The Nevada Gaming Commission Thursday approved casino management company Warner Gaming to continue as the casino operator for the Hard Rock Las Vegas while the property undergoes a multi-million transition to Virgin Hotels Las Vegas.
The management, however, could be brief.
Richard Bosworth, the president and CEO of JC Hospitality, which is oversees management of the Hard Rock, said the landlord is in “advanced dialogue” with a potential tenant to take over the casino and make a $40 million investment into the casino renovation.
Warner Gaming has overseen the Hard Rock’s casino for the last seven years. Warner Gaming, which is headed by longtime casino executive Bill Warner, has a two-year agreement to operate the casino during the transition.
“Were not in control of renovation plan, but we will we will maintain the casino floor and its aesthetics, and we’ll upgrade the gaming assets as time goes on,” Warner told the commission.
Warner added that there would be “disruption” over the next two years as the transition takes place, but said he was comfortable with the casino’s financial projections through the transition.
As he did at the Control Board meeting, Bosworth described some of the plans for the Hard Rock’s renovation. The entire property will be renovated, with new restaurants, a re-branded casino, remodeled hotel rooms and other new amenities. The Hard Rock theme, he said, is being replaced by Virgin Hotels.
Bosworth said the entire transition to Virgin Hotels Las Vegas should be completed in 2020.
The 1,504-room off-Strip resort was acquired in late March by an investors group that included Bosworth, Juniper Capital Partners, Fengate Real Asset Investments (who in turn have the partners Dream, Cowie Capital Partners, and other private investors) and Richard Branson’s Virgin Hotels.
Branson, the celebrity British businessman and founder of the Virgin Group conglomerate, did not attend the regulatory hearing in Las Vegas.
Toward the end of the hearing, Gaming Commission Chairman Tony Alamo Jr. asked Warner Gaming executive Jody Lake if sportsbook operator CG Technology would continue to manage the casino’s sports wagering facility.
Lake said, “yes.”
CG Technology’s future was thrown into disarray in August when the Gaming Commission rejected a stipulated agreement that would have settled disciplinary action with the troubled company.
Hard Rock is one of seven Las Vegas area casinos when CG manages the sports book operations.
Howard Stutz is the executive editor of CDC Gaming Reports. He can be reached at hstutz@cdcgamingreports.com. Follow @howardstutz on Twitter
