Land has become incredibly valuable, not just on the Las Vegas Strip, but also in Las Vegas. Yes, any buildable property on the Strip sold for exorbitant prices, but anything downtown or adjacent to the Strip has soared in value.
This has forced resort/casino operators to think deeply about how each property in their portfolio is performing and meeting their overall goals. For this reason, at least in part, MGM Resorts International (MGM) Sold Mirage and bought Cosmopolitan – the location and age of the new purchase made more sense for the company compared to what they were selling.
Also, Caesars Entertainment (CZR) is making major changes to its stake in the Las Vegas Strip. This includes its renewal Ballys resort/casino under the Horseshoe brand and putting the Flamingo up for sale.
But the biggest players aren’t the ones making moves in Las Vegas. Red Rock Resorts (RRR) Operating resort casinos under the names Station and Wildfire, he was busy buying land, developing an urban casino on Fremont St., and closing some of its underperforming properties.
Now, the company run by the billionaire brothers who once owned the Ultimate Fighting Championship (UFC) has closed another property. But in this case, the move may be part of a much larger plan.
Image source: Daniel Kline/TheStreet.
Red Rock Resorts Shrinks to Grow
Unlike Caesars and MGM, Red Rock Resorts casinos primarily target locals. This is a niche that allows it to work on the Las Vegas Strip. However, the company, Fremont St. area.
Still, the company makes it clear that it remains the focus of its Boarding Pass loyalty program, aimed at locals, not tourists.
“Convenient local gaming and personalized service is what we all aim for – but it’s the Station Casinos Boarding Pass that elevates the Wildfire experience even higher,” the company says on its website.
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The company has recently permanently closed three properties that use the Station Casinos name – Texas Station, Fiesta Rancho, and Fiesta Henderson. They’ve all been closed since 2020 due to the pandemic, and the company that can redevelop the land these casinos sit on believes its customers are migrating to other Station properties.
In addition to these three shutdowns, Red Rock Resorts has also decided to close Wild Wild West and the property located on Tropicana Avenue west of Interstate 15. and much larger resort/casino.
Red Rock President Tips Big Plans
Red Rock Resorts shared the closing news with a note to employees. The company promised workers in the Wild Wild West that were about to close would be offered jobs at other properties of the company.
The Wild Wild West area was a possible location for the Las Vegas Raiders stadium, and prior to the 2008 financial crisis, it was said to be in development as a grand three hotel, three casino property. casino establishment reported.
Red Rock was not clear on development plans for the site, but Station Casinos President Scott Kreeger shared a statement with the website suggesting that Red Rock Resorts plans to develop the property, not sell it.
“Development parcels of this scale are no longer available in Las Vegas. We are excited to take this first step to reposition the property for future development.”
Kreeger noted that the 20-acre site where the Wild Wild West sits has “excellent visibility and access to Interstate 15 and the Las Vegas Strip.”
Red Rock Resorts has nearly 100 acres of land on the site that will allow for a much larger, Las Vegas Strip-style development.
