Track Construction of Firekeepers Casino With Webcam

The progress of the construction of the Firekeepers Casino can be tracked on a webcam provided by the construction company building the casino. Based upon today's status, it seems hard to believe the casino will open on schedule. The reported opening date is "Summer 2009". And yet, the exterior shell does not even appear to be completed. . .

Greektown Opens New International Buffet

The all-you-can-eat buffet, a culinary staple of casinos since the beginning of time, arrives at Greektown Casino today with the opening of the Greektown International Buffet.

The buffet, a 275 seat, $18.95 buffet, will feature made-to-order food, not pre-prepared by food vendors, but cooked to order. The publicized menu can be found here.

Sault Tribe of Chippewa Have Until February 1, 2009 To File Plan For Exit From Bankruptcy For Greektown Casino

Greektown Casino, which has been operating under bankruptcy protection since May 29, 2008, has until February 1, 2009 to file a plan for an exit from bankruptcy.

The Sault Ste. Marie Tribe of Chippewa, the tribal owners of the casino, are currently analyzing the various options available to the Tribe. One option is the sale of the casino, which would end the outflow of money from the Tribe to the casino, estimated at $47 million in 2008 alone. These cash infusions required the Tribe to lay off tribal employees, and suspend certain tribal benefits. However, the sale option would prevent the Tribe from enjoying any of the potential upside when (or if) the Detroit casino market recovers. In addition, there are few potential buyers for the casino, given the current status of the credit markets, and the global economy.

A second option is the continued ownership of the casino, which will require restructuring of the debt of the casino, and would likely involve more cash contributions from the Tribe.

Stay tuned. . .

Greektown To Hire 150 More For Hotel

Greektown casino, which plans to open its permanent hotel in February 2009, is seeking to hire an additional 150 employees to work in the hotel, in jobs ranging from housekeeping to sales representatives.

With these hires, Greektown would have hired 400 permanent employees for its hotel project. This is offset by its laying off of 89 casino operations employees earlier in 2008, due in part to its declining revenue in 2008 versus 2007.

MGM Grand Receives Two AAA Four Diamond Rankings

In a report in Crain's Detroit Business (subscription req.), MGM Grand Detroit has received two separate AAA Four Diamond ratings.

The first Four Diamond rating is for the hotel itself.

The second Four Diamond rating is for the Saltwater restaurant within the casino complex.

Iridescence restaurant at the MotorCity casino complex had been previously awarded a Four Diamond rating.

No Spa For Greektown; MGM and MotorCity Might Regret Decision

Greektown Casino's hotel, scheduled to open in February, 2009, will open without a planned spa.

Greektown's spa cancellation appears to be a combination of lack of funding, and a recognition that Detroit's casino market differs from Las Vegas. The spas at MotorCity Casino's hotel, and the MGM Grand hotel are implied to be boondoggle money-losers based upon press reports.

Maybe in just this one instance being third to market is a good thing for Greektown. . .

Casinos Continue To Feel Impact of Michigan Economy

For those who believed that casinos revenues were immune to the whims of the general economy, October revenues for the three Detroit casinos provided more evidence to the contrary.

In the aggregate, gaming revenues fell $7.1 million in October for the three Detroit casinos.

The lone bright spot was the MotorCity Casino, which saw its revenues increase slightly to $37.9 million, from $37.7 million in October 2007.

MGM Grand Detroit saw the largest drop, to $48.4 million, from $54.9 million in October 2007. MGM's year-over-year numbers are slightly deceiving, however, as October 2007 was the month of MGM's grand-opening of its permanent casino. Accordingly, its October 2007 revenues were unnaturally high.

Greektown Casino continued its slow march into irrelevance, with its revenues dropping to $24.7 million, from $25.6 million in October 2007.

More Details on Greektown Casino's Expansion

The expansion of Greektown casino's gaming space will reportedly increase the gaming floor area to a total of 100,000 square feet, with the slot floor space increased by one-third. Upon completion of the expansion, Greektown will have approximately 2,600 slot machines.

In addition, the hotel will reportedly feature a 1,100 seat live theater.

July 2008 Detroit Casino Revenues

MGM Grand Detroit: $50.5 million in July 2008, up 23.2% from July 2007, up 19.5% January-July 2008 versus 2007.

MotorCity: $39.6 million in July 2008, down 7.26% from July 2007, down 1.6% January-July 2008 versus 2007.

Greektown: $25.4 million in July 2008, down 13.2% from July 2007, down 6.68% January-July 2008 versus 2007.

Greektown's New Gaming Space To Open August 29

Greektown Casino's new gaming space is scheduled to be completed and open for business on August 29. The new gaming space is part of the renovation of the temporary casino, which is being converted into a permanent casino, together with the construction of the attached garage, which has been open since November, 2007, and the casino hotel, which is scheduled to open in February, 2009.

Greektown Targets September 2009 For Emergence From Bankruptcy

Greektown casino expects to emerge from bankruptcy on September 1, 2009.

Greektown's $150M Loan Approved

The Michigan Gaming Control Board approved Greektown Casino's $150 million construction loan for the completion of the permanent hotel and casino expansion.

The loan has already been approved by the United States Bankruptcy Court.

The loan will allow for the completion of the current construction projects.

Bankruptcy Court Approves Second Part of Greektown $150M Loan

The United States Bankruptcy Court overseeing the bankruptcy of Greektown Casino is approving the second part of the $150 million loan package which will allow for completion of the casino's expansion and permanent hotel.

The loan still awaits approval from the Michigan Gaming Control Board.

Greektown Casino Lays Off 89 Employees; More To Come

Greektown casino laid off 89 employees as part of $7.8 million in cuts after its bankruptcy filing. Most of the employees affected worked at the table games.

Man Attempts Suicide At Greektown Casino

In one of those semi-regular reminders of the darker side of casinos, a man distraught at losing money at Greektown Casino, and also distraught at breaking up with his lover, climbed a crane outside of the casino in an apparent suicide attempt, and had to be coaxed down by police negotiators.

Greektown Casino Expects To Lose $15.6 Million In 2008

Greektown Casino expects to lose approximately $15.6 million in 2008, due to expected expenses of $20 million relating to its bankruptcy filing last week.

The casino's bankruptcy filing was, in part, due to a condition of its lender, Merrill Lynch, which would not extend further credit without the protection of a bankruptcy filing.

The casino has approximately $560 million in debt to lenders, bondholders, and former owners Ted and Maria Gatzaros.

March Detroit Casino Revenues

Revenues for March 2008 at MGM Grand were up 5.94% over March 2007, to $50.2 million. This compared to decreases of 3.7% at MotorCity Casino compared to March 2007, with March 2008 revenues of $41.3 million. Revenues at at Greektown Casino were down 3.58% to $33.2 million in March 2008.

MGM Grand Revenues Up, Employees Laid Off

In some interesting news which appears to highlight the enormous expectations MGM Grand had for its Detroit location, the casino laid off "under 100" employees between January and early April, 2008, even as its revenues continued to increase.

In fact, revenues for March 2008 at MGM Grand were up 5.94% over March 2007, to $50.2 million. This compared to decreases of 3.7% at MotorCity Casino compared to March 2007, with March 2008 revenues of $41.3 million. Revenues at at Greektown Casino were down 3.58% to $33.2 million in March 2008. Greektown appears to be relegated to third place, even with its new parking structure.

The Las Vegas executives at MGM Grand must have had enormously high expectations for non-gaming revenues from the Detroit property, if revenue increases of 5.94% lead to 100 layoffs. At some point, I will crunch the numbers to see if I am correct on my theory: Although MGM Grand Detroit is first in absolute revenues, I believe it may be last in terms of revenues as a percentage of overall capital investment to open a permanent casino.

The layoffs were identified as coming in the casino's "food and beverage" employee base. This just solidifies for me that MGM Grand vastly overestimated its expected occupancy at the hotel portion of the new casino resort.

Windsor Casino Being Renamed Effective June 19

As of June 19, 2008, the Windsor Casino will be renamed Caesars Windsor. Caesars Windsor will also open a 5,000 seat venue, named the Colosseum.

Scheduled performers at the Colosseum in Summer 2008 include: Billy Joel, Patti LaBelle, Michael Bolton, Ringo Starr and His All Starr Band, Reba McEntire and Donna Summer.

Caesars Windsor will feature a new 369 room hotel tower, the Augustus Tower. The adorably named Augustus Tower will complement the casino's existing 389 hotel rooms, for a total capacity of 758 hotel rooms. It will also feature 100,000 square feet of convention space.

February 2008 Revenues for Detroit Casinos

MGM Grand Detroit: $47 million in February 2008, up 27.9% from February 2007.

MotorCity: $38.3 million in February 2008, down 2.25% from February 2007.

Greektown: $27 million in February 2008, down 6.89% from February 2007.

It should be noted that 2008 is a leap year, so revenues would be up 3.5% even if daily revenue remained constant. Put another way, MotorCity was actually down closer to 5% on a comparable day basis, and Greektown was down closer to 10%. Not a good showing at all.

Soaring Eagle and Saganing Eagle's Landing Allow Saginaw Tribe To Make Payments To Members

Although the actual numbers are not confirmed, it appears that the successful operations of the Soaring Eagle Casino, as well as the recently-opened Saganing Eagle's Landing Casino are allowing the Saginaw Chippewa Tribe to make annual payments to its members of between $25,000 and $70,000 per member, as well as an annual payment of $8,000 to a family for each child in the family. Whether that number will increase will likely depend upon the success of the expansion plans at Soaring Eagle Casino, in Mt. Pleasant, Michigan, and the succesful operations at Saganing Eagle's Landing Casino, near Standish, Michigan.

On Again, Off Again Casino Legislation Is Back On Again

The on again, off again legislation to authorize the opening of two new casinos, in Port Huron and Romulus, Michigan, in accordance with a compact entered into by former Michigan Governor John Engler, is apparently back on again.

The bill still awaits action on the entire House floor.

Second Media Report That Firekeepers Casino Will Not Begin Construction Until 2009

Although the Nottawaseppi Huron Band has consistently stated that the construction of the new Firekeepers Casino will begin in the Spring of 2008, with an opening in 2009, we now have the second media report that construction will not begin until 2009. This new report follows another report that construction has been delayed.

Soaring Eagle Casino's Housekeeping Employees Turn Down Teamsters By Wide Margin

The housekeeping employees at the Soaring Eagle Casino voted against representation by the Teamsters union by a wide margin. The vote was 192-88 against Teamsters representation. The election, held on December 21, 2007, was held after the National Labor Relations Board ruled that it had jurisdiction over organizing efforts at Native American casinos.

Firekeepers Casino Construction Delayed Until 2009?

Prior media reports have indicated that construction of the new $270 million Firekeepers Casino in Emmett Township (between Battle Creek and Marshall, Michigan) will begin in spring 2008, with an opening in 2009.

However, a new report seems to indicate that construction has been delayed until 2009, which would indicate the casino would not open until 2010.

December 2007 Detroit Casino Revenues Reported

The Michigan Gaming Control Board has released the December 2007 results for the three Detroit casinos, MGM Grand, MotorCity, and Greektown. The full year 2007 results were also released.

For December 2007, MGM Grand Detroit's revenues were $46,746,114, which is down approximately $40,000 from November 2007. Year-over-year, the December 2007 revenues were up $4,000,000 from December 2006. For the full year, MGM Grand Detroit's revenues were $513,480,980, up $24,000,000 from 2006.

MotorCity's revenues for December 2007 were $39,522,591, which was up approximately $1,200,000 from November 2007. The December 2007 revenues were down $3,500,000 from December 2006. For the full year, MotorCity's revenues were $415,214,415, up $11,500,000 from 2006.

Greektown, which is the only Detroit casino not to have opened its hotel yet, revenues for December 2007 were $27,375,747, which was down approximately $750,000 from November 2007. December 2007's revenues were down $2,700,000 from December 2006. Full year revenues for 2007 were down $3,700,000 versus 2006 for Greektown.

These revenue increases was good for a 2.4% increase over 2006 revenues, which is the slowest since the Detroit casinos opened.

These are troubling numbers for Greektown and MotorCity.

For MotorCity, the trouble is that the casino has opened new gaming areas and its hotel, yet revenues for December 2007 were substantially lower than December 2006.

The trouble for Greektown is more substantial. Greektown has long blamed its third-place revenue finishes on the casino's lack of abundant free parking close to the casino. Yet, even after November 15, 2007, when Greektown opened its 2,900 space free parking structure connected to the casino, Greektown's revenues continue to lag.

December Revenues Not Yet Reported For Detroit Casinos

The monthly revenue reports for the three Detroit casinos (MGM Grand Detroit, Greektown, and MotorCity) are generally released at the monthly meeting of the Michigan Gaming Control Board. However, there is no meeting scheduled for January, 2008. The release of the December monthly revenue report will provide interesting information regarding the impact of the first full month of revenues after the opening of the new parking structure at Greektown and the hotel at MotorCity Casino.

Stay tuned. . .

Saganing Eagle's Landing To Add Subway Franchise

Prior reports have intimated that there would be no food service at the Saganing Eagle's Landing Casino near Standish, Michigan. However, current reports indicate that a Subway franchise will soon be opening at the newly-opened casino.

Contrary To Prior Media Reports, Saganing Eagle's Landing Opens On December 31, 2007

There was no fanfare, but the Saganing Eagle's Landing Casino near Standish, Michigan, opened on December 31, 2007. The grand opening was directly contrary to several media reports that the opening would not occur until mid-February, 2008. Curiously, the casino's website currently still indicates that the casino is "Opening Soon."

After Saganing Eagle's Landing, Next New Casino Is FireKeepers Casino Between Marshall And Battle Creek

While gamblers await the delayed opening of Saganing Eagle's Landing Casino, near Standish, Michigan, the focus shifts to the next new casino in Michigan, the FireKeepers Casino, which will be constructed in Emmett Township, Michigan, located between Battle Creek and Marshall, near 11 Mile Road and I-94 Interstate. The casino is scheduled to open in early to mid 2009.

Firekeepers Casino will be owned by the Nottawaseppi Huron Band of Potowatomi Indians, and will be managed by Full House Resorts, Inc.

The casino is reported to be a $270 million development, with a 230,000 square foot casino, featuring between 2000 and 2500 slot machines, and between 44 and 110 table games, and a 2,000 space covered parking garage. The casino is reportedly going to create 700 construction jobs and 2500 full time jobs. The casino is being built under the direction of construction manager Clark Construction Company.

Additional Reports Substantiate Mid-February Grand Opening For Standish's Saganing Eagle's Landing Casino

Further press reports confirm that mid-February 2008 should be the grand opening date of the new Saganing Eagle's Landing near Standish, Michigan. The 32,000 square foot casino, which will feature approximately 700 slot machines, 40 table games, and create approximately 300 permanent jobs, was previously reported to be opening in late December, 2007.

The exterior of the casino is reportedly complete, but interior work continues. Workers are reportedly training at the Soaring Eagle Casino, also owned and operated by the Saginaw Chippewa Tribe.

The two month delay is not unusual, but is somewhat surprising, considering the Tribe's recently re-elected chief reiterated as recently as early December that the casino was on track for a December, 2007 grand opening.

The casino is constructed in a rural area, which presented some development difficulties. The site did not have natural gas service, municipal water or sewage disposal. In addition, the casino's architect reported that the area's power lines didn't have the capacity to deliver enough electricity for the casino.