Industry News
Mohegan Gaming to End Management of Resorts Casino Atlantic City
At the conclusion of this year, Mohegan Gaming & Entertainment, the casino branch of the Mohegan Tribe of Connecticut, will terminate its management contract at the Resorts Casino Hotel in Atlantic City, New Jersey.
When the Tribe bought a 10% stake in Resorts Casino in 2012, it became the first Native American operator on the Boardwalk. That era came to an end with the announcement made by the Tribal gaming powerhouse yesterday. When its management agreement with the arena expires later this year, Mohegan will still own that interest.
''Mohegan will remain as management partners through the end of December 2024, and is committed to ensuring a smooth transition process to maintain the continuity of the exceptional guest experience for which Resorts Casino Hotel is known,” according to a statement issued by the Tribe.
In 2010, Morris Bailey and veteran gaming executive Dennis Gomes purchased Resorts Casino Hotel, the oldest gaming establishment on the Boardwalk. Bailey hired Mohegan Gaming & Entertainment to run the casino when Gomes passed away in 2012.
Mohegan Refused to Explain
The Tribe made no mention of the cause behind its departure from Atlantic City or the prospect of ever making a comeback to the country's second-biggest casino market, after Las Vegas.
Owner of Resorts Casino Morris Bailey stated in a statement, "We entered into a management agreement with Mohegan at a time when Resorts faced many operational, economic, and market challenges." "Mohegan helped Resorts achieve stability and direction by putting together an exceptional management team that will stay in place. We are pleased that Resorts has achieved a level of independence with Mohegan's assistance.
Mohegan might be trying to draw attention to its recently opened Inspire Entertainment Resort near South Korea's Incheon International Airport. It might also aim to enhance Virgin Las Vegas' casino operations.
The operator also owns two properties in Niagara Falls, Ontario, Mohegan, Pennsylvania, Ilani in Ridgefield, Washington, and its flagship casino hotel in Uncasville, Connecticut.
Possible Mohegan Substitutes at Resorts Casino
Regarding the Tribe's potential successors for running Resorts Casino, neither Mohegan nor Bailey made any mention of them. Bailey would have a variety of commercial and tribal entities to choose from if he choose to outsource those duties.
Whatever entity comes aboard to run the ship at Resorts Casino will be entering a competitive arena. The Boardwalk is home to nine casino hotels – a figure some industry observers believe is too high, implying the market is oversaturated.
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