Wynn in talks to sell Encore Boston to MGM

https://www.bostonherald.com/2019/05/17/wynn-eyes-deal-with-mgm-for-2-6b-everett-casino/

Wow this seems like a strange move.

 

Why?

 

I don’t know why, it really doesn’t make sense to me for either party.

 

Unless they're hinting at an acquisition from MGM to buy all of Wynn...I just am disappointed with their management team. Wynn has really fallen...

 

That would be an enormous debt load for MGM to take on. MGM is disappointed with Springfield maybe they think they would do better in that market with the Encore property.

Agree on Wynn, Maddox is definitely not even in the same building with Steve Wynn on the visionary side. He’s gotta be on his way out soon.

 

"Weeks before the $2 billion Encore Boston Harbor is set to open its doors, company executives say they are in talks about a potential sale to MGM Resorts. Wynn Resorts and MGM Resorts International issued a joint statement Friday saying the two companies have been discussing the deal over the past several weeks. "

https://www.necn.com/news/new-england/Wynn-Resorts-to-Possibly-Sell-Encore-Boston-Harbor-to-MGM-Resorts-510079221.html?fbclid=IwAR2x4EGbg2rFunw9F3Jsb6n-tn8mxG3TDLl6N_z8hPzBpl3vk6w4x-duJXc

 

they realize MGM Springfield is a pig with lipstick and hope to move east.
wonder if they'd sell Springfield to Wampanoags?

 

They would have to sell Springfield to someone. Mass state law says a company can only own one casino in the state. Problem is they put a billion dollars into it and the way it’s performing they would take a big loss on it. That being said, seems like it would be smarter for them to just unload Springfield if they are unhappy with it and just focus on Japan.

The way Wynn has been setting rates for the Boston property I think they will have a harder time filling the place than I originally thought. I think they are trying to set the rate so that any plane ticket savings people get from not travelling to Vegas to stay at Wynn LV would just be eaten up by the higher room rates.

 

Say it isn't so... MGM doesn't need to ruin anything else.

 

Being 25 minutes away from this resort, I had been saying since 2016 that Wynn wouldn’t be allowed to stay. With lots of stuff going behind the scenes from the neighbors in CT and MGM getting Springfield, I had a hunch that both the tribes would co-own the Springfield prop and MGM would absorb the Boston location as they truly wanted.

 

I mean a deal is a deal, but it's gonna be pretty bizarre for MGM to set up shop in a building that's an exact scale model of the Wynn buildings in Vegas. Of course, a lot of locals won't know it.


I wonder if Maddox thinks they're cursed - the top part of the E on the sign seems to have broken off a couple of times in the last few months.

 

Or Sands in PA

 

Looks like Encore Boston Harbor might sell out to MGM

https://finance.yahoo.com/news/wynn-resorts-talks-sell-2-6-billion-encore-201027935--finance.html

 

Many of us were left confused by this move and wanted to know the motivation for selling before opening.

From WBZ:
They say the MGC’s unprecedented demand as part of the decision to let Encore keep its Everett license to require that Wynn accept their appointment of an independent monitor to essentially dictate casino practices for at least the next three years is viewed by the company as unacceptable.

Full article:
https://boston.cbslocal.com/2019/05/18/jon-keller-large-everett-encore-casino-wynn-resorts-confusion-selling-mgm-springfield-government-gaming-commission/

This was the first I've heard of this stipulation, which I'm assuming is a penalty for SW's misconduct? Either way, the full article is a scathing breakdown of the Massachusetts Gaming Commission's performance since its formation. I think it may interest those who are local or have followed the saga.

 

That doesn't surprise me, it was one thing that stuck out. I don't know what kind of appeal process exists, but if there is one, I thought they might appeal to have that provision lifted and also try to reduce the fine while they were at it.

 

I hope this doesn't happen! I was looking forward to the whole shebang, including the ferry service. I was gonna do a first day live report!

https://boston.curbed.com/2018/5/25/17391356/everett-casino-water-taxis

 

I think they'll open Encore as planned. There's no way they can do the sale and transfer the license before then.

 

MGM is just continuing their grand tradition of degrading Steve Wynn's former projects.

 

Mayor in Everett has veto power, he can nix an MGM deal if he feels like it. He already said something to the effect "we agreed for a 5 star operator to come, and now we potentially are getting a 3 star"

Without knowing any real details, my guess is the Wynn is sick of dealing with Massachusetts politics (see the "why is mass being so fickle" thread). If its true they had in place some stipulations, i'm sure thats the straw the broke the camels back. MGM will likely sell Springfield to one of the CT operators and move east where there will be more money.

 

I wonder if Wynn is putting on this dog & pony show so that Massachusetts might lower the fine they slapped on Wynn Resorts.