Circus Circus, surprisingly, is still around and apparently unrenovated despite everything around it having been demolished and 20 years of critics using it as a perennial punching bag for its allegedly being faded, shabby, and generally uncool by the standards of the day. What's the story behind CC's ability to buck the trend of out-with-the-old and in-with-the-new? Are its days numbered?
When then-MGM Mirage devoured Mandalay Resort Group in 2004, Circus Circus did seem in imminent peril of redevelopment. MGM’s CEO at the time, J. Terrence Lanni, cited its wealth of underutilized land, which included low-rise motel units and an RV park, as a compelling reason for buying the clown casino. However, Lanni didn't get around to doing anything with the site before he left MGM under a cloud four years later.
His successor, James Murren, had quite a different take. Noting how popular Circus Circus was with his children, he vowed that it wasn’t going anywhere as long as he had any say in the matter. This proved not entirely to be true: Most of the RV park was later cannibalized to create a festival grounds for Rock in Rio. The latter was perceived as a financial disappointment and speculation continues to this day that MGM will build a casino-resort on the southwest corner of Sahara Avenue and Las Vegas Boulevard once financial health returns to the north Strip.
But even that probably wouldn't imperil Circus Circus, which sits on an enormous parcel of land and is well away from such north-Strip casinos as Lucky Dragon and SLS Las Vegas (likely to revert to its Sahara moniker once its sale closes). It's also, as a Las Vegas Review-Journal enterprise story discovered, a hot spot for Latino consumers, its something-for-everyone nature and affordability being powerful lures. And since MGM values diversity, both in employment and popular appeal, it wouldn’t blithely close a casino that is to Latinos what the California Hotel downtown is to Hawaiians.
Still, MGM’s approach to Circus Circus’ continued viability is rather schizoid. It has added newer and scarier rides to Adventuredome and even had an attraction devoted to the work of animator (How the Grinch Stole Christmas) Chuck Jones — subsequently closed — but deferred maintenance issues are noticeable. During our last visit, rain water had leaked through Adventuredome’s glass canopy and MGM’s response had been to randomly throw towels on the spots where puddles had formed on the attraction’s floor.
Another pull of Circus Circus is that it's one of the last Strip casinos to offer coin-in slot machines, a powerful draw for those nostalgic for the Las Vegas of yore, back when it was synonymous with gambling more than nightclubs and pool parties. And its steak house, despite the casino’s low-roller image, is acclaimed as one of the best in Sin City. That’s a pretty tall accolade when one considers the proliferation of steak houses along the Strip.
Being 49 years old (it opened in 1968) and having paid itself off ages ago, Circus Circus is poised to throw off a steady stream of free cash flow for MGM, despite the latter’s lack of reinvestment. Until and unless its operating costs render it unprofitable, we're secure in our belief that Circus Circus will endure, its giant clown marquee giving nightmares to coulrophobics for years to come.
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Annie
Aug-21-2017
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