Billionaire James Packer, who controls the gambling company Crown Resorts Ltd., plans to open a new casino on the old New Frontier site on the Las Vegas Strip.
Crown Resorts paid $280 million for the site formerly owned by Israel’s El-Ad Group. What they paid for the property is only a fraction of what El-Ad paid for it during the real estate bubble. El-Ad set a record for Las Vegas Strip acreage when it dropped $1.24 billion for the 34.6 acre site, from Treasure Island owner Phil Ruffin. The property sites directly across from Wynn Las Vegas and Fashion Show Mall.
According to Bloomberg, James Packer REALLY wants to be in Vegas. “You can’t be in the gaming industry and not have a special reverence for Las Vegas — that’s where it all began,” Packer said in a statement. “While we fell short in past attempts to enter that market, we now have the ideal opportunity.”
Crown Resorts will partner with Andrew Pascal. If that name sounds familiar, it’s because Pascal is the former president of Wynn Las Vegas. They hope to open a resort by 2018.
Crown Resorts Ltd.
Crown Resorts Limited is one of Australia’s largest gaming and entertainment groups which had, at June 2010, a market capitalisation of just over A$6 billion.
The company was established in 2007 when Publishing and Broadcasting Limited (PBL) divested its gaming assets to Crown Limited. PBL was renamed to Consolidated Media Holdings, retaining all of the remaining assets.
In 2008, Crown attempted to enter the Las Vegas gambling market by acquiring a 19.6 per cent stake in Fontainebleau Resorts for US$ 250 million, which resulted in a total loss the following year when other investors withdrew US$ 800 million financing, resulting in bankruptcy applications. This was one of a succession of similar major losses in Gateway Casinos, Harrah’s Entertainment and Station Casinos from which a total of $547.5 million was written off.
Crown wholly owns and operates two of Australia’s leading gaming and entertainment complexes, Crown Casino and Entertainment Complex in Melbourne and Crown Perth, formerly the Burswood Entertainment Complex, in Perth.
In September 2013, the Sri Lankan government gave approval to Packer to invest in a two tower building in the heart of the Sri Lankan capital Colombo. The project is aimed to be completed by 2015. – Wikipedia