CI_Calendar_0809_2nd 8/4/08 12:48 pm Page 16
ATLANTIC CITY by Sharon Harris
hold, Revel Entertainment’s multi billion casino is under construction.
New properties have already opened. Harrah’s 960-room Waterfront hotel tower debuted
A
tlantic City is celebrating the 30th anniversary of its first legal casino. The this past March, Borgata’s 800-room Water Club just opened in June, and the 900-room
experiment that was designed to save the region from economic decline and Chairman’s Tower at Trump Taj Mahal will open by summer’s end.
demographic erosion has succeeded. What began as an economic engine, earn- Non-gaming hotels along the famed Atlantic City Boardwalk have also appeared. The
ing $130 million in 1978, has evolved into the key industry of the region, gener- non-gaming luxury Chelsea opened in mid-July; chain corporations like Marriott have also
ating an average of $5 billion a year and employing more than 50,000 people, rehabilitated older properties.
both directly in the casinos and indirectly in suppliers and auxiliary community services. To complement gaming and compete with other jurisdictions, retail, entertainment and
Economically, there is little doubt that gaming saved Atlantic City’s fading seashore star in dining have received great emphasis. The Walk outlet center spans multiple city blocks, and
the 1970s. Accessible, rapid, affordable air travel changed the dynamics of the East Coast may double in size in the future. Millions are being spent on refacing Boardwalk store
vacation, and Atlantic City found itself competing against more glamorous holiday locations. facades. Restaurants with iconic chefs appear almost every month.
Since a voter referendum legalized gaming in 1976, and the opening of Resorts The Tropicana faced serious challenges since its acquisition in early 2007. New owner
International as the first casino in May 1978, famous names have made their mark on the Columbia Sussex lost its gaming license within a year of assuming operations. The casino is
island resort town. Steve Wynn, Donald Trump, the Hiltons, Merv Griffin and others have all now under the management of a trustee, and continues to improve. The Tropicana will go
had some involvement. Looking ahead, famed singer Jimmy Buffett will enter the market by up for sale, and multiple bidders have expressed interest.
acquiring the Trump Marina and renaming it the Margaritaville in honor of his giant hit. The employment scenario has also changed. Since 2007, several properties have union-
However, after 30 years of continuously rising revenues and employment, Atlantic City ized after intense campaigning. Dealers voted to organize under union rules, which will
faced numerous challenges. For the first time, annual casino revenues dipped. The 2007 affect their future labor contracts.
gross revenue totaled $4.92 billion, down 5.7 percent from $5.2 billion in 2006.
Analysts cite several reasons. Growing competition from neighboring Pennsylvania slot
parlors, in suburban Philadelphia and elsewhere in the eastern half of the state, attracted
many players who preferred local slot machines to traveling up to 150 miles to Atlantic City.
A recent smoking ban in all public buildings in New Jersey excluded portions of the
casino floor. However, tighter new legislation will totally bar smoking except for specially
ventilated rooms. While nearby Delaware is also smoke-free, Pennsylvania has yet to enact a
casino smoking prohibition.
The shrinking leisure dollar has hurt millions of Americans. Rising gasoline prices have
added to the customer slowdown. While mass transit, including bus, rail and air, down to
Atlantic City from New York, Philadelphia and the southern part of the US, has greatly
improved, their prices have also increased.
Several casinos have developed a plan to underwrite luxury train service from New York
City to Atlantic City, making few stops. Also, some have suggested a ferry between New York
City and Atlantic City.
However, there are also numerous positive signs for the Atlantic City market. The con-
struction cranes continue to hum. While some projects, like Pinnacle, have been put on
OctaSupplies
Octavian supplies world-leading casino and amusement equipment through which
game content and related services are delivered easily and attractively to customers
OctaSupplies
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28