Will SLS and/or Cromwell beat Cosmo and Aria?

Let's discuss this before it happens. What are your predictions about the success of SLS and Cromwell in comparison to current popular hotels?

 

I think the Cromwell will do very well as it has a very specific niche in the young, club-goer seems very intent on sticking to that target. With that said it is only 189 rooms, so it will be no where on the scale compared to Aria and Cosmo. It will be in a class/scale of its own but with the club market the way it is and Drai running the night and day clubs. This place looks destined to succeed as long as the nightclub scene does in Vegas which, I'd be willing to say is a safe bet for years to come.

 

SLS however I think will find struggles do to its location. It will be interesting to see their rates, amenities and comps. If prices are too close to Cromwell, Aria, or Cosmo then why would you pay to stay that far up the road when you could be right in the heart of it all. This will especially factor in for the young club-going crowd again. Overall the SLS brand and concept looks like something I'm interested as a younger club-goer and I think it could succeed but the level of success is dependent on their rates, amenities and comps vs. the the other properties like Cromwell, Aria, and Cosmo.

 

I'm curious to see how The Cromwell does. I love a boutique hotel but it will be interesting to see how upscale small and intimate does in the city of excess.

As for SLS, in my opinion, its location sucks. I'd call it Mandalay Bay North but MB still has a better location (and stuff around it). As already stated, it will have to have a lot going on there for me to visit as I wouldn't stay anywhere that north.

Regardless, change is fun so I look forward to seeing this unfold.

 

The SLS will benefit immensely from the soon to come activity at the Genting Group's Resorts World project (old Stardust site)... of course the problem is there's been no announced construction timetable that I'm aware for that project. For sometime, driving past the SLS... it looked just like the old Sahara undergoing a bit of a facelift, but not anymore. The SLS has recently taken on a look and character of it's own. The brand is strong, but I'm not sure any brand can hold-up that end of the strip alone for long.

I really like the look of The Cromwell from the outside and the photos and renderings I've seen. That location is just the best and I'm sure it'll do very, very well right outta the gate.

 

Cromwell will do ok but they will soon change their "super exclusive" attitude when they count the dollars walking by every day and not going inside.

SLS will have to really promote itself like hard rock did. Look at the Palms, used to be the place to go to be scene and where all the young celebs went. Now you rarely even hear about it. That advertising is expensive and makes it hard to get people to that location.

Now if SLS would go the route of all inclusive the place would make a killing. Like a caribbean resort, one price covers all the food and drink. Fancy stuff could be a extra but the rest in included. There would be no reason to leave once you got there.

 

cromweell will destroy cosmo.

sls not sure to far down the strip and depends how sam treats his customers, his clubs are assholes to people so he will have to learn to be the opposite on how the treat peoople in la.they will have to convince people to shlep there stay there party there.

the cromwell has all ready come out and said if you stay with us you get access to the clubs thats a big plus. so basicaly book a room and your gaurenteed a 24 hour orgy

 

This is apples to oranges comparison.

• Cosmo is a 3,000 room resort that cost almost $4 BILLION to build.
• Cromwell is under 200 rooms and cost about $200 MILLION to renovate.

While they may actually compete for similar clientelle, there is no chance that Cromwell will "destroy" Cosmo - they simply do not have the size and variety of ammenities and features to have any material impact on Cosmo.

That is very different from the fact that Cromwell may do VERY well based on location and the exclusivity that the small size might create.

 

I think Cromwell will do fine... but SLS is going to have a major problem with location.

You could say SLS will be going after higher end customers and all that, but a great example is Mandalay Bay: its a nice looking resort, pretty classy and fancy and all that, but rooms have never been that expensive and the place has had trouble getting gamblers in the door because it has almost no walk-up traffic at all. You can almost see the same thing with Palazzo: while The Venetian will be busy and often have a pretty packed casino at night, especially in the tables and some of the slots sections, Palazzo is often pretty quiet and there is never any problem finding good slots open or a seat at the tables... and Palazzo isn't as far down as Mandalay Bay is or how far SLS will be.

 

i disagree they have same excat amenties a nite club wich is what is keeping cosmo afloat, without marquee cosmo would have been dead and gone a long time a go.rember cet can comp out shows at there other properties and resturants, at cosmo there limited to one property thats a big differnce and a much bigger clientel pool to draw from for cet.

have you ever been in cosmo when marquee isnt open its a ghost town.
MARQUEE =BOOZE AND GAMBLING

so if if the cromwell steals there customer base bye bye, they dont have a good casIno base , cet does.

 

I don't think SLS will have a major problem with location. In fact i think its pretty good since it will be close to several other high end casinos. Wynncore and V/P will be an easy walk away and the Fashion Show Mall will be convenient for shoppers. I think SLS will be a very nice addition to that and will change a lot of how we view north strip as a location. I already think Wynncores location is pretty good for high end casino visitors since you have so many good options close by(restaurants and gambling) and this will only add to that. Its nothing like Mandalay Bay who is surrounded by dumps.

 

????

It is a LONG walk, with nothing really in between to break it up. It will no doubt be a better walk once the Resorts World property is done, however they have not even started on it, so that will be awhile.

I went onto Google Maps and mapped it out. From the front of the Wynn to the front of SLS, 1.5 miles. To put that into prespective, the distance from the front of Mandalay Bay to the front of the Bellagio is 1.4 miles.

 

that clintel will not be walking maybe helicoptering

 

The Cromwell will take a big chunk of Marquee's business, which will impact Cosmo to some degree. How much remains to be seen.

SLS is a DESTINATION resort, people staying there just aren't going to be wandering around looking for somewhere else to go. They're already there. The walk from SLS to Wynn may not be too far distance wise, but it is pretty nasty and I don't see most clients of either considering that to be a good option. Remember this is NOT the "room is just a place to crash and shower" crowd where the idea is to get out and go somewhere better.

"Honey, we're paying top dollar to stay at one of the best resorts in town. They have a great pool, spa, and casino. What do you say we walk a mile and half on a dusty sidewalk past a bunch of t shirt shops, liquor stores, and bus stops? We could stop in at the Riviera on the way while we dodge the bums! It's only 105 out, and it's not too windy..." I just don't see it happening.

 

They might do something WILD AND CRAZY and actually offer a good gamble. I would not be the only one that would take a cab ride for that. What a concept, huh?

But they won't.

 

No, they won't. But they lack experience as a casino operator so it will be interesting to see what they do in fact do.

The more I think about it they will have to price themselves below Cosmo and Cromwell in terms of room rates to get the hotel full. But everything will be full price once you are there.

 

Very valid points.

It wouldn't appeal to me as a traveller. I come from farther away so my stays tend to be longer so I couldn't imagine staying at one resort the entire day BUT for those coming in for a couple of days and just want to relax, it might be great.

 

I can see Cromwell taking some niche points away from Cosmo. It's smaller so it will be easier to service customers. Plus it will benefit from having a real hotel and casino operator at the wheel. Cosmo may never live down poor start in the area of service and casino operations. But it will only steal dayclub business from Cosmo. It's not big enough to do real damage elsewhere. The beauty of the thing is that there are so few rooms that as a long as there is a good buzz about the place, the room rates will be ridiculous. CET will get that 200M back quick.

As for SLS, I am sorry, but I don't see it working. They could benefit from Resorts opening but it sounds more and more like they may not break ground til next year and that is not going to be a quick build. I guess the reputation of the guy behind may mean something to West Coasters but I can only go by what happened at Sahara, the true condition of the neighborhood and the fact that they sold their database to MGM and now have to scramble to build a new one. I just don't see it working. If they had moved to do this initially when they bought Sahara maybe, but now there are going to be too many other established players doing what they are trying to do. Don't forget they will have to compete with Delano too!

 

While I think it is fair to say the Cromwell and Drai's will impact Cosmo and Marquee to some extent. I also think it will be very minimal, Marquee is the highest grossing nightclub in the United States and have very loyal followers. Cromwell and Drai's will get there's but Marquee will continue to do what it does as well.

 

I love that last paragraph!!! And I too believe think Cromwell will do just fine while the SLS location may give them a problem. It might have been a better fit for them to buy the abandoned Fontainebleau, at least it might be a better location than Sahara was.