Revel Reopening Could Negatively Influence Atlantic City’s Teetering Market, Experts Warn

Revel R<span id="more-6854"></span>eopening Could Negatively Influence Atlantic City’s Teetering Market, Experts Warn

The Revel Casino in Atlantic City probably needs some sage, or a witch doctor, or possibly an implosion. Whatever curse has lain such as for instance a cloud that is black this once-touted property from Day One simply doesn’t appear to be in every threat of going away.

Glenn Straub remains determined to reopen Atlantic City’s Revel Casino, despite the lack that is glaring of gaming license. Experts warn that the reopening could tilt the land gaming market off-kilter.

According to reports from the Press of Atlantic City (PAC), the casino’s next stage spells even more disaster. But this right time, it’s for the other gaming houses still operating in town.

The casino that is 47-story, which cost $2.4 billion to build and was closed in 2014 having never once turned a penny’s profit, was purchased last year by eccentric Florida property developer Glenn Straub just for $82 million, which is known as a fire purchase deal.

Straub initially said that he would reopen Revel not as a casino, but as an ‘elite university’ where the planet’s finest minds would be free to ruminate on solving global issues such as famine, cancer, and nuclear waste storage space. But then Straub changed his brain and decided as a casino after all that he would reopen it.

To place an original twist about it, he said the new Revel U would provide such untraditional courses as diving, windsurfing, cooking lessons, and a 13-floor endurance biking course. Maybe Dan Bilzerian is interested in the latter.

Straub, who is engaged in licensing wrangles with New Jersey’s Casino Control Commission, really wants to reopen the casino at the earliest opportunity. But analysts said this week it would have been better for the Atlantic City casino industry, which happens to be enjoying an interval of security after years of decline, if he had stuck with the university idea that is wacky.

Noncompete Market

‘The market was rightsized,’ Colin Mansfield of Fitch reviews told the PAC. ‘But any longer competition into the city would just take shares from the current properties.’

While Atlantic City itself is close to bankrupt, there was hope that the casino industry are at last showing signs of a bounce back after almost a decade on the skids. But Revel, coupled with a proposal to expand casino gaming into North Jersey, could tip the marketplace back into oversaturation.

Mark Giannantonio recently warned that expansion in the north, which can be due to attend a referendum in November, would result in the closure of three to five Atlantic City casinos.

‘Our findings are quite clear,’ he told the East Coast Gaming Conference last month. ‘The fallout of those 3 to 5 casinos will potentially be, 23,000 task losses. Foreclosures will double, unemployment will double.’

Revel Roadblocks

Straub has been arguing with New Jersey regulators because he will be leasing the casino area to a third-party operator that he shouldn’t need to apply for a gaming license. State regulators beg to differ.

‘Instead of welcoming this prospect, New Jersey’s Division of Gaming Enforcement has imposed a roadblock that is inappropriate and unneeded,’ complained Straub in an formal statement week that is last.

Despite the regulators to his disagreement, Straub is set to reopen Revel before summer’s end.

Valve Sued for Facilitating Underage Gambling

Designer weapons, known as ‘skins,’ in Counter-Strike: Global Offensive, which can be used by minors as digital casino potato chips, according to a lawsuit against the game’s creator, Valve. (Image:

Valve, owner of the Steam online games distribution platform and creator of the Counter-Strike: international Offensive (CS: GO) video clip game series, is being sued for allegedly facilitating unregulated, underage gambling.

The suit, filed with respect to Connecticut resident Michael John McLeod, accuses the movie games giant of knowingly permitting an illegal gambling that is online to develop up across the trading of CS: GO ‘skins’ on third-party websites. McLeod gambled on these markets and lost money, both as an adult and a minor, states the filing.

CS: GO is really a first-person shooter in which players perform in teams either as terrorists or counter-terrorists. ‘Skins,’ meanwhile, are collectable designer weapons which can be purchased in-game and exchanged for real money.

Digital Casino Chips

CS: GO, released in 2012, wasn’t initially a seller that is big the introduction of skins, which may be swapped and traded like baseball cards. But because skins have real-world cash value, they could also be utilized as electronic currency, and the fact that they’ll be transferred to third-party web sites means they may be gambled with. A slew of skin gambling websites have sprung up, with no age-verification procedures or checks that are regulatory

Despite its slow start, the introduction of skins made the CS: GO very popular games of all time. At any given moment, 380,000 people around the world are playing the game.

Valve, because of the Steam platform, the lawsuit alleges, maybe not only allowed this to happen but actively ‘sustained and facilitated’ it in order to profit from it. It’s predicted that over 3 million players bet $2.3 billion worth of skins on the outcome of e-sports matches in 2015

‘In the eSports economy that is gambling skins are like casino chips that have value outside the game itself because of the cap ability to convert them straight into cash,’ the suit says.

Exactly About the Betting

‘In amount, Valve owns the league, sells the casino chips, and receives an item of the casino’s income stream through foreign sites to be able to keep the charade that Valve isn’t promoting and profiting from online gambling, like a modern-day captain renault from Casablanca,’ it said.

‘That a lot of people into the CS: GO economy that is gambling teenagers and under 21 makes Valve’s while the other Defendants’ actions also more unconscionable.’

Skin gambling sites software that is incorporate by Valve, which takes 15 percent of every skin that’s bought or sold.

‘Nothing about Counter-Strike is about the game any longer,’ Moritz Maurer, head of e-sports integrity at gambling watchdog SportIM, told Bloomberg recently. ‘It’s exactly about winning and betting.’

US Supreme Court Steers Clear of Tribal Casino Labor Question

The US Supreme Court refused to be drawn as a scrap that is legal the question of whether the National Labor Relations Board (NLRB) has authority over tribal casino operators on their sovereign lands.

The US Supreme Court has declined to rule on whether the nationwide Labor Relations Act has authority over Indian gambling enterprises’ employees and practices. The tribes state that much confusion continues to surround this issue. (Image:

The court had been petitioned by two indigenous American casinos, the small River Band of Ottawa Indians and the Saginaw Chippewa Indian Tribe.

At issue was a judgment that is potential a US Court of Appeals ruling that had sided with the NRLB in yesteryear. The petition was declined without comment.

The Ottowa operate the minimal River Resort, while the Saginaw Chippewas run the Soaring Eagle Resort. Both properties come in Michigan.

Conflicting Rulings

NRLB had traditionally stayed out from the affairs of tribal organizations operating on sovereign land, which were deemed outside the purview of federal laws. But in 2004, the proliferation of Indian gaming led the Board to deem that such enterprises had become ‘significant companies of non-Indians and competitors that are serious non-Indian owned businesses.’

As such, NLRB believes it has jurisdiction on the labor methods of the tribe when the tribal company is commercial in nature, rather than governmental. This stance has made it easier for unions to arrange work motions at tribal casino properties. In 2013, NLRB ruled that the Saginaw Chippewas had unlawfully dismissed a housekeeper for talking about union-organizing at Soaring Eagle.

The clarification was looked for as a result of previous conflicting judgments offered by US circuit courts.

‘Does the National Labor Relations Act abrogate the sovereignty that is inherent of tribes and therefore apply to tribal operations on Indian lands?’ the petition to the Supreme Court pondered.

Surprising Decision

‘Today, higher than a decade after the Board’s initial foray onto Indian reservations, the law in this area is, to place it charitably, a mess,’ said Paul Clement, lawyer for the Saginaw Chippewa tribe.

‘It’s a small surprising the court didn’t simply take this on, because there is an obvious split into the circuits,’ Steve Biddle, a Phoenix-based partner at Littler Mendelson, told the National Law Journal on Monday.

‘No one quite understands what the answer is or what’s next. It leaves the people casinos that are running the employees of the casinos within the dark. Depending on which circuit you are in, you may manage to organize or you may well not,’ Biddle included.

In November, the US House of Representatives passed a bill that would efficiently scrap the NLRB’s powers to modify enterprises that are tribal would exempt any tribe, enterprise, or institution on tribal lands, from federal labor regulations. The bill has since stalled in the Senate.

Northwest Indiana Casinos Deliver $1.7 Billion in re Payments to neighborhood Governments

The Horseshoe Hammond is certainly one of four northwest Indiana casinos providing substantial funds for local governments. (Image:

Northwest Indiana casinos are playing a role that is vital the region’s general economy. Since the region’s first of four riverboats exposed in 1996, the commercial gambling enterprises have actually provided $1.7 billion in profits to governments that are local.

Casinos continue to be viewed by many as a sin taxation industry, perhaps not unlike alcohol and cigarettes. But Northwest Indiana wants readers to know the advantage gambling has provided with their towns and cities.

Hammond’s Horseshoe, East Chicago’s Ameristar, the 2 Majestic Star riverboats, and also the Blue Chip Casino have collectively benefited the communities in which they reside. The Horseshoe, Ameristar, and Majestic venues have produced $1.4 billion for Lake County, while the Blue Chip has delivered $302 million to LaPorte County.

In total, the four casino companies have actually taken in some $20 billion throughout the 20-year period.

The income is used by local governments in a number of ways including infrastructure fix, social services, and financial revitalization projects. Perhaps most notable is Lake County’s Hammond in which the populous city makes use of casino capital to invest in college scholarships.

‘It’s been wonderful for Hammond,’ Hammond Mayor Thomas McDermott Jr. told the Northwest Indiana occasions. ‘ Without gaming revenue, we would never even be able to dream about having a scheduled program like College Bound.’

No more for a Boat

Since Indiana legalized casino gambling in 1993, the industry has been restricted to riverboats and racinos. That somewhat changed thanks to the French Lick Resort Casino, a property that is storied allowed the tiny moat surrounding its casino to dry up in 2008.

In May 2015, Governor Mike Pence (R) said he’d not sign a bill to legalize land-based casinos, but also wouldn’t stand in the legislation’s means. Without any action by the governor, a State House bill became legislation without Pence’s signature.

Residence to 10 riverboat casinos through the entire state, Gary’s Majestic Star wasted no time in announcing intends to ashore bring its casino. Majestic is trying to spend upwards of $135 million to create a new casino on its land acreage next to its docks.

With Hammond and Gary both less than 30 miles from downtown Chicago, grander casinos that are land-based bring even more Illinoisans to the Hoosier State.

Trump Had Been Here

Gambling is really a key component to northwest Indiana, but its initial foray into the market was as rocky as the waters of Lake Michigan. And yes, like the majority of things gambling in the mid-1990s, Donald Trump played a role.

The Majestic Star II originally opened in 1996 as the Trump Casino.

The future Republican Party nominee said, ‘Gary’s had some rough times over the years at the time. This will be really the beginning of the end of those rough times.’

Gary didn’t majestically turn into a blossoming powerhouse that is economic. Nonetheless, Trump’s forecasts, while perhaps overstated, did to some degree come real.

Nine years after it opened, Trump offered the riverboat amid financial troubles to Majestic owner Don Barden.

Now no longer confined to riverboats and buildings surrounded by almost comical moats, the greater amount of favorable gambling environment should lead to even higher revenues in the coming years for Indiana municipalities.

Leave a Reply

You must be logged in to post a comment.