An investment group with (admittedly thin) ties to casino operator Caesars Entertainment is looking to acquire an Atlantic City casino property. Local attorney/businessman George Miller has teamed with Philadelphia real estate man Kevin Flynn (The Flynn Company) in an investment group that is looking at multiple properties in the east coast casino hub, with an eye toward closing a deal by year’s end. Miller told the Press of Atlantic City’s Donald Wittkowski that the group was “looking all over the place” for the right venue, and while he declined to cite a frontrunner, he did acknowledge that the group had “not eliminated the Atlantic Club.”
Miller and Flynn each hold a 0.25% stake in the Caesars-controlled Harrah’s Philadelphia Casino and Racetrack, although Miller’s stake used to be larger. Wittkowski suggested Miller’s relationship with Caesars could put him in line to acquire one of the four casinos Caesars owns in AC. There were suggestions earlier this year that the cash-strapped Caesars was looking to move its Showboat property, and Miller also identified the Trump Plaza, Golden Nugget and Revel as potentially in play.
The Atlantic Club is known to be shopping itself after engineering the demise of its PokerStars purchase agreement this spring, while the Plaza’s $20m sale to California’s Meruelo Group in February was quashed after Plaza mortgage holder Carl Icahn balked at the fire sale price. The Golden Nugget has made it known that it’s open to offers, while Revel’s owners would listen to anyone willing to assume its debt-heavy balance sheet.
There are obviously a lot of potential sellers in this market, but potential buyers aren’t exactly in short supply. In addition to Miller’s group, PokerStars declared this week that while it was moving ahead with its online partnership with Resorts Casino Hotel, it was still in a buying mood, given the right opportunity. Then there’s UK gambling firm 2UP Gaming and its mystery Asian sugar daddy. Kentucky horseracing operator Churchill Downs Inc. has also seen its name bandied about as it continues to diversify its online gambling division, and the owners of Philadelphia’s SugarHouse casino were also rumored to be sniffing around.
Miller insists that he and his partner have spent “some serious dollars” researching the AC casino market and would make “a serious attempt” at making something happen. Miller is well aware of the market’s looming online gambling market and also would like to see New Jersey win the right to allow sports betting at its casinos. All told, Miller believes there’s “a lot of good on the horizon.”
