It was announced recently that MGM Resorts International casino is to be built in Springfield, Massachusetts and is planned to open in 2017. The project will cost the popular gaming company as much as $800 million. What is more, one third of the clients it will attract are expected to be from Connecticut. As previously reported, Mohegan Sun could not win the bids for opening a casino venue in Massachusetts. This is why the tribal operator, which is currently holding one of the two casinos that function within the territory of Connecticut, plans to open yet another one there. Thus, it will be able to contend with the new venues that will be based in the neighboring state.
The idea has been brought to discussion after the residents of Massachusetts voted in favor of the casino law last week. Mohegan tribe chairman Kevin Brown stated that it would be foolish not to take due measures, so as to prevent their facility from losing Connecticut-based gamblers. Local state Representative Peggy Sayers proposed an old building, once used for betting purposes, as the potential location of the new casino. It is situated near the Bradley International Airport, not far from Springfield. If the venue is positioned there, it will certainly attract customers from Massachusetts.
And speaking of Massachusetts, Mohegan Sun was the first company to show interest in building a casino facility there four years before the Expanded Gaming Act was signed into law by Governor Deval Patrick back in 2011. And despite the fact that the tribal operator kept its position firm for seven years, eventually it lost the bids for a casino license to Nevada-based developer Wynn Resorts.
The first Mohegan Sun venue opened doors back in 1996. As already mentioned, it was and still is one of the two licensed casino operators in Connecticut. The second one is Foxwoods, established in 1992. 20% of Mohegan’s as well as 32% of Foxwoods’ regulars are from Massachusetts. If no proper measures are taken, those figures will certainly decrease significantly. What is more, analyses point that the current financial performance of both casinos is not as glamorous as it previously was. This is why Mohegan and Foxwoods are looking for ways to diversify their non-gambling services so as to attract more customers and not to lose their current ones.
It is important to note that it might be quite difficult for Mohegan to open a new casino in Connecticut. This is due to the fact that most probably Native American tribes that own venues there will need to be asked for approval. What is more, the local legislative body as well as the governor will also have to be involved.
Currently, Mohegan is also striving for a New York casino project that might cost the company as much as $550 million. It is to be located in the Hudson Valley region.
