Caesars Entertainment Allegedly Loses on Rio Sale

Home » Caesars Entertainment Allegedly Loses on Rio Sale

5 years ago 69

Recent reports have alleged that US casino giant, Caesars Entertainment Corp has sold the Rio All-Suite Hotel and Casino – one of their Las Vegas Strip venues – to real-estate firm Imperial Companies for a total of $516.3 million. The figure is much lower than the casino’s 2017 Moelis & Company valuation, which had put the venue’s overall price between $636 million and $836 million. Caesars Entertainment have been looking to dispatch the casino for some time. With rumors even circulating that the venue was set to be demolished and turned into a baseball park that could be used the city’s attempts at luring a franchise from a neighboring state to the area. This idea was further confirmed when the casino was notably left out of the Caesar Entertainment’s renovation plans for their sites. caesars-entertainment-las-vegas-rio-sold

caesars-entertainment-las-vegas-rio-sold

Although the sale is set to go through by the end of the year, it still needs to be approved by regulators. As part of the deal, Caesars will be operating the casino for the next two years as it smoothly transfers over to its new owner, but will be required to pay a rental fee of $45 million. There is an option for a lease extension that will see Imperial Companies pay Caesars Entertainment $7 million to keep the place running well.

Caesars Entertainment on The Market

Caesars Entertainment themselves are currently on the market, after years of financial struggles. The casino giant is expected to be purchased by former competitor, Eldorado Resorts Inc for $17.3 billion. Should the purchase be approved, Eldorado Resorts will become the biggest casino group in the United States.

It is unclear whether or not Eldorado Resorts will place anymore Caesars properties on the market after the purchase is confirmed. Eldorado CEO Thomas Reeg did state in June that they could get rid of two of the company’s Las Vegas properties.

For more on the latest US casino news, make sure to keep visiting BestUSACasinoSites.com – your number one casino news source!

Player Guides

Casino Reviews

Game Guides

Other Guides

Disclaimer

The information provided on BestUSACasinoites.com is for informational purposes only. Online gambling laws and regulations may vary by jurisdiction, and it is the reader’s responsibility to ensure compliance with all applicable laws.

Our dedicated team diligently conducts research to provide accurate and unbiased information about the showcased operators. Nevertheless, we cannot assume responsibility for the content found on external websites.

Address: 3 Pacific St. Oklahoma City, OK 73127