{"id":13606,"date":"2014-05-19T11:41:45","date_gmt":"2014-05-19T19:41:45","guid":{"rendered":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/?p=13606"},"modified":"2024-01-05T06:50:46","modified_gmt":"2024-01-05T14:50:46","slug":"cuomos-gamble-and-other-case-bets","status":"publish","type":"post","link":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/cuomos-gamble-and-other-case-bets\/","title":{"rendered":"Cuomo’s gamble and other Case Bets"},"content":{"rendered":"

\"Andrew_Cuomo\"<\/a>New York<\/strong> Gov. Andrew Cuomo<\/strong> (D, right<\/em>) promised constituents that casino gambling would\u00a0\u201cfundamentally change the trajectory of the Catskills.\u201d But will it? Or will his administration cut the promised economic recovery off at the knees by favoring one of five Orange County<\/strong> proposals? Empire Resorts<\/strong>‘ Charles Degliomini<\/strong> protested, \u201cWhen you look at the kind of bright, shining city Orange County is versus what Sullivan County<\/strong> is, clearly the need is in Sullivan County.\u201d<\/p>\n

Since Empire Resorts<\/strong> is a stalking horse of Genting Americas<\/strong>, which covets a location closer to New York City<\/strong>, we might take Degliomini’s remarks \"Jones\"<\/a>with a grain of salt. But what about Cuomo’s promise to put remunerative jobs “where we need it most.” High-unemployment areas like Sullivan County were supposed to benefit most but now they must go up against no fewer than five Orange County proposals. Genting has one, in Tuxedo<\/strong>, while one in Woodbury<\/strong> is a last-second entrant from Caesars Entertainment<\/strong>, whose Jan Jones<\/strong>\u00a0understandably gloated,\u00a0\u201cWe think there are not many locations in the United States<\/strong> that are better than this location.\u201d<\/p>\n

Translation<\/em>: We’re on the doorstep of New York City (or “within the edge of the city\u2019s commuter belt”) and you’re not. Hindsight being 20\/20, it was a serious failing of Cuomo’s constitutional amendment not to redline relatively prosperous Dutchess County<\/strong> and Orange from eligibility until round two of expansion, three years hence.<\/p>\n

Today is the deadline to pull out of the application process and our curiosity is piqued as to who will call it quits and who will stay the course.<\/p>\n

* Foxwoods Massachusetts<\/strong> wants to quadruple\u00a0the size of its Fall River<\/strong> proposal by acquiring 120 waterfront acres. Said Mayor Will Flanagan<\/strong>,\u00a0\u201cOur \"Scott_Butera\"<\/a>goal is we want to develop a project we can be proud of and I\u2019m confident we can build the biggest [casino] in New England and one of the top three in the world.\u201d Foxwoods CEO Scott “Woody” Butera<\/strong> chose to keep mum. Even at 30 acres, the $750 million project was ambitious: 10 restaurants, a shopping mall, a hotel, entertainment center and convention. Oh yeah, and 140,000 square feet of gambling floor. (Flanagan might do well to consider that Foxwoods already has the biggest casino in New England<\/strong> and it’s not doing so hot right now.)<\/span><\/p>\n

The newly enlarged Foxwoods is payback to KG Urban Enterprises<\/strong> for appealing to extend the submission deadline to Sept. 23, making Foxwoods 2.0 possible. Flanagan said he was “unfazed” by a bankruptcy proceeding involving Foxwoods affiliate\u00a0Philadelphia Entertainment &\u00a0Development Partners<\/strong>, a hangover from the tribe’s failed attempt to crack the Philadelphia<\/strong> market.\u00a0<\/span>Over in New Bedford<\/strong>, a court challenge to the preferential status of the Mashpee Wampanoags<\/strong> (still quietly battling for eligibility) was dropped<\/a> by KG Urban Enterprises<\/strong>, which had been fiercely in opposition to the set-aside.<\/p>\n

* Pulling out every stop, Penn National Gaming<\/strong> has filed Chapter 11 bankruptcy<\/a> for Argosy Sioux City<\/strong>. It’s a delaying tactic intended to keep the casino open while Penn challenges the Iowa Racing & Gaming Commission<\/strong> in court. It will find out today if it gets an automatic stay of execution or at least a temporary restraining order to keep the IRGC from closing it down.\u00a0With typical Penn hyperbole, it says it faces losses that would be\u00a0“catastrophic, unrecoverable, and unprecedented in the gaming industry.” It’s nice to see they’re not losing their touch. One bit of effrontery finds Penn claiming as a liability funds it’s been punitively withholding from Missouri River Historic Development.<\/strong> That’ll show ’em!<\/span><\/p>\n

Elsewhere in the Penn National empire, it seems a no-brainer that GLPI acquisition Meadows Casino & Racetrack<\/strong> would become a Hollywood<\/strong>–\"Meadows<\/a>branded and -managed racino. However, Penn is dismissing such talk as “market chatter.” One of the main reasons for the REIT split of Penn and GLPI, though, was to facilitate just such an end run around state limitations on ownership. Besides, who better than Penn to bring in and run the racino? GLPI will keep the physical assets but sell the gaming licenses. It claims to be searching for an operator<\/a> but I don’t think it will have to look very far. A familiar brand would also expedite the regulatory-approval process<\/a>.<\/p>\n

Outgoing track CEO Bill Paulos<\/strong> says GLPI’s offer was too good to pass up and, at 9X EBITDA, who’s arguing with him<\/a>? He bequeaths GLPI\u00a03,317 slot machines, more than 70 gaming tables, 11 restaurants and a bowling alley. Seller Cannery Casino Resorts<\/strong> will put all of its $465 million windfall into retiring company debt.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

New York Gov. Andrew Cuomo (D, right) promised constituents that casino gambling would\u00a0\u201cfundamentally change the trajectory of the Catskills.\u201d But will it? Or will his administration cut the promised economic recovery off at the knees by favoring one of five … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[73,14,166,120,7,86,112,101,95],"tags":[],"_links":{"self":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/13606"}],"collection":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/comments?post=13606"}],"version-history":[{"count":4,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/13606\/revisions"}],"predecessor-version":[{"id":32985,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/posts\/13606\/revisions\/32985"}],"wp:attachment":[{"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/media?parent=13606"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/categories?post=13606"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lasvegasadvisor.com\/stiffs-and-georges\/wp-json\/wp\/v2\/tags?post=13606"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}