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The Mirage volition go a “brand-new resort” erstwhile Hard Rock International completes the remodel of its soon-to-be acquired property connected the bosom of the Las Vegas Strip, the company’s president said Tuesday.
Hard Rock announced Monday that it is buying the operations of The Mirage from MGM Resorts International for $1.075 billion, a determination that volition enactment the Florida-based gaming institution onto the Strip for the archetypal time. And it intends to marque its mark, arsenic the institution plans to physique a caller guitar-shaped edifice operation arsenic portion of the resort’s implicit rebranding to the Hard Rock name.
But that means different attractions, including The Mirage’s artificial volcano on Las Vegas Boulevard and the Secret Garden and Dolphin Habitat, could spell distant with The Mirage marque arsenic portion of the transition.
“It is our volition that it volition consciousness wholly arsenic a brand-new resort,” Hard Rock Chairman Jim Allen said successful an interrogation Tuesday.
“I’m 100 percent committed to creating thing new,” helium added. “Just buying thing and putting the Hard Rock marque connected it was ne'er successful the options.”
The timeline for erstwhile those changes volition travel is little clear, however. Allen said Hard Rock officials don’t person immoderate remark connected the clip framework for the rebranding, renovations oregon the operation of the guitar edifice and are focused connected closing the transaction, which is slated to hap successful the 2nd fractional of 2022.
MGM Resorts volition support The Mirage sanction and marque and volition licence it to Hard Rock for up to 3 years portion that institution finalizes its plans to rebrand the property.
Synergistic opportunities
Allen said that Hard Rock, which is owned by the Seminole Tribe of Florida, had been looking astatine buying a spot connected the Strip connected and disconnected for the past decade, adding that Las Vegas “is an astonishing planetary destination.”
He said helium sees a batch of synergy with the company’s different casino properties, particularly successful their location of Florida. The institution owns and licenses the Hard Rock sanction to astir 250 venues, from Hard Rock Casinos, stores, cafes and hotels, crossed 67 countries.
“I deliberation 1 of the large reasons for us, we person specified a ascendant presumption successful Florida, 1 of the much lucrative states successful the country. We surely cognize that there’s a tremendous magnitude of gross from Florida that visits Las Vegas connected a regular basis,” Allen said. “From our viewpoint, we’ll person a merchandise that we’ll beryllium capable to connection nether our ain marque and ownership, and we surely look guardant to that.”
CBRE expert John Decree, successful a enactment to investors Tuesday, praised the move.
“This transaction highlights the desirability of Las Vegas casinos and underpins our bullish outlook for the Las Vegas Strip. … It was a winner, winner, chickenhearted meal woody for each parties involved,” helium said.
‘A large time for Indian country’
With the Hard Rock, the Seminole Tribe volition go the archetypal tribal endeavor to participate the Strip gaming market.
Allen noted that astir fractional of the gross gaming gross successful the United States comes from tribal lands.
“I deliberation it’s a tremendous step,” said Allen, who is besides CEO of Seminole Gaming. “Tribes person been increasing successful this class for galore years. Certainly I deliberation it’s a large time for Indian country.”
DeCree said the tribe’s engagement volition bring further benefits arsenic the caller operators, too.
“The beauteous happening astir Native American superior is that it is generational and Hard Rock volition beryllium capable to bash this close without interest for short-term ROI hurdles, which is simply a affirmative for each of Las Vegas,” DeCree said.
Contact Colton Lochhead astatine clochhead@reviewjournal.com. Follow @ColtonLochhead connected Twitter.
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