There were rumors for quite some time that Caesars Entertainment was going to sell their Flamingo Las Vegas property, and that they wanted a billion dollars for the aging piece of real estate. Now, however, the company has reversed course on the matter and decided they would rather keep the casino resort.
You may recall that there was a lot of talk about Caesars selling one of their Strip properties for quite a while. And before there was any specific discussion of Flamingo being sold, many in the industry had speculated that perhaps it was the Planet Hollywood casino that could see the Caesars chopping block. But that was also not the case, either.
Planet Hollywood was saved because it has a concert venue, which is apparently quite lucrative for the company. That’s when all eyes turned to the aging Flamingo Las Vegas as the most likely target. But the restoration work needed made it a hard sell. So which property will be sold by Caesars? How about none of them!
During a recent conference call, Caesars CEO Tom Reeg announced the change. “We ran into a market where the cash flow of the asset continued to increase,” he said. The fact that the Flamingo is generating cash helped make the decision to keep the Flamingo sound business.
Mr. Reeg added that the past month was one of the best in company history financially, with over $200 million in earnings before interest, taxes, depreciation and amortization. So if you’re a fan od Caesars properties and old school Sin City, it looks like you will be able to continue to enjoy the Flamingo Las Vegas.