Ready for a makeover
Ready for a makeover
Trump's Atlantic City properties to be 'rebranded' to appeal to new customers
Jefferies & Co. gaming analyst Larry Klatzkin recently noted that Trump Entertainment Resort's CEO, James B. Perry, appears to be leading a recovery plan for the company that is quite similar in scope to the successes he had in turning around Argosy Gaming several years ago-making that company an attractive target for acquisition by Penn National Gaming.
"He's now in another opportunity with Trump...to do a turnaround," Klatzkin said.
While no one is speculating that the company that real estate and casino mogul Donald Trump created will be up for sale any time soon, Perry's strategy to rebrand Trump's three Atlantic City properties is long overdue, many agree.
"We all know that the Trump brand and Trump casinos have suffered over the years," Perry said at a Jefferies & Co. conference last week.
As part of the company's post-bankruptcy strategy, Perry said the three casinos-Trump Taj Mahal, Trump Plaza and Trump Marina-will all receive significant upgrades to make them more appealing to regional gamblers of different target tiers.
Trump Taj Mahal will be regeared to attract high-end gamblers and directly compete with the $1 billion Borgata Hotel, Casino & Spa. The Taj Mahal will undergo a $250 million expansion project that will add an 800-room hotel tower and another $25 million interior redesign project that will create more of an "earth-tone" ambiance. A retail outlet selling Donald Trump's personal line of clothing will also be added.
Perry said the changes aim to create more of a destination-style resort.
Trump Plaza will also get a makeover, removing the 1980s-style decor to create a more "urban, edgy" feel that would appeal to New Yorkers-one of Atlantic City's key feeder markets. While details for the property are not yet finalized, work will begin later this year on a new facade, and a new hotel tower could also be built. There is also a possibility that the property's east tower could be razed and a new free-standing resort built in its place.
"We want the people coming down from New York City to feel comfortable at the Plaza," Perry said.
While both the Taj Mahal and the Plaza have appealed to gamblers visiting Atlantic City's Boardwalk, the company's Trump Marina has its own appeal with its bayside location, Perry noted. That property will be branded to attract more "suburban" guests from locations like Pennsylvania, New York and other areas of New Jersey.
Perry was president and CEO of Argosy, a riverboat casino operator in the Midwest and South, before retiring in 2003. He came out of retirement last July to take charge at Trump, along with former Caesars Palace president Mark Juliano, who was tapped as the company's chief operating officer.
-Andy Holtmann
Trump's Atlantic City properties to be 'rebranded' to appeal to new customers
Jefferies & Co. gaming analyst Larry Klatzkin recently noted that Trump Entertainment Resort's CEO, James B. Perry, appears to be leading a recovery plan for the company that is quite similar in scope to the successes he had in turning around Argosy Gaming several years ago-making that company an attractive target for acquisition by Penn National Gaming.
"He's now in another opportunity with Trump...to do a turnaround," Klatzkin said.
While no one is speculating that the company that real estate and casino mogul Donald Trump created will be up for sale any time soon, Perry's strategy to rebrand Trump's three Atlantic City properties is long overdue, many agree.
"We all know that the Trump brand and Trump casinos have suffered over the years," Perry said at a Jefferies & Co. conference last week.
As part of the company's post-bankruptcy strategy, Perry said the three casinos-Trump Taj Mahal, Trump Plaza and Trump Marina-will all receive significant upgrades to make them more appealing to regional gamblers of different target tiers.
Trump Taj Mahal will be regeared to attract high-end gamblers and directly compete with the $1 billion Borgata Hotel, Casino & Spa. The Taj Mahal will undergo a $250 million expansion project that will add an 800-room hotel tower and another $25 million interior redesign project that will create more of an "earth-tone" ambiance. A retail outlet selling Donald Trump's personal line of clothing will also be added.
Perry said the changes aim to create more of a destination-style resort.
Trump Plaza will also get a makeover, removing the 1980s-style decor to create a more "urban, edgy" feel that would appeal to New Yorkers-one of Atlantic City's key feeder markets. While details for the property are not yet finalized, work will begin later this year on a new facade, and a new hotel tower could also be built. There is also a possibility that the property's east tower could be razed and a new free-standing resort built in its place.
"We want the people coming down from New York City to feel comfortable at the Plaza," Perry said.
While both the Taj Mahal and the Plaza have appealed to gamblers visiting Atlantic City's Boardwalk, the company's Trump Marina has its own appeal with its bayside location, Perry noted. That property will be branded to attract more "suburban" guests from locations like Pennsylvania, New York and other areas of New Jersey.
Perry was president and CEO of Argosy, a riverboat casino operator in the Midwest and South, before retiring in 2003. He came out of retirement last July to take charge at Trump, along with former Caesars Palace president Mark Juliano, who was tapped as the company's chief operating officer.
-Andy Holtmann
