Resorts World Las Vegas opened in June 2021. It was the first resort on the Strip in over 10 years. The $4.3 billion resort was built on the site of Boyd Group’s Echelon Place, a victim of the Great Recession. Boyd had torn down the once-famous Stardust Resort in 2007 with the intention of building a 21st century resort. Construction had begun, but stopped in 2008. In 2013, Boyd sold the unfinished eyesore to Genting Group.
Genting is not a novice in the world of casinos and resorts. It has casino-resorts in the United States, Singapore, the Philippines, United Kingdom, and Malaysia. The company was founded in 1965 in Malaysia and its flagship resort is Resorts World Genting in Genting Highlands, Malaysia. It is a monster property and one of the premier resort destinations in the world. With its long and successful history, the decision to bring a multi-billion-dollar resort to Las Vegas was not a surprise. The timing and the price were right. Boyd was willing to let a prime piece of real estate on the Strip go for $350 million, the Great Recession was over, and Vegas was seemingly coming back stronger than ever.
Genting’s choice to build an Oriental-themed resort was not a surprise either. It honored both the corporation’s history and the importance of Asian gamblers to Las Vegas. Construction was not rushed — no 24-hour crews working feverishly to get the property open — so it took eight years to complete. Once again, the timing was right; the Great Pandemic was slacking off and everything was opening again in Las Vegas after more than a year of struggling with virus restrictions. In its first full quarter, the property generated $175 million in gaming revenue with an EBITDA of $27 million. The results are not headline garnering, nor the best on the Strip, but Genting is never impatient. It has a history of patience in developing a new property.
Resorts World seems to have a bright future in Las Vegas. Citywide gaming numbers, visitations, hotel occupancy, conventions, and entertainment are growing and, in some cases, reaching record levels; Resorts World is certain to get its share. However, a small, niggling, little thing may be ready to nibble at Resort World’s world. On April 21, 2022, The Nevada Independent published an article by Howard Stutz that the Nevada Gaming Control Board is looking into allegations that Scott Sibella, president of Resorts World, lied during a hearing. It is alleged that Sibella had a relationship with a convicted money-launderer and illegal bookmaker. The person in question is alleged to have held an interest in a restaurant operating at Resorts World.
At first blush, there do not appear to be any serious charges involved that would affect the suitability of Genting to hold a Nevada gaming license. However, for Sibella himself, the situation could not be more damaging. Lying to Gaming Control is normally an unforgivable sin that is usually punished severely.
The situation is an echo of the darkest days of the Stardust.
The Stardust opened in 1958 on the same site; it took four years to build, as it struggled with financing and ownership issues. By 1979, it had had numerous owners. The last two, Al Sachs and Herb Tobman, ran afoul of Gaming agent extraordinaire, Dennis Gomes, who uncovered a scam. Millions and millions of dollars from slot machines were being shuffled off property to another location; when the slot drop was counted and the state’s tax assessed, those dollars were not included. The uncounted dollars were said to be sent to the mob in Kansas City as part of a secret ownership agreement. A secret ownership agreement with a criminal is part of the accusations against Sibella. Could it be the property is haunted by mob ghosts?
When I wrote about the ghost of Mary haunting the Tahoe Biltmore, I wondered whether a ghost lived in the building and would go away with its destruction, or if it was connected to the land and would therefore remain in situ forever. Someone wrote back to me, “The ghost won’t go anywhere. With ghosts, it’s about the air space and not the structure. The people building the highfalutin’ resort are going to be surprised when Mary is still hanging around!”
Tear down the Biltmore and Mary stays. Tear down the Stardust and the mob ghost stays, moving into the new property with glee?
Of course, this is tongue in cheek, but you have to admit, it does seem like the dirt under the resort has its own set of issues. Except for the years between 1985 and 2007, when the Boyd Group, who took over the Stardust, operated it with nothing more than increased competition and changing demographics to contend with, the site, its buildings, and the owners have faced one challenge after another.
