Strip sux but locals steadfast; Virgin LV loses its virginity

Things simply have to get better on the Las Vegas Strip. Not even a Feb. 15 capacity increase saved some casinos from perdition. Let’s hope February represented a bottoming-out of gaming revenues, as tourists starting flocking back this month. Strip gaming win was down a precipitous 41.5% to $348.5 million, led by slot winnings that were 34% down (to $189 million) on 27% less coin-in. Baccarat continues to be a black hole into which casinos plunged 58% on 58.5% less wagering. Players dropped 36% less on the green felt at non-baccarat table games but revenues suffered 43%, as punters bet less and won more. The Strip’s woes can be explained by a 54% falloff in visitation. 1.6 million arriving and departed airline passengers represented a 58% decline, including a measly 8,033 international travelers. Conversely, auto traffic was actually up at the California border by 1.5%. Hotel occupancy was a woeful 42%, depressing revenue per available room by 65% and room rates 26.5% (to $104/night). With no measurable convention business, midweek occupancy was 32% compared to 63% on weekends.

Las Vegas locals casinos were the bright spot, flat at $186 million, quite an accomplishment in a depleted Silver State economy. (Fortunately, employment numbers have been trending positively.) Tighter slots meant only 1% less win despite 6% lower coin-in. Perhaps the infusion of Circa eased Downtown‘s pain. It was only off 7% ($51.5 million), while North Las Vegas slipped 12% ($19 million), the Boulder Strip dipped 2% ($64 million) and Laughlin tumbled 31% ($33 million). Miscellaneous Clark County casinos were up 3.5% ($103 million) and Mesquite climbed 5% ($13 million). Upstate, Reno slid 14% to $50 million but Lake Tahoe leapt 16% to $20.5 million. Utahns shunned Wendover, down 9.5% to $17.5 million.

415 days and $200 million later, the Hard Rock Hotel has successfully morphed into Virgin Las Vegas. Reported Susan Stapleton, “The revamped hotel goes with a lighter look, taking cues from the surrounding Mojave Desert with cactus and desert tones throughout, an open porte cochere with ride-sharing built in, and light and airy colors echoing the vibe of Las Vegas outside the Strip.” Troublesome Rehab is gone, replaced with a five-pool complex that’s tied into the resort’s outdoor-dining area. Back are 1,300 erstwhile HRH employees. The Mohegan Sun-operated casino is small by Vegas standards: 650 slots and 44 tables. Austin Powers would still feel right at home in a property that now features something called The Shag Room. Most of the restaurants (some not yet open) are new. Vital Vegas has so far been mum on Virgin’s opening, although he’s got a good scoop on Bally’s Las Vegas and a new—well, long-rumored—name change.

Jottings: Caesars Entertainment is suing its insurers for $2 billion in business losses incurred during the Great Shutdown. That’s one way to shore up the bottom line … No April Fool’s joke this: That Las Vegas Raiders-themed restaurant at M Resort opens April 1. Patrons of Raiders Tavern & Grill “will be immersed in the Silver & Black experience through décor and memorabilia while enjoying great food, drinks and service.” … Illinois regulators are being pressured to accelerate construction permits for Walker’s Bluff Casino Resort, presently a big pit filled with rebar … Cashless gaming, still a rarity, will be coming soon to Pennsylvania. The charge is being led by Boyd Gaming and Penn National Gaming. Boyd already has a digital wallet and Penn is working on one. Said the latter’s Eric Schippers, “The gaming industry is far behind other businesses, such as Starbucks, in this regard and the younger demographic has come to expect the ability to use their phone for their loyalty programs and to purchase goods and services” … Now there are two. BetMGM has unfurled Michigan‘s second i-poker platform, joining PokerStars.