Detroit’s three casinos are contributing to a booming gambling industry in the city despite most other industries in the area, and the rest of Michigan for that matter, being in the midst of the worst financial crisis the state has ever seen.
A report by OnlinePoker.net has revealed that casinos in the city are expected to reach an annual revenue high of $1.4 billion by the time we see the end of 2011 – and that’s pretty damn soon! That’s if the trends in revenue figures continue to rise in the same way they have done in the past years.
The Michigan Gaming Control Board (MGCB) revenue figures illustrated a 3.3% rise in the states gambling revenues in contrast to the same month last year. MGM Grand was up by 2.7% to $49 million, MotorCity was up by 1.5% to $37.7 million and Greektown was up 7% to $28.4 million, although its annual revenue was down by 0.9% compared to 2010 -, but this is due to a $18 million refurbishing currently taking place.
These refurbishments have hit Greektown pretty hard, resulting in a $7.2 million net loss for the casino in the third-quarter, as CEO Michael Puggi explains in the report: “These improvements, despite their short-term impact, are critical to the successful implementation of our long-term strategic plan.” So once finished, Greektown is, like the other two casinos in the area, expected to contribute to the inexorable success of Detroit’s casino industry.
It was back in 1996 when Detroit’s three casinos commenced operation and within 10 years in 2006 were generating over $1.3billion in annual revenues. It seems they’ve kept it up. In total, they contribute to over $100 million each year in state taxes and $170 million in taxes to Detroit, and with the Greektown refurbishment completion day edging ever closer – in the words of D:Ream – things can only get better.