Revel in Atlantic City on Auction Block for $90 Million Starter Bid

Revel in Atlantic City on Auction Block for $90 Million Starter Bid

Florida investor Glen Straub has kicked off the auction bidding on Revel for $90 million.

Atlantic City’s Revel Casino is up for auction grabs, and a Florida real estate designer has provided $90 million in cash to buy the home which was shut down for good week that is last. Glenn Straub, whom owns the 22,000-acre Palm Beach Polo and Country Club in Wellington, Florida, will now become the ‘stalking horse,’ or lead bidder, who may be outbid by competitors at an auction on September 24. Other potential purchasers have actually until September 23 to produce offers.

Straub said this that his offer was ‘an opportunity to turn things around week. That is what they need at this time; a new direction,’ he included. ‘Give us our six months, and we’ll really physically likely be operational. In two years, we’ll be 100 percent open.’

Which begs the relevant concern, just what is going to be open, exactly? It appears unlikely that Straub will reopen Revel as a casino; the Revel Casino project, after all, had been a cataclysmic $2.4 billion failure with huge costs that are operational were hemorrhaging $2 million a week when it closed. And besides, it seems Straub includes a personal dislike of gambling enterprises.

Casino Doctor

‘When everyone thinks of Atlantic City, they think of casinos,’ Straub told USA Today, adding he dislikes the notion of Atlantic City as a casino city and would be uncomfortable with the notion of his family making money from gambling. However, we’re not sure a polo club for the uber wealthy quite fits in because of the boardwalk vibe either.

Whatever Straub has in mind, he’s keeping buttoned up for now, but he says he has Atlantic City’s best interests in mind. ‘ We feel the populous city needs what we do,’ he says. ‘we have been like health practitioners who turnaround patients that are sick. We turn around big properties.’

Although, in some of his previous dealings, we would venture to express that he is been similar to a vet putting down a ill animal. It cost to build, for example, he eventually demolished it to make way for Grand Central Park when he bought the Miami Arena in 2004 for half the price the price.

That does not bode too well for Revel.

Intriguingly, but, Straub hinted in his interview that his plans include building rail that is high-speed Atlantic City, ny City and Philadelphia.

Other Bidders in the Mix

It’s early days, though, and Straub may well yet be outbid, he attempted to buy the Versace Mansion in Miami Beach at another bankruptcy auction last year as he was on a recent venture when.

There is, in accordance with sources, some competition. One bidder is Alex Meruelo, whose California-based Meruelo Group attempted to choose the soon-to-be shuttered Trump Plaza year that is last. The proposed sale price was $20 million, incidentally, however the deal fell through when Trump Entertainment was unable to get a release on its mortgage, because the senior lender declined to approve the sale at such a low price.

Meanwhile, investor Carl Icahn is additionally a feasible contender. Icahn, while the holder of most of Trump Entertainment’s financial obligation, stands to just take over both the Trump Plaza and Trump Taj Mahal due to the parent company’s bankruptcy filing this week.

Long lasting outcome, however, the Straub deal benefits Revel and its particular creditors by establishing a base price for the auction and ‘increasing the reality that the greatest purchase that is possible for the assets will be received,’ explained court documents. Straub has made a $10 million deposit and would receive a $3 million breakup fee whether it’s outbid at auction, in accordance with proposals.

Dutch Regulators Warn Sports Betting Sites to Stop Advertisements

Regulators in the Netherlands say their campaign to limit recreations betting sites in the country happen successful. (Image: AP Photo/Peter Dejong)

Dutch regulators do not want activities betting websites to target consumers in the Netherlands, so they’ve gone after companies that have tried to attract players there who would like to be in on major events. Now, the Kansspelautoriteit (KSA) states that their efforts have been largely effective in minimizing the game from these rogue operators.

According to the KSA, a letter-writing campaign that has been aimed at warning operators against targeting citizens that are dutch limited what they called ‘excessive’ advertising of such services throughout the World Cup and also the Tour de France, both occasions with major followings in the country. In total, the KSA said they wrote letters to eight operators, and all sorts of eight have ceased the activities in question.

Companies Comply with Dutch Demands

According to the body that is regulatory each of the companies has stopped promoting their brand into the Netherlands. In addition, the firms took steps that are additional such as for instance closing promotional internet sites and Dutch-language Twitter records that were created to attract players to their sites.

Those actions were apparently sufficient to satisfy the KSA. The regulator told the eight organizations that no more actions would be taken against them, thanks to their compliance with the requests made of them. Nevertheless, the KSA has additionally reminded operators that with the Netherlands expected to enact Web gambling legislation next year, operators should cease any marketing activities in the country until that time.

Poker Advertising A point of Emphasis Moving Forward

In particular, the KSA says that it really is looking at poker marketing. They’re also stepping up their efforts round the times of major events: for example, for poker advertising, are going to making sure to focus on what are you doing around the final table of the World number of Poker (WSOP), while recreations betting web sites will face more scrutiny near major international sports.

‘The KSA does not expect that Dutch betting ads will disappear entirely on the internet,’ the organization composed. ‘But laws are being enforced, handling cases that may result in the biggest risks for consumers first.’

Affiliates have also been targeted, and while their compliance hasn’t been quite as swift, the KSA reports progress on that front side at all. Since the crackdown, at least two brand new operators have actually tried to step in to the now largely vacated market; the KSA claims they’ve been now being examined, since are some affiliate networks.

KSA Has Reputation for Heavy-Handed Tactics

The KSA has made headlines recently for their hands-on way of gambling that is enforcing in the Netherlands. Final month, the body that is regulatory an €80,000 ($103,000) fine against an elderly couple that organized a lottery for a household they owned in Southern Africa.

That lottery had been ultimately managed in Austria, and both members of the couple held Belgian passports (though one was also a Dutch citizen). Nonetheless, since the contest had a site that included information in Dutch, and due to an interview about the lottery on Dutch radio, the KSA felt it was in violation of Dutch gaming laws. The KSA reportedly even went therefore far as to find blog posts in order to establish that the lottery could be considered an event that is dutch.

‘Many people spoke about any of it on the net, nevertheless the regulator has decided to blame the couple for all the comments, as though these were the ones who wrote them and on occasion even began the discussion,’ lawyer Bas Jongmans told PokerNews.

NJ Sports Betting Challenge Has Hope for any Other US States

New Jersey Acting Attorney General John Hoffman, upon whose legal opinion the challenge to PASPA is based. (Image: Star-Ledger)

Could the brand New Jersey sports betting decision to decriminalize wagering at casinos and racetracks in the Garden State spark a wave of similar moves in other states? Virginia, West Virginia, Georgia and Kansas have recently come out to get New Jersey’s stance, and several more are viewing with interest due to the fact state seeks clarification of its place in a court that is federal.

Currently only four US states, Nevada, Delaware, Montana, and Oregon, are able to provide activities betting lawfully under federal legislation. This might be due to a legislation called the Protection and Amateur Sports Protection Act of 1992 (PASPA), which sought to define the legal status of sports wagering (compared to parimutuel horse and dog race) within the US, and efficiently outlawed it nationwide.

Exemptions were made of the aforementioned states which had already declared sports betting to be legal of their borders, while nj was given a window that is one-year of, a deadline of January 1, 1993, to prepare and pass legislation permitting activities gambling, an opportunity it chose not to grasp.

On the Cards

These were more days that are optimistic the Atlantic City casino industry, a time period of growth and investment, plus it seems the state felt it might do without. But today things are really different. Atlantic City’s economy is in crisis. Having a spate of casino closures, and several thousand staff set off, it was clear something different and drastic had been needed.

It had been on the cards for some time. In 2011, nj-new Jersey residents voted overwhelmingly in favor of repealing PASPA. In response, New Jersey created the Sports Wagering Act, which attempted to decriminalize and regulate sports wagering at gambling enterprises and racetracks.

It was challenged by the sports that are professional, which advertised that the Act was a violation of federal law and threatened the integrity of sport. Last year a judge that is federal, putting the kibosh in the Sports Wagering Act once and for all. This generated the realization that, while PASPA banned the regulating and licensing of sports betting by specific states, there was nothing in that act that needed states to enforce prohibition.

Floodgates to Open?

New Jersey Acting Attorney General John Hoffman stated their official legal opinion this week: ‘Sports pools operated by racetracks and gambling enterprises continue steadily to be exempted from criminal liability under New Jersey law so long as no wagering does occur on a college sport or athletic occasion that occurs in New Jersey or in which any New Jersey college team participates regardless of where the event takes place.

‘Accordingly, no legislation enforcement or prosecution agency or officer shall … make an arrest, register a complaint against, or prosecute any individual mixed up in operation of a sports pool by a casino or racetrack to the extent that such activity takes place consistent with this particular police Directive,’ Hoffman added.

This, then, is New Jersey’s position, of which it is clarification that is seeking a federal court: to deregulate sports betting entirely and to ignore PASPA; a risky maneuver, which will undoubtedly be challenged within the courts by the sports leagues.

New Jersey’s gambling enterprises are desperately in need of a benefit over the competing casinos in neighboring states that have actually damaged the Atlantic City market. The decriminalization of sports betting may provide that edge, but for how long? If the state is successful in its challenge to PASPA, the floodgates may open and there is little to prevent other states, including the neighboring competition, from after suit.

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