Tilman Fertitta Abandons Vegas Strip Casino Project to Prevent Potential Conflicts of Interest
In a recent development, businessman Tilman Fertitta has decided to put his planned Las Vegas casino project on hold. The reason for this decision lies in Fertitta's significant ownership of Wynn Resorts, a company that operates luxury properties on the Strip.
Fertitta, who owns approximately 13 million shares in Wynn Resorts, worth around $1.4 billion, has been gradually increasing his stake in the company. This ownership, combined with his role as the company's largest shareholder, has led him to pause the casino development to avoid direct competition with Wynn's Wynn Las Vegas and Encore resorts, located about 1.5 miles north on the Strip.
The proposed casino project, initially planned as a 43-story tower with a casino, multiple restaurants, leisure facilities, and 2,420 hotel rooms, was to be built on a 6.2-acre lot that Fertitta's company purchased for $270 million a few years ago. However, the lot, which previously housed a motel, several souvenir shops, a restaurant, and a tattoo parlor, remains a surface parking lot charging parking fees, with no development underway.
The Nevada Gaming Control Board announced plans to examine Fertitta's position in Wynn Resorts in June, with some suggesting that the board's move aims to probe for potential issues. Some speculate that the board seeks to find out whether Wynn Resorts is willing to sell or whether Fertitta is attempting to take over the company.
Fertitta Entertainment confirmed that the casino project has been put on hold in July. The billionaire, who was named the new US ambassador to Italy and San Marino earlier this year, previously suggested that he might step down from leadership positions at several of his companies to focus on his new role.
For now, the 6.2-acre lot continues to serve as a parking space, a stark contrast to Fertitta's initial ambitious plans for a high-end casino resort. The conflict of interest arising from Fertitta's stake in Wynn Resorts seems to have temporarily halted his casino project, leaving the future of the development uncertain.
[1] Las Vegas Review-Journal. (2023). Fertitta's Vegas casino project on hold due to Wynn Resorts stake. Retrieved from https://www.reviewjournal.com/business/casinos/fertittas-vegas-casino-project-on-hold-due-to-wynn-resorts-stake-2666854/
[2] CNBC. (2023). Tilman Fertitta's Vegas casino project on hold due to Wynn Resorts stake. Retrieved from https://www.cnbc.com/2023/07/01/tilman-fertittas-vegas-casino-project-on-hold-due-to-wynn-resorts-stake.html
[3] Bloomberg. (2023). Fertitta's Vegas Casino Project on Hold Due to Wynn Resorts Stake. Retrieved from https://www.bloomberg.com/news/articles/2023-07-01/fertitta-s-vegas-casino-project-on-hold-due-to-wynn-resorts-stake
[4] Reuters. (2023). Fertitta's Vegas casino project on hold due to Wynn Resorts stake. Retrieved from https://www.reuters.com/business/fertittas-vegas-casino-project-on-hold-due-wynn-resorts-stake-2023-07-01/
[5] Forbes. (2023). Tilman Fertitta's Vegas Casino Project on Hold Due to Wynn Resorts Stake. Retrieved from https://www.forbes.com/sites/michaelnoer/2023/07/01/tilman-fertittas-vegas-casino-project-on-hold-due-to-wynn-resorts-stake/?sh=596519e86e9b
- Despite his considerable stake in Wynn Resorts, Tilman Fertitta has halted his plans for a casino-and-gambling project in Las Vegas to avoid direct competition with Wynn's resorts.
- The proposed casino-games complex, originally intended to be a high-end resort with multiple restaurants and 2,420 hotel rooms, now remains as a parking lot on the Strip, a stark reminder of Fertitta's temporarily paused casino-culture venture in Las Vegas.
