No love for Lucky Dragon

What if they sold a casino and nobody bid? That was the unenviable fate of Lucky Dragon Casino at bankruptcy auction. No one wants the jinxed property, leaving it in the frigid hands of principal lender Snow Covered Capital. Thus ends what has been called “the most specifically focused casino project in the history of Las Vegas.” Snow Covered Capital was clearly eager to be shot of what it called “a dismal failure” but will instead be forced to shell out the $200,000 a month it costs to keep the property mothballed. This outcome, however sad, was entirely foreseeable. None of the big gaming operators on the Strip had reason to covet tiny Lucky Dragon, and Boyd Gaming and Station Casinos are firmly entrenched with Asian players at Gold Coast and newly revamped Palace Station, respectively. And an independent operator would have to have a big Asian-player database before venturing into Lucky Dragon. There were rumors Alex Meruelo would tuck it in as a complimentary property to SLS Las Vegas but the latter has so many problems of its own that Meruelo clearly thought better of the acquisition, if he thought about it at all. With 3,400 hotel rooms coming on line at Resorts World Las Vegas, newcomer Genting Group hardly needs a ‘dormitory’ hotel. Let Lucky Dragon stand as a cautionary symbol to everyone who thinks they can beat the Strip at its own game.

* Majestic Star Casino in Indiana (which encompasses a former Donald Trump riverboat) wants to move ashore. The auguries look favorable but the move could come at a non-monetary price. Majestic Star would like to come on shore in Hammond. That city’s mayor is OK with the move … if the casino license moves as well, Why should Hammond shoulder the costs while Gary continues to derive the benefits? That question was not pondered by the Indiana Lege’s Commerce & Economic Development board, which voted the move out of committee 8-1. “If the State wants to move the licenses to land-based locations, I’m fine with that. I support that as it hopefully will help Gary pursue other economic development opportunities,” reacted Hammond Mayor Thomas McDermott Jr. “I just want to make sure that one of the licenses comes to Hammond where it belongs and where revenue can be increased for the city, county, and state. With sports book gaming around the corner and all the competitive advantages we have in Hammond, it is a no-brainer to put another casino in Hammond.”

McDermott got some pushback from Gary Mayor Karen Freeman-Wilson. “These are [private] licenses that have to be dealt with on the open market,” she riposted. Last month, the two Majestic Star boats grossed just under $12.5 million, well behind Horseshoe Hammond‘s $32 million but not exactly chicken feed. Freeman-Wilson isn’t trying to hang onto the two boats because her vision for redeveloping the harbor area doesn’t encompass gambling. If Majestic Star moves, it would be the third Hoosier State casino to come ashore, following Tropicana Evansville and Horseshoe Southern Indiana.

* Kudos to Resorts World Sentosa in Singapore. It has ixnayed single-use, environmentally unfriendly, plastic straws. That’s 3 million straws a year fewer in the trash bins. Paper straws and souvenir cups are exempt. Still, that’s a great start. Sheldon Adelson, your move.