Harrah's announced it will buy Imperial Palace for $370 Million. The sale should close by year-end.
To read Harrah's Press Release:
$370 Million Deal Provides Growth Opportunities
Technorati Tags: caesars, harrahs, las vegas, lasvegas, vegas
Categories: Business of Gaming, Caesars/Harrah's, Las Vegas Strip
We have previously heard that Loveman would like to consolidate Harrah's Entertainment casinos into these 4 brands: Harrahs, Caesars, Horseshoe and Rio. In Atlantic City theres been specualtion that Bally's would become Horshoe and fit in perfectly with that western theme. Than the Showboat would become the rio and fit in nicely with its new HOB's theme. In Las Vegas the talk has been that Bally's las vegas like bally's atlantic city would become a horseshoe and would be somewhat done over. That leaves us all wondering what will be done with the Imperial Palace property, bourbon street and the Flamingo. True the IP purchase either way is an excellent real estate transaction especially given its location across the street from Caesars and also next to Harrah's and the Flamingo. I dont see any expanding from Harrah's or any type of expansion renovation on the property given its theme and its middle class market appeal. So maybe it might be time for a complete Flamingo renovation that may include implodign certain parts of the hotel and building a brand new Flamingo that would include the Bourbon Street and the Imperial Palace land if it is demolished for that purpose. And if Boyd Gaming sells barbary coast to Harrah's even more land can be used for the project. Who knows whats up Loveman's sleeve.
Also, does this deal include the IP in Biloxi, Mississippi?
Ehrlich, Biloxi is not included. I wonder if that is on the block, too. Biloxi seems to be becoming a hot market now.
I've heard a rumor that Boyd was considering replacing Barbary Coast with a condo, but Loveman would probably pay up to get the property from BYD.
You're right, who knows what's up Loveman's sleeve.
Employees: If the place closes down, those who are part of a union (see also: food staff, which are a part of the massive Culinary Union) will be shuffled around by the Union into jobs elsewhere. Those who aren't will have to find new jobs but will get some kind of a compensation package.
The worst thing that can happen is something like the previous Binion's closure, where the owner has no money at all so no packages are given out, disrupting everyone's lives.
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