For those who think that casinos are a sure fire way to riches, places where money grows on trees for operators and investors, recent events should prove otherwise. The Trump casino operations have already managed to find themselves twice in bankruptcy courts, and GB Holdings is also in bankruptcy court despite its share (now a minority 41% share) of the Sands Hotel & Casino in Atlantic City. A deal that transferred control to an affiliate company of billionaire investor Carl Icahn is being challenged, but in the meantime negotiations continue to sell the property.

Hyatt Hotels is planning to sell its Grand Victoria Casino & Hotel in Rising Sun, Indiana. There is no question of bankruptcy, just increased competition from a nearby riverboat casino. Penn National Gaming is to replace its current riverboat of 74,300 sq ft with one measuring 250,000 sq ft by 2008. The Argosy Casino in Lawrenceburg is already the state’s busiest and highest revenue-making riverboat – 361,000 visitors and US$41.5 million in revenue last month.

Grand Victoria Casino has almost 1,500 gaming machines ranging from penny slots to US$25. It also has a wide variety of table games, including craps, Spanish 21 and Caribbean Stud. Around 1,100 people work in the hotel and casino but the resort management considers that the sale process will not have an impact on them. The Rising Sun Mayor is hopeful that the local community will also not be adversely affected by the proposed sale. The Hyatt Grand Victoria, with its 40,000 sq ft riverboat casino on the Ohio River, has been open 10 years and is a major employer in the area. (E-08.17.06)

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