It was in the late 1970s when Resorts Casino Hotel opened doors as the first land-based casino in Atlantic City, in New Jersey, and on the East Coast as a whole. The city remained the sole casino destination in the region for over three decades, thriving and luring gambling customers and fashionable celebrities at casino premises.
However, more and more commercial gambling venues popped up in New Jersey’s neighboring states in the 2000s, which made things substantially more difficult for Atlantic City. Hit by increasing competition, the city and its casinos gradually lost their lure to patrons, which affected revenue and profitability.
It came to the point that five of Atlantic City’s twelve casinos closed doors in a period of two and a half years. Atlantic Club was the first to be shuttered in January 2014, followed by the Showboat in August 2014 and Revel and Trump Plaza in September 2016. The city hoped that it had closed a dark chapter and would be able to revive its former shine and glory. Another dark shadow was cast upon its hopes with the closure of Trump Taj Mahal, yet another Boardwalk jewel.
And although the once-popular gambling resort is too far from its previous luster, it has indeed been showing signs of revitalization. The latest revenue figures posted by the New Jersey Division of Gaming Enforcement proved that there has been some upward movement in the city’s revenue from casino gambling.
There are seven operational casinos in Atlantic City at present and those generated revenue of $1.6 billion during the six months ended June 30, 2017, up 7.9% year-on-year. Here it is important to note that there were eight casinos in the city during the same six-month period of 2016, as Trump Taj Mahal closed doors in early October 2016.
The apparent stabilization of Atlantic City’s casino industry spurred investment interest in the city. Trump Taj Mahal was put up for sale shortly after it closed doors and many believed that it would take time before anyone expressed interest in buying the shuttered property. However, a buyer was found quite quickly, and a buyer that surprised many with its Atlantic City investment appetites.
Hard Rock International, the owner of several casinos across Florida as well as of a chain of café shops around the world, acquired the closed gambling venue, once dubbed the eighth wonder of the world, and announced plans to invest more than $500 million on demolishing Trump Taj Mahal’s iconic minarets and other symbols of its exoticism with features that will, in future, distinguish it as a typical Hard Rock property.
The former Revel, now TEN, is also planned to be reopened as a casino resort. However, given the fact that state officials and the venue’s current owner – Glenn Straub – have been locked in unstoppable bickering about whether the latter should obtain a casino license or not, it would not be a surprise if Hard Rock’s casino opens doors first. The gambling venue is slated to be launched next summer, while TEN missed yet another re-opening deadline back in June.
However, what is important here is the fact that Atlantic City seems to be ready to leave the past in the past and to enter a new stage in its development as a casino hub. It is true that it will be facing strong competition from casinos in New Jersey’s neighboring states. But it it has one significant advantage – while other locations are yet to build reputation of casino spots, Atlantic City has developed such reputation. With the proper investment and revitalization tools, the city could only build upon that reputation.
