement, though it will also, reportedly, take over operations from Caesars when the current contract expires.

Most of the nearly billion dollars raised will go to the REIT, with which Dreamscape intends to "acquire more gambling and entertainment-related assets." The rest (no figures were released) will be spent on "a major remodeling of the Rio that will include refurbished rooms, restaurants and entertainment options."

We've heard this from the start of Dreamscape's ownership, but now it looks like all the puzzle pieces could be falling into place. With, perhaps, a couple hundred million earmarked for upgrades and the extension of Caesars' operations deal expiring in the not-too-distant future, it looks to us like Dreamscape will be taking over the property and investing in revitalizing it.

Still, the over-under is at least a year for everything to start to firm up and we'll take the over.

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Reno Faoro Mar-13-2023

october - italian fest

years ago , great times  in october , now - OMG,  who screwed this money maker up ????? ownership , management should be ,,,,,,,, !!!!

VegasVic Mar-13-2023

Dump

This used to be a great place but Caesars ran it into the ground, that's their m.o. and they've done that with a lot of their properties.  Stopped in there last year and didn't stay long.

Donzack Mar-13-2023

Disease

Don’t forget legionnaires disease

JCCoryell Mar-13-2023

Gold mine

This place has the potential to go back to greatness.  The location, structure, and theme are all excellent.  Renovate the rooms, bring back the casino floor excitement (good games, bevertainers, show on the ceiling) and open the restaurants/venues (pool, night clubs, poker room and shops). People will ditch the strip for this place like they used to.

David Miller Mar-13-2023

If They Want to Make the Rio Great Again

  Just model the Rio after South Point and it will be busy 24/7, 365.

VegasVic Mar-13-2023

Ditch The Strip

Right on with that comment.  I ditched the strip years ago.  Love off strip properties (Red Rock is great).  But I'd used to go to Palms/Gold Coast/Rio, all were fun in their own way.  Plus Rio had a free strip shuttle if you were so inclined to go to the strip.  One went to Bally's and back, one to Harrah's and back.  But Caesars killed that too.  The Masquerade casino was fun with the sky show.  Caesars killed that too.  The first all suite casino. Cool  Now the room quality is worse than Motel 6.  If someone actually sinks some money into the place it could indeed be a great place again.

gaattc2001 Mar-13-2023

Outside, the Rio is faded peeling paint by day and dead fluoresecent tubes by night...

Penn and Teller should be embarrassed to have their pictures on the building.
Inside, according to various blogs and your own report, it's bad plumbing and HVAC; seedy, distressed furniture; stained carpets patched with duct tape; closed restaurants; and unplayable games--the inevitable result of years of deferred/neglected maintenance and surgical cost-cutting. They've eliminated everything from the Show in the Sky to the strip shuttle to the poker room--and then they wonder why nobody goes there any more.
We went to the WSOP several years running--an overcrowded, overpriced, understaffed mess, admittedly with free parking. Now WSOP has moved out (and charges for parking in its new digs); and the Rio has very little left going for it. 
I agree with JCC that it might be restored to its former greatness. Unfortunately, that would mean bringing back some of the loss-leaders he mentions; and somehow that doesn't seem very likely.

O2bnVegas Mar-13-2023

Rio before Caesars

I'm reminded of a wonderful former LVA member (RIP) who liked the Rio so much that he made his display name Gregrio, something like that.  More than anything about Vegas Greg loved to see shows; gambling was secondary to say the least.  He would see a show numerous times and write detailed reviews including his opinions various vantage points (seats, levels, etc.).

Greg frequented the Rio so often that he became friendly with the owner, a Mr. Marnell.  Greg said the Rio's appeal was thanks to Mr. Marnell's management, and he (Greg) mourned the eventual sale of Rio to Caesars.  I think I recall Greg saying that Marnell built the M Casino but sold it fairly shortly afterwards.  Not sure about that.  

We LVA oldies who knew Gregrio mourned his passing.  He was super friendly, enjoyed sharing his knowledge about shows all over Vegas, loved the Rio.  Kinda like we mourn what the Rio once was.

Candy

[email protected] Mar-13-2023

New A's Stadium

If the A's build their stadium next door, this will be great for Rio's owners!

rokgpsman Mar-13-2023

The Rio was terrific

We loved going to the Rio back in the 1990's, such an exciting festive place. The Masquerade Parade in the Sky had several floats carrying entertainers dressed in Mardi Gras costumes, customers could also ride on the floats and throw Mardi Gras beads down to the crowd on the casino floor. The floats were suspended from the ceiling and moved along on a track, the room had a very high ceiling, something like a 2 story building. There was a stage below with a Latin-style band, sorta like a fast-paced Gloria Estefan show. We saw Danny Gans a couple of times there in the showroom, nice seats, he was the first time we'd paid $100 for a Vegas show ticket, we didn't feel ripped-off, his show was super. After Harrah's bought it in 1999 the place was never the same, completely neglected the upkeep, made changes to the slot club and comps, was a big mistake to allow the place to deteriorate like it has. It had a huge fanbase, would be nice to see it restored to its former glory.

Hannu Mar-14-2023

Rio Lover

I have to say, I do love Rio quite a bit. For someone who mainly needs hotel room to sleep in and easy access with a car, Rio is perfect and at least for me, the rates are way way lower than anything else Caesars offers (half of Horseshoe and much less compared to any other property). The beds were quite good last time I was there (2019), and not having many people around is kind of a perk :).

Question of the Day - 13 March 2023

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