Another Resort Hotel and Casino to Close In Atlantic City
The $2.4 billion Revel Casino Hotel will close Tuesday (9-1). The upscale Revel will be the third Atlantic City hotel-casino to close in a span of only two weeks.
The plan was for The Revel to revitalize Atlantic City's weak gambling market. It just never reached a point to make a profit. The Showboat Casino Hotel closed on Sunday 8/31. and Trump Plaza is closing in two weeks. Indian casinos along the East coast have negatively effected the profitability of Atlantic City casinos, and gaming revenue has never returned to the pre recession days.
Analysts and competitors say it was hampered by bad business decisions and a fundamental misunderstanding of the Atlantic City casino customer.
"The timing of it could not have been worse," said Mark Juliano, president of Sands Bethlehem in Pennsylvania and the former CEO of Trump Entertainment Resorts in Atlantic City. "The financial climate while Revel was developing and when it opened were completely different."