Big Beaver and other Case Bets

Sands China has upped its capital commitment to Sands Cotai (aka The Londoner) as its Four Seasons is scheduled for a $450 million upgrade. The Sands Cotai makeover is now budgeted at $2.2 billion, a hefty vote of confidence in the Macao market. Said Las Vegas Sands COO Rob Goldstein, “We see our hotel rooms are knocking out numbers we never anticipated. We think there’s a demand in that market for all kinds of different things including quality hotel rooms.” A $571 million third-quarter profit will give you that kind of faith.

* There’s not much of a NIMBY problem for Mounty Airy Casino‘s satellite facility in Pennsylvania. “Sparsely populated” Big Beaver saw residents turn out in support of Mount Airy. Having committed $21 million just to secure the license, Mount Airy is going to follow up with 750 slots, 30 tables and a sports book. It could be operational as soon as 2020. At least $50 million will be invested in the mini-casino, which enjoys proximity to the intersection of the Pennsylvania Turnpike and I-376. On the downside, it’s in an industrial area, well away from the nearest retail. Pittsburgh may be only 35 miles distant but it’s already got Rivers Casino. Still, Mount Airy is expecting big business, budgeting for 1,200 parking spaces (not counting bus and RV parking spots). The casino did have its detractors. Gasping on an oxygen tank, Ronald Montgomery complained, “I’m waiting for them to open up a brothel. Everybody’s a dreamer — what they’re telling you and what you get is never the same.” He concluded, “I probably won’t be here by the time the damn thing gets built anyway.”

* Kudos to Hard Rock International and MGM Resorts International, not to mention the Marriott chain (huge in Las Vegas), which are among the hoteliers who have committed to phasing out single-use plastics. Foremost amidst the initiatives is making the switch to reusable drinking straws made from stainless steel or bamboo. As Marriott veep Denise Naguib said, “We wanted to ensure that we’re not only changing the number of straws that we use, but that we move to a product that is much better for the environment. Holistically, we’re ensuring we’re not creating pollution or materials that are only used one time but last forever in the environment.” Bravo, guys, and here’s to your initiative having many imitators.

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