MGM Resorts Purchases Land on the Las Vegas Strip
Date: 2024-01-29 Author: Dima Zakharov Categories: CASINO
MGM Resorts Expands Its Holdings
MGM Resorts Land Holdings made a significant acquisition on May 15, 2023, purchasing a 1.62-acre piece of land nestled between the iconic Bellagio fountains and The Cosmopolitan. This acquisition comes as a part of MGM Resorts' strategic expansion plans.
A Parking Lot and Storage Space
Currently, the acquired land serves as a parking lot and storage space for waste. Despite its prime location, the Las Vegas Strip is not visible from this piece of land, thanks to the surrounding trees.
A Piece of Sin City's History
Previously owned by the renowned real estate developer and art collector Steve Wynn, this small strip of land has a storied history in Sin City. Wynn, responsible for creating popular casinos such as Treasure Island, The Mirage, Wynn Las Vegas, and Bellagio, sold these properties to MGM over two decades ago.
MGM's Future Plans
MGM Resorts has not disclosed its specific plans for the newly acquired land. However, this move is crucial for MGM, as it allows them to expand their real estate portfolio beneath their gaming venues, reducing their reliance on external landowners.
Complex Real Estate Dynamics
The complexity of real estate ownership around properties like Cosmopolitan and Bellagio makes this land acquisition even more intriguing. Previous deals involving these properties, such as the sale to Blackstone's Blackstone Real Estate Income Trust and subsequent transactions, have shaped the landscape.
Speculation Surrounds the Land
Given the limited space available on the acquired land, MGM is unlikely to build a new integrated resort. Speculation suggests that MGM may choose to sell the land to one of the entities holding interests in the real estate associated with Cosmopolitan and Bellagio, creating further interest and anticipation in the Las Vegas real estate market.
