Mississippi movement
Mississippi movement
Isle of Capri and Imperial Palace close to Biloxi reopening; Landry's eyes Gulf Coast site
Utilizing a new law that allows casino gambling to operate up to 800 feet away from the waters along Mississippi's shorelines, Isle of Capri Casinos-the first company to open and operate barge gaming on the Gulf Coast in 1992-will become the first "land-based" casino operator there in the wake of Hurricane Katrina.
According to reports from the Gaming Wire in Las Vegas, the Biloxi-based Isle of Capri plans to open a temporary casino in the convention facilities of its storm-damaged Isle of Capri Biloxi property this month. Once opened, the company intends to spend the next year and a half building a 100,000-square-foot permanent casino, with a foundation on the shore, but stretching over the waters of the Gulf of Mexico as well.
Isle of Capri President Timothy Hinkley, noting his company's strong ties to the Biloxi and Gulfport, Miss. communities it grew its fortunes in, wanted to get casino gaming up and running in Biloxi as quick as possible-both to provide an economic impact to communities and giving its citizens some semblance of a return to life as normal after the powerful Category 4 storm tore through southern Mississippi and other parts of the Gulf Coast.
"I think it's worth it to get back and operating to give people a sense that recovery is happening. But I also think it's a good business decision." Hinkley said. "It gives the community a shot in the arm. If you can do it, you should do it."
Isle is among 12 other casino operators along Mississippi's coastline that are still picking up the pieces from the storm. Isle's 32,500-square-foot gaming barge was destroyed, and debris is still strewn across parts of the property. Shortly before the storm, the company had completed a $150 million expansion at its flagship property, adding hotel rooms, new parking facilities and the convention space that will now house the temporary casino.
That space could now house approximately 940 slot machines, 25 table games and a small poker room, company officials said.
One key goal, company officials added was to get the property's 1,000-plus workforce gainfully employed again. Employees have been receiving benefits since the storm, but the 90-day term in which those benefits are being given is set to expire soon.
"There will be a bit of a lag time in between the end of the benefits and when we reopen," said Bill Kilduff, the property's general manager. "But getting the property back up and running will bring some normalcy to the employees and the community."
The Imperial Palace, another Biloxi property that received minor damage from the storm as it was somewhat sheltered on Biloxi's Back Bay, has also indicated it hoped to reopen to the public this month.
Meanwhile, fresh off its acquisition of the Golden Nugget casino properties in downtown Las Vegas and Laughlin, Nev., Houston-based restaurant chain Landry's is now pitching the idea of building a $400 million hotel casino on Mississippi's Gulf Coast.
In a presentation to the Biloxi City Council in November, Landry's Restaurants said it hoped to build a casino complex that included a hotel, Golden Nugget brand casino, and a waterfront attraction known as Biloxi Boardwalk.
The proposed site-on 18 acres of land north of Highway 90 in the storm-ravaged area known as Point Cadet-could be a sticking point, however. The land is part-owned by the city, and Isle of Capri Casinos has first option rights to development there. Isle of Capri spokeswoman Jill Haynes said her company's first focus is reopening the severely damaged Isle of Capri Biloxi property on the shore of the Gulf of Mexico and has not considered development on the land Landry's is eying.
Jeff Cantrell, senior vice president of development for Landry's, told the Gaming Wire in Las Vegas that plans for the Biloxi resort are in the earliest of planning stages.
"It's preliminary, but we absolutely love the Biloxi area and the Gulf Coast and we want to help in the rebuilding," he said. "This was one of the main reasons we purchased the Golden Nugget brand. We think this casino concept would be a natural fit with the Biloxi market."
If approved, Landry's told the Biloxi council that it wanted to build a complex similar to entertainment and restaurant facilities it has in Houston and Galveston, Texas. The project could feature a 60,000-square-foot casino, 600 hotel rooms, a marina and an amusement park with a 150-foot-tall Ferris wheel and thrill rides. Cantrell said Landry's has a $400 million credit line that would enable the project's development.
Gaming analysts noted that this could be the first in a long line of new projects aimed for the Gulf Coast since state regulations were relaxed to allow shore-based gaming facilities build on land versus on floating barges in the wake of Hurricane Katrina.
"However, it remains uncertain how many of these projects will proceed," said Deutsche Bank analyst Marc Falcone. "The final competitive environment, area reconstruction, and demand remains uncertain."
-Andy Holtmann
Isle of Capri and Imperial Palace close to Biloxi reopening; Landry's eyes Gulf Coast site
Utilizing a new law that allows casino gambling to operate up to 800 feet away from the waters along Mississippi's shorelines, Isle of Capri Casinos-the first company to open and operate barge gaming on the Gulf Coast in 1992-will become the first "land-based" casino operator there in the wake of Hurricane Katrina.
According to reports from the Gaming Wire in Las Vegas, the Biloxi-based Isle of Capri plans to open a temporary casino in the convention facilities of its storm-damaged Isle of Capri Biloxi property this month. Once opened, the company intends to spend the next year and a half building a 100,000-square-foot permanent casino, with a foundation on the shore, but stretching over the waters of the Gulf of Mexico as well.
Isle of Capri President Timothy Hinkley, noting his company's strong ties to the Biloxi and Gulfport, Miss. communities it grew its fortunes in, wanted to get casino gaming up and running in Biloxi as quick as possible-both to provide an economic impact to communities and giving its citizens some semblance of a return to life as normal after the powerful Category 4 storm tore through southern Mississippi and other parts of the Gulf Coast.
"I think it's worth it to get back and operating to give people a sense that recovery is happening. But I also think it's a good business decision." Hinkley said. "It gives the community a shot in the arm. If you can do it, you should do it."
Isle is among 12 other casino operators along Mississippi's coastline that are still picking up the pieces from the storm. Isle's 32,500-square-foot gaming barge was destroyed, and debris is still strewn across parts of the property. Shortly before the storm, the company had completed a $150 million expansion at its flagship property, adding hotel rooms, new parking facilities and the convention space that will now house the temporary casino.
That space could now house approximately 940 slot machines, 25 table games and a small poker room, company officials said.
One key goal, company officials added was to get the property's 1,000-plus workforce gainfully employed again. Employees have been receiving benefits since the storm, but the 90-day term in which those benefits are being given is set to expire soon.
"There will be a bit of a lag time in between the end of the benefits and when we reopen," said Bill Kilduff, the property's general manager. "But getting the property back up and running will bring some normalcy to the employees and the community."
The Imperial Palace, another Biloxi property that received minor damage from the storm as it was somewhat sheltered on Biloxi's Back Bay, has also indicated it hoped to reopen to the public this month.
Meanwhile, fresh off its acquisition of the Golden Nugget casino properties in downtown Las Vegas and Laughlin, Nev., Houston-based restaurant chain Landry's is now pitching the idea of building a $400 million hotel casino on Mississippi's Gulf Coast.
In a presentation to the Biloxi City Council in November, Landry's Restaurants said it hoped to build a casino complex that included a hotel, Golden Nugget brand casino, and a waterfront attraction known as Biloxi Boardwalk.
The proposed site-on 18 acres of land north of Highway 90 in the storm-ravaged area known as Point Cadet-could be a sticking point, however. The land is part-owned by the city, and Isle of Capri Casinos has first option rights to development there. Isle of Capri spokeswoman Jill Haynes said her company's first focus is reopening the severely damaged Isle of Capri Biloxi property on the shore of the Gulf of Mexico and has not considered development on the land Landry's is eying.
Jeff Cantrell, senior vice president of development for Landry's, told the Gaming Wire in Las Vegas that plans for the Biloxi resort are in the earliest of planning stages.
"It's preliminary, but we absolutely love the Biloxi area and the Gulf Coast and we want to help in the rebuilding," he said. "This was one of the main reasons we purchased the Golden Nugget brand. We think this casino concept would be a natural fit with the Biloxi market."
If approved, Landry's told the Biloxi council that it wanted to build a complex similar to entertainment and restaurant facilities it has in Houston and Galveston, Texas. The project could feature a 60,000-square-foot casino, 600 hotel rooms, a marina and an amusement park with a 150-foot-tall Ferris wheel and thrill rides. Cantrell said Landry's has a $400 million credit line that would enable the project's development.
Gaming analysts noted that this could be the first in a long line of new projects aimed for the Gulf Coast since state regulations were relaxed to allow shore-based gaming facilities build on land versus on floating barges in the wake of Hurricane Katrina.
"However, it remains uncertain how many of these projects will proceed," said Deutsche Bank analyst Marc Falcone. "The final competitive environment, area reconstruction, and demand remains uncertain."
-Andy Holtmann
