Gary Loveman‘s decision to pass on Macao will be remembered as the worst decision of his tenure at Caesars Entertainment. Will 
CEO Anthony Rodio‘s withdrawal from contention in Japan be similarly second-guessed? The decision saves Caesars at least $10 billion at a time when it will soon be strapped for cash, due to its merger with Eldorado Resorts. It also enables Caesars to get clear before the very slow and formal application process gets underway. There is as yet no casino control commission nor any clear directive on how sites and applicants are to be selected. Wall Street reacted positively to the news, inching CZR stock higher.
Eldorado Resorts might want to take up the dropped gauntlet on its own … but not necessarily, especially with expensive engorgement of Caesars on its plate.
* The Brass Ass in Cripple Creek is getting bigger, by dint of a new, 150-room hotel. It’s one of several ways that Colorado casinos, beset by flat revenue, are trying to upsize their wallet. Creating more tourist attractions is one hope, another is sports betting. If they play their cards right, casinos hope to get not only sports books but online wagering, where the real money is to be found. (Perhaps best savored with some of the 52 martinis at Isle Casino Hotel Black Hawk.) Remarked Wildwood Casino co-owner Joe Canfora, “Gaming revenue has been flat at best for more than a decade. To grow, we need to use the amenities around us, and that starts with rooms, rooms and rooms.”
Not being left behind is Full House Resorts CEO Dan Lee. He’s trying to line up financing for a $120 million package that would include a new parking garage, event space and a 150-room hotel, a project that’s been on the drawing board for two years, which gives you an idea what a challenge the Colorado market is. Lee’s money could be as much as nine months away. Casinos are already partnering with sports-betting specialists like PointsBet to try and make the most of what is expected to be a $200 million revenue base.
