NHL picks Las Vegas; Borgata carries Atlantic City

It’s not been officially confirmed and it’s not a final decision, but The Associated Press is reporting that the NHL‘s executive committee has chosen Las Vegas businessman Bill Foley‘s proposal to create an expansion franchise in Sin City. In a high-sticking blow to traditional hockey markets, the committee passed over a similar bid from Quebec City. If approved by the NHL’s 30 owners, the Las Vegas team would start play in the 2017-18 season. Although not involved with the ownership of the team, this is also a win for MGM Resorts International, which will be able to fill at least 50 nights at T-Mobile Arena (200 more if the team makes the playoffs — I jest). Already, 13,200 seats are spoken for at T-Mobile, which holds 17,500 puck fans in its hockey configuration.

Most importantly, an ownership vote in favor of Las Vegas would end the longstanding stigma that the community has had with major-league sports. If NHL ownership isn’t bothered by sports betting and NBA Commissioner Adam Silver thinks it should be legal and regulated, as it is here, could basketball be far behind? While we ponder that question, local hockey fans should thank Joe and Gavin Maloof for putting the puck in play, and Foley for handling it into the net. Clark County Commission Chairman Steve Sisolak practically achieved orgasm, issuing a statement that read in part, “We’re a major league city. We deserve major league sports. I can’t wait to see that first championship parade down the Las Vegas Strip!”

T-Mobile Arena co-owner Anschutz Entertainment Group will find itself in an interesting quandary: Does it root for its Las Vegas tenant or for the team it owns, the Los Angeles Kings? Early speculation tips “Black Knights” as the prospective name for the team, since that’s the name of Foley’s company. It beats the hell out of “Las Vegas Gamblers” or some of the comparably shopworn handles that are certain to be suggested. Besides, wouldn’t it be appropriate for Knights to be playing next door to Excalibur?

* While May thwacked certain regional gaming markets in the Midwest rather hard, it struck only a glancing blow in Atlantic City, down 2.5%. (One wonders how it would have compared to May 2015 if it hadn’t had one less weekend this year.) Slot winnings were down 5% ($149 million), as coin-in fell comparably, but gamblers lost 5% more at the tables ($52 million) on 7% higher wagering. To say that Borgata, up 17% (to $61 million), outperformed the market would be something of an understatement. Table revenues rocketed 75% upwards, while slot players lost 4% more.

Internet revenue rose 33%, undoubtedly fueled in part by the newish presence of PokerStars, but Resorts Atlantic City still had the smallest market share, 18% to Borgata Online‘s 24%. Terrestrially, Anthony Rodio‘s efforts to reinvent Trump Taj Mahal have yet to bear fruit, as the casino plunged 18% (for a $15 million gross). Resorts brought up the rear with a $14 million haul (-1%), while Golden Nugget ($18 million) fell a bit short of the majors, down 8%. Bally’s Atlantic City also grossed $18 million, flat for the month but the steadiest performance of the Caesars Entertainment trio. Harrah’s Resort grossed $29.5, an 11.5% falloff, while Caesars Atlantic City ($24 million) dove 14%. The Tropicana Atlantic City managed to contain the bleeding (-5%) while grossing $24 million. Still, it would not be too great of an exaggeration to say that the market rode Borgata’s back last month.

* Delay, delay and yet more delay is Caesars’ response to its legal troubles. The company is trying to stiff-arms Appaloosa Management and Oaktree Capital Group, along with other junior bondholders who want to get on with suing Caesars for at least $5 billion in fraudulent conveyances. Blithely waving aside the findings of a court-appointed examiner, Caesars attorney David Zott argued, “The evidence remains undisputed[!] We ask your honor to let us finish the job.” That doesn’t fly with the likes of Appaloosa and Oaktree,” an advisor for whom testified that granting Caesars more time to parlay “gives them additional time to try to move forward on something that isn’t consensual.” In other words, Caesars doesn’t think that “no” means “no.”

* Congratulations to Caesars Executive Vice President Jan Jones Blackhurst, this year’s recipient of the Community Equality Award from the American Civil Liberties Union of Nevada. The award ceremony was held at Wynn Las Vegas last Saturday.