Caesars Entertainment Plans Big Changes in Atlantic City
Now that Caesars Entertainment is merged with Eldorado Resorts, plans have been announced for changes in Atlantic City casinos.
In 2020, Caesars Entertainment and Eldorado Resorts decided to merge into one large corporation. For this to occur, the companies had to be approved by several states including New Jersey. The Casino Control Commission gave the greenlight for the two to become one but had a stipulation that a total of $400 million would be spent in Atlantic City on three casinos in a three-year time frame. An announcement has now been made as to how the money will be spent.
As of this week, Caesars has provided some insight as to how money will be spent in Atlantic City. The company has plans to spend $170 million in phase one, with renovations to Harrah’s and Caesars. The guestrooms and hotel suites of the property will receive an overhaul. The newly updated rooms will be open this summer for guests to enjoy.
Caesars Entertainment chief operating officer and president, Anthony Carano, commented that the company is excited to introduce the investment and development plan. It will be a new Caesars Entertainment in Atlantic City.
The renovations will start with 600 guestrooms located at the Caesars’ Centurion and Ocean Towers. The Atrium Tower of Harrah’s will also be renovated. The Caesars hotel rooms will include a modern Roman theme with scenery from Atlantic City. Such items as the Boardwalk, ocean, and the beach will be highlighted.
Harrah’s room renovations will take a page from the water elements. The goal is to create a look and feel based on the location of the casino in the Marina district.
City Ready for the Investment
More details will be provided in the future as to how the remaining funds will be spent in Atlantic City. For now, Governor Phil Murphy is happy with the first phase of the investment. Murphy stated that his administration is working with corporate, community, and government partners to help reestablish Atlantic City as a premier tourist destination in the state.
The investment by Caesars is a supportive effort that helps to focus on the growing economy in the city as well as creating jobs. The governor applauds the lead Caesars is taking in the recovery effort. The city has been hit hard by the COVID-19 pandemic and is continually trying to get back to business as it was before the virus struck the United States.
In Atlantic City, Caesars operates its namesake property as well as Harrah’s and the Tropicana. The casinos are actually owned by VICI Properties, which is a real estate investment trust of Caesars. The company pays yearly rent to the VICI to operate the venues.
Over the past few years, Caesars has neglected to invest money into Atlantic City. The company filed for bankruptcy in 2015 and from then on, was unable to make any changes to the properties. Because of the lack of updates, the venues began to look dated. Fans of the gaming venues will be happy to see new changes in the hotel rooms and suites, with an upgraded experience for overnight stays.
Caesars CEO Tom Reeg spoke last year on the matter, stating that the company understands the conditions of the facilities and are committed to the $400 million investment requirement. Along with being required to invest, the company also had to meet other conditions before the merger could take place.
One of the Atlantic City casinos had to be sold so that the new company did not have a monopoly in the city. Bally’s was chosen as the property to let go of and it was sold to Twin River Worldwide Holdings. The company paid $25 million or the casino.