GLPI has traditionally focused on regional casinos and is interested in buying property on the Las Vegas Strip. [Image: Shutterstock.com]
GLPI owns the Tropicana land
The CEO of Gaming and Leisure Properties Inc. said: (GLPI) He is, contrary to popular belief, interested in acquiring additional real estate on the Las Vegas Strip, if the right opportunity arises. On an earnings call on Friday, Peter Carlino admitted, in a somewhat surprising amount to someone in his position, that his forecasts for the sector to emerge from the worst of the pandemic were wrong.
Frankly, I was wrong.”
“I was disciplined a little bit after this latest downturn and realized after COVID that the sector has proven to be much more resilient than I ever expected,” Carlino said. “We knew what was going to happen in the regional markets with people the first moment they walked out of their homes, they were going to our properties and they did it with great enthusiasm. But Vegas, I was a little more careful about that and I was wrong, frankly.”
GLPI owns the land on which the Tropicana Hotel and Casino is located, as well as 57 gaming properties in 17 states. It sold Trop to Bally’s Corporation in April 2021 for $150 million, then agreed to lease the land to Bally’s for $10.5 million annually for 50 years. Penn National was the operator of Tropicana; It sold its remaining stake in the property to GLPI as part of the deal.
It’s just work
On the earnings call, Carlino said his company has never been against expanding into the Las Vegas strip, but rather simply prefers “regional” casinos from a value standpoint.
‘It’s only about money’ Carlino explained. “There’s nothing we wouldn’t have, I go both ways. We’d love to have Strip properties. I’ve often told many of you I’d have a beach cottage without windows and doors if the cash flow was strong.”
Caesars is looking to get rid of the Strip property. Among the things that specifically came out was the Flamingo plane, which the company is said to want to sell for at least $1 billion. It is not known if GLPI has any interest.
Las Vegas a?
Tropicana was also at the center of negotiations over a possible move by MLB’s Oakland A’s to Las Vegas. Late last year, CNBC reported that the team targeted the Tropicana site for its new stadium, in case it moved.
On the earnings call, Carlino did not provide any new information about potential negotiations. While it’s not a guarantee that the A’s will move, MLB Commissioner Rob Manfred said Sunday that it is likely to. The team’s stadium is arguably the worst in the league, its lease expires after the 2024 season, and it has been unable to strike a deal with the city to build a new stadium.
The mayor in Auckland has put a lot of effort into trying to get that done in Auckland.”
Speaking with Chris Russo on MLB Network Radio on SiriusXM on Saturday, Manfred said: “I think the mayor of Auckland has gone to great lengths to try and get it done in Oakland. It doesn’t look like it’s going to happen.”
“Given the lack of speed in Auckland, I think [the A’s] You should look for a replacement,” added Manfred, acknowledging that the alternative is likely Las Vegas.