Atlantic City's Revel Casino To Close In September, Negotiating With Potential Buyers
Officials at Atlantic City's Revel Casino Hotel announced Tuesday that the company will shut down next month after failing to find a buyer in bankruptcy court.
The business is scheduled to close its doors on Sept 10, a little over two years after the $2.6 billion casino opened in the Uptown section of Atlantic City. The resort failed to earn profits and filed for Chapter 11 bankruptcy 10 months after opening.
The closure will lead to the loss of over 3,000 jobs.
The casino was supposed to be closed last week, but that was postponed until Thursday to allow officials to study bids that were received.
Legal reps for Revel sent a notice adjourning an auction of Revel that had been set for Thursday, saying that they are engaged in "ongoing negotiations" with "certain potential bidders" they did not identify.
The casino tried to maintain hope that a buyer could eventually be found through bankruptcy court, before announcing that it will come to an end.
"The debtors have continued to evaluate the bids received and have been working with certain potential bidders with the goal of naming a successful bidder," Revel wrote in its filing, reports the Associated Press. "As a result of these ongoing negotiations, and in an effort to maximize the prospects for a value-maximizing sale transaction," the auction needs to be postponed indefinitely.
The filing appears to leave the door open for bidders.
The demise of Revel is "more confirmation that they're headed in the wrong direction," said Matt Dalton, chief executive officer of White Plains, New York-based Belle Haven Investments, according to NJ.com. "They don't have the money to spend on what it's really going to take to rejuvenate that area and bring people in."
"This might be Revel's last chapter, but not the last one for this building," Mayor Don Guardian said in a statement. His "administration remains committed to the workers, the businesses, and the visitors who are impacted by" the decision on Revel.
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