Something Old, Something New, Something Broken, Something Blue: Part 2

Some Things Are Broken

2015 was a bad year for a few places.  We’ll do our best to be kind:

• Isle of Capri closed its Natchez, Mississippi casino in November. 
• Harrah’s Louisiana Downs is broken. After a few years of significant drops in gaming revenues, 2015 took another dive with a whopping 25.9% drop. Our visits to the racetrack and casino found the main restaurant operating limited hours, the facility looking shabby and poor crowds at the races and casino. This place needs a new owner.
• The Tunica Roadhouse was even more disappointing. Our room had dresser drawers that wouldn’t close or couldn’t close, the window curtain was falling down, the floor had a three-foot round stain (hopefully not bullet wound related). That’s for starters. We arrived at about 9:00 pm, no food service. Had a discussion with the hotel registration person who said she would contact the manager. No call. 
• I think greyhound racing is broken. Each visit to a greyhound racino leaves me feeing worse than the last. The dogs just look sad, perhaps even mistreated, although I believe the dog owners and race track owners and operators do care and do their best to care for the animals. Most greyhound racino owners and operators want to de-couple, allow the casino to stay, get rid of the dogs.

Some Things Blue

These things are not yet or not quite broken, we'll call them blue.

• Tunica, Mississippi casinos are blue. Nearly every month in the past two years the gaming revenue numbers for the Mississippi River Counties are down, nearly every month the Gulf Coast Counties revenues are up. Tunica area has 9 of the 16R River Counties Casinos and carries the bulk of the downside. Billions of dollars have been spent on the Mississippi Gulf Coast Counties plus the Louisiana Gulf Coast. None has been invested in new facilities in Tunica. In addition, the Southland Park Racetrack and Casino in West Memphis Arkansas 40 miles north of Tunica has expanded its casino facility and has grown revenues tremendously over the past two years. Tunica is not broken, but it is blue.
• Harrah’s New Orleans is blue with 2015 gaming revenues down $33.8 million, 9.88% for the year due largely, we believe, to the smoking ban in New Orleans. It’s still a great facility and still generated over $300,000,000 in gaming revenues in 2015, but it is unfortunately blue.
• A major source of Louisiana casino and racino revenues comes from persons working in the oil sector. The Texas and Louisiana oil sector is blue.  Low oil prices have caused a number of problems for this area and it likely will affect gaming revenues more in 2016 than 2015.  We will provide a detailed note on this later this quarter, but suffice to say, thousands of jobs have been lost plus hundreds of companies have closed their doors.  Hundreds of loans to these companies are in default. A major source of gaming revenues from oil sector employees has likely been lost. These potential gaming revenues from oil sector employees could seriously damage casinos and racinos in the Louisiana markets.

Something Old, Something New, Something Broken, Something Blue: Part 1

Something Old, Something New

Good News! Something New is the largest category. Bad News! There is a lot of Old, Broken and Blue News too!

Our notes and comments are based on our ongoing research including annual visits to each of the 74 casinos/racinos in the nine southeastern states.  Some of the revenue numbers are good, a few are very good.  Some of the revenue numbers are not so good, some are bad and very bad.  So, here goes:

Some Things Old – After visiting casinos and racinos for the past three years, first-hand views tell us a lot. Yogi Berra summed it up well: “You can observe a lot by just watching.”  What is becoming old at a number of facilities is the same old slot machines with worn gaming floor carpets, grumpy looking employees, being greeted with a grunt, table dealers with an empty table standing with their arms crossed…nothing cheerful. This gets old to patrons and it shows on their faces too. Then there’s the food: nothing has changed except the prices, and yes, the prices are up. We’ll get into a few good examples of food and drinks pricing and quality along with some sketchy rooms in the Broken and Blue sections of this note. Far too many of the casinos and racinos we visited last year gave the appearance of Some Things Old. 

Some Things New – We’re delighted to point out the New. Many of the older facilities had a cheerful staff, great crowds enjoying their visit to the gaming floors, restaurants and hotels. In a number of cases this was an upgrade. In addition to the operations displaying a good attitude toward the facility and patrons, the number and quality of new facilities and additions was a good surprise. New facilities and major expansions in 2015 include:

• Harrah’s Cherokee Valley River Casino Hotel in Murphy, North Carolina which opened in September. The complex includes a 300-room hotel, five food areas, and a gaming floor with 1,000 slots and 100 table games. Murphy, North Carolina is in the western N.C. area near the Great Smokey Mountains National Park.
• The Scarlet Pearl in D’Iberville, Mississippi opened for business in December. This facility includes a 300-room hotel including suites and penthouse rooms, six food and bar areas, a gaming area with 1,300 slots and 45 table games and a poker room. It features a 36-hole miniature gold the grounds. The complex sits on the waterfront in the Biloxi Back Bay area.
• The Island View Casino Resort in Gulfport, Mississippi added an 18 story beach front tower hotel which opened in April. The new addition includes 405 rooms, a spa, gulf-front pool area and food areas including a beach grill and other casual dining.  
• The Silver Slipper Casino and Hotel at Bay St. Louis, Mississippi opened its new 90-room Gulf front hotel in May.
• Beau Rivage owners added to their complex in Biloxi, Mississippi with a 5,000 seat MGM baseball park in June. The new facility directly across the boulevard from Beau Rivage, is home to the Biloxi Shuckers, a AA Southern League team.
• Boomtown, New Orleans, Louisiana opened their new 120-room hotel in June adjacent to their riverboat casino facility.
• Arkansas – Oaklawn Park in Hot Springs and Southland Park each expanded its gaming facility to include new food areas along with table games and poker rooms in early 2015.
• The Seminole Tribe of Florida Immokalee facility opened its new 90-room hotel and expanded the food and gaming areas in mid-2015.

We also saw significant changes in several of the gaming floor make-up, including new slots and slot arrangements, more table games and reconfigurations of slots and tables on gaming floors.

Some things new had a very good year in Southeastern gaming!

Top Ten Casinos and Racinos in the Southeast: Part 2

5. Harrah’s Cherokee Casino Resort, Cherokee, North Carolina

This was our 4^th place pick for 2014.  We still love the magnificent complex with its beautiful architecture and campus-like grounds. It’s a great atmosphere. Plus, the facility is imbued with the rich Cherokee history throughout their amenities on site and in the Cherokee area. The hotel and meeting room areas provide Cherokee art work paintings and sculptures throughout.  The hotel has 1,108 rooms and a top-rated spa. The gaming area houses over 3,300 slots, 100+ table games including an Asian gaming area, and a 20-table poker room. The 10 restaurant and food and bar areas include Ruth Chris Steak House, Brie Restaurant and a Noodle Bar restaurant along with bar and lounge areas adjacent to the gaming floor. The complex includes a retail store area and 3,000 seat event area hosting top-name entertainment. This magnificent complex is all seated on a beautiful campus-style land with a river flowing through. The Cherokee area provides numerous activities including brook trout fishing and white water rafting and offers fun for all ages.

4. Island View Casino Resort, Gulfport, Mississippi

Island View has jumped up to number 4 this year from 8^th place in 2014. The privately owned complex opened their beautiful 18-story beachfront tower hotel with an additional 405 rooms in April 2015.  The new structure includes a new Gulf-front pool area, restaurant and bar. This brings the number of Island View rooms to 976, and 10 food service areas including their award winning Carter Green Steakhouse featuring steaks and Gulf Coast Seafood, Island View Buffet (one of the best of the 74 casinos and racinos we visited), and the new Beach Grill. The casino area has 2,000 slots and 45 table games with extensive choices of games. They provide top area entertainment at their 550 seat “View” showroom and at their “Sunset Bar and Deck.”

3. TIE - Seminole Hard Rock Hotel and Casino, Hollywood, Florida/Seminole Hard Rock Hotel and Casino, Tampa, Florida

Hard Rock, Hollywood – up from number 5 in 2014. This impressive casino and hotel complex includes a 4.5 acre water park, 400-room AAA 4-diamond hotel and spa, 130,000 square feet of gaming area.  The gaming space housed 2,200 slots, 135 tables and a 40+ table poker room.  The hotel and casino area is just the beginning. There are numerous restaurants and lounges within the complex. Their entertainment district includes additional food and entertainment areas plus a Hard Rock Live arena which provides top entertainment. The complex is owned by the Seminole Tribe of Florida and operated by Hard Rock International, a wholly-owned subsidiary of the Seminole Tribe of Florida.

Seminole Hard Rock Hotel and Casino, Tampa, Florida – Came in 3^rd on our Top Ten list last year. This complex has the largest gaming area in the southeast with 4,500 slots, over 200 table games and a world-class poker room. Their 214 room hotel and spa has achieved a AAA Four Diamond rating each year for the past 9 years. Eight restaurants include the Seminoles’ signature Council Oaks Restaurant, Hard Rock Café, their award-winning buffet and a large sushi area. This is topped off with five lounges located throughout the gaming areas. Other amenities include live entertainment at the Hard Rock Café, Council Oaks Bar and in the lounge areas. This too is owned by the Seminole Tribe of Florida and operated by Hard Rock, International.

2. The Golden Nugget, Lake Charles, Louisiana

When an entity is established that positively and significantly affects markets in the local area, the state and even the region, it has to be considered for one of the top spots. This grand complex features a 740-room hotel including luxury suites with private balconies, coupled with a world-class spa and fitness center, an upper-end retail shopping area, and a large outdoor pool area with a lazy-river. It also includes a 30,000 square foot meeting space and event center entertainment. The grounds surrounding the hotel and casino complex have a 7,000 yard championship golf course, tennis courts and marina.  The Landry restaurants areas include their Saltgrass Steak House, Vic & Anthony’s Steakhouse, Landry’s Seafood, the Grotto Restaurant, Lillie’s Asian Cuisine, Cadillac Bar, the Claim Jumper, the Buffet and the Blur Martini.  The gaming area houses 1,600 slots, 72 table games, a 6-table poker room plus a high-limit area with 13 blackjack tables plus roulette and slots. We featured the Golden Nugget, Lake Charles prior to its opening on our blog in December 2014. The 2015 numbers are impressive with $240 + million in gaming revenues, a 139% jump from 2014 to 2015. What a great 2015 and what a fantastic facility!

1. The MGM Beau Rivage, Biloxi, Mississippi

Our #1 pick the second year in a row is an amazing facility with gorgeous rooms, excellent restaurants, a large casino area with a 16-table poker room hosting significant tournaments, and entertainment facilities and calendar of events among the best in the southeast. Their pool area overlooking the Gulf of Mexico is our favorite in the Southeast. To top it off, they added the new MGM park in mid-2015 – a 5,000 seat facility located directly across the street that hosts the Biloxi Shuckers AA baseball team plus a number of school and university baseball tournaments each year. A great addition for MGM and Biloxi.

Top Ten Casinos and Racinos in the Southeast: Part 1

We visited all 74 casinos and racinos in the southeastern states during calendar year 2015.  Our Top Ten listing is again based on our observations, the patrons, food and beverage areas and service, mood, professional appearance actions of the casino staff members, and the operations from a patron point of view. Overall, it is just how did we feel about the place, the excitement factor, the size and excitement of the crowd factor – were they enjoying their visit, the entertainment factor, the “will I, and will the other patrons come back here” factor. 

10. L’Auberge, Baton Rouge, Louisiana

In spite of increased competition from the Lake Charles Region, this complex had another outstanding year with gaming revenues up 19% and market share up 42% over 2014. The facility’s fabulous architecture and structure and Mississippi River shore location combine to give it a huge “wow” factor. The 205-story hotel has a top floor open pool area and fitness center overlooking fabulous sunsets on the Mississippi River. They have a huge gaming area, 5 restaurants and live entertainment in their music bar and at their 1,400 seat entertainment center, “Live.”

9. Gulfstream Park, Hallandale/Fort Lauderdale, Florida

We featured Gulfstream Park here last year. This is one of the best thoroughbred racetrack in the United States coupled with a great little casino.  Each year this one gets better and more exciting. While there are no table games, the 2-story casino has 850 slots and numerous simulcast areas. The fabulous paddock and racetrack design is woven into an exceptional and significant upper-end retail shopping area with more than 20 restaurants and bars. It’s a great day of south Florida entertainment. 

8. Margaritaville Resort and Casino, Bossier City, Louisiana

We first featured this facility on our blog in 2014. The complex has been a winner since its opening in 2013, and last year the success continued with gaming revenues up 12%. The complex includes a hotel, large spa and gaming floor housing 1,300 slots and 46 table games all integrating the Margaritaville theme. Their second floor open-air pool bar area overlooking the Red River with loads of room for live entertainment. The complex also includes a 900-seat Performance Hall featuring an outstanding calendar of top named entertainment.

7. Oaklawn Racetrack and Casino, Hot Springs, Arkansas

Oaklawn is new to our Top Ten list, although it has been one of the premier thoroughbred racetracks in the US since 1904. Located in Hot Springs National Park, it is best known as the home of the $1 Million Arkansas Derby. Trainers, jockeys and betters alike know that Oaklawn host a disproportionate number of champions and horses of the year including one of the greatest 3 year olds to race at Oaklawn in 2015, Triple Crown Winner American Pharoah. In addition to this great racetrack facility, Oaklawn houses a casino with a variety of gaming terminals. The gaming area was expanded by 50% in 2015 and now includes a high limits area as well as hundreds of new games, live blackjack and poker plus video poker, roulette and craps. The food services now include the new Silks Bar and Pop’s Lounge along with several other eating areas and bars. It is a great place to visit, even better if it’s a race day.

6. The IP Casino Resort and Spa, Biloxi, Mississippi

The IP complex is new to our top ten list. It’s owned and operated by Boyd Gaming (BYD), one of the top rated U.S. casino and resort companies. The IP Hotel and Spa is a winner of the AAA Four-Diamond award. The 32-story tower facility has over 1,000 hotel rooms and suites and a roof-top pool and lounge available to hotel guests. The gaming area houses 1,900 slots, 60+ table games and a 14-table non-smoking poker room. Their restaurants include two AAA Four-Diamond award winners Thirty-Two with prime steaks and seafood plus Tien with upscale Asian cuisine. Their Costa Cucina Italian restaurant has earned the AAA Three-Diamond award. IP also provides a 1,400-seat theater offering regular headline entertainment and 73,000 square feet of meeting and conference space. We’re pleased to add the IP to our Top Ten 2015 list.  

Next week, we'll reveal our top 5 for 2015, stay tuned! 

What’s Hot, What’s Not: Our Louisiana – Mississippi Casino and Racino Tour

Our travels took us to 22 casinos and 2 racinos in the two states last month. We visited Bossier City-Shreveport, Lake Charles, Central Louisiana and New Orleans facilities in Louisiana plus a number of facilities in the Bay St. Louie and Biloxi, Mississippi areas.

What’s Hot – New Hotel Rooms, 1435 new rooms since late December 2014. 

• Golden Nuggets, Lake Charles, Louisiana = 740

• Boomtown, Harvey/New Orleans area…. = 150

• Island View, Gulfport/Biloxi, Mississippi…= 405

• Silver Slipper, Bay St. Louis, Mississippi = 140

• Coushatta Casino Resort, Kinder/Lake Charles, Louisiana – Opened 208 rebranded and remodeled Grand Hotel designated for adults 21 and older only.

• Boyd Gaming announced a $45 million expansion of the hotel and racino facility at their Vinton, Louisiana, Delta Downs Facility.

• The new Scarlet Pearl Casino and Hotel in d’Iberville/Biloxi market is scheduled to open its casino and 500 room hotel facility later this year.

• Bossier City:  Great crowds and activity at Margaritaville and the Horseshoe.

• Central Louisiana:  Great crowds and activity at the Casino, Racetrack and food areas at Evangeline Downs.

• Lake Charles Area:  Great crowds and activity at the Golden Nugget, L’auberge and the Coushatta Casino Resort.

• Bay St. Louis:  Great Crowds and activity at the Silver slipper.

• Gulfport, Mississippi:  Island View’s beautiful beach hotel with great crowds and activity.

• We observed the “forgotten” Gen-X crowd prominently represented in a number of the facilities we visited.

• A baseball game at the new MGM Park, home of the Biloxi Shuckers.

What’s Not

• The smoking ban in New Orleans – Gaming revenues are off at Harrah’s and the Fairgrounds. Nearby casinos not affected by the smoking ban -- The Treasure Chest in Kinner and Boomtown in Harvey, both in the New Orleans market -- are up for four of the five months. Casino operators would prefer the no-smoking policies be carried out in a way that doesn’t drive their customers down the road to a smoking facility.

• Gaming revenues at Harrah’s Louisiana Downs Racino are way off again this year.  Unfortunately, the facility looks as shabby as the gaming revenue numbers.

• Gaming revenues at Diamond jacks, Bossier City, Louisiana were down each of the first five months. During our visit we saw very slow activity in the casino and food areas.

• The near-total absence of the highly sought-after millennials at most of the facilities.  Heads up --  start promoting to the Gen-X age group.  It will likely pay off. (More to come on this)

Tamales, T-Bones, Tunica and Tough Love

Our most recent tour of casino and racino tour covered Mississippi, Louisiana and Arkansas:

Tamales and T-Bones  – The tamale trail is a part of the Mississippi Delta Blues country where the blues and tamales are a part of the culture. So in addition to a review of casinos and racinos, we decided to take in some of the culture and history of the area between Tunica and Vicksburg, Mississippi. From An Introduction: Hot Tamales and the Mississippi Delta: “Many hypothesize that tamales made their way to the Mississippi Delta in the early 20^th century when migrant laborers were brought in from Mexico to work the cotton harvest.  The African Americans who shared the fields easily recognized the basic ingredients: corn meal and pork.”    

Traveling from the Tunica casino area south, a visit to the Tunica Museum will get you off to a good start. Following our tour of the museum we asked for their recommendation for a good local restaurant and were directed to the Blue and White, a converted Pure Oil gas station.  Originally built in 1937.  Tamales - ok; catfish sandwiches - outstanding; atmosphere - local.  Next stop heading south on Highway 61: Clarksdale and the Delta Blues Museum.  Across the street from the museum is the Ground Zero Blues Club, co-owned by Morgan Freeman.  The Club features performances by both local and national blues bands….and great hot tamales.  Be sure to ask the waitress for the real, corn husk tamales, not the appetizer tamales.  

Our next stop was in Greenville at Harlow’s Casino and Hotel for an overnight stay.  We had dinner at the famous Doe’s Eat Place a few miles from Harlow’s.  Best to dress in your flannel shirt, jeans and baseball cap.  Be prepared to order steak, although they do have tamales on the menu. But you should really be ready to order their large T-Bone steak. They have beer available, but if you want wine, you can bring your own. We were seated in the kitchen area overlooking the preparation of fries and pounding of salad lettuce.  It’s definitely worth the experience. Harlow’s was a great stay, a very clean hotel with a well-managed and lively casino owned by Churchill Downs.

Tunica and Tough Love – Everyone following the casino world is aware of the decline in casino and hotel revenues in the 9 casino Tunica area.  Each time I review the area we stay at one of the nine. This time it was the Roadhouse Casino and Hotel -- a confusing mix of an old English Tudor exterior design with a Willie Nelson interior with whiskey barrels and barn wood walls. It was a cold February night when we arrived, wind blowing…quite miserable.  Parking was a mess so you couldn’t park near the place.  Once inside the casino area we discovered quiet.  Their motto is “If you don’t like noise, come on in.”  But the quiet was a result of few patrons, other than a handful of slot players and one blackjack table active.  The restaurant was closed. The only food available was microwaved chicken wings and frozen burgers.  Even more depressing was the hotel room.  A nice bathroom and jacuzzi area surrounded by a filthy carpet with 3-foot diameter stains. The crown moulding above the curtain was falling down from water leakage. The dresser and cabinet drawers were wide open and wouldn’t close. In simple terms, a dump. I provided the check-out hostess with my feelings and business card, but haven’t heard from anyone.  So here’s my tough love to the Roadhouse: It’s frankly an embarrassment to the Tunica Casino industry. Note: We’ll see if it's still open at the end of 2015.    

Top Ten Casinos and Racinos in the Southeast

We visited all 72 casinos and racinos in the Southeastern States during 2014, and some more than once. So we’ve put together our top ten favorites based on observations, the patrons, the food and beverage areas, mood and professional appearance and actions of the employees and operators. Just how did we feel about the place, the crowd factor, would I come back here factor, the entertainment factor, the excitement factor? And my own personal likes and dislikes -- I like thoroughbred horse racing; I dislike greyhound dog racing or being charged extra for wi-fi. So here they are:

1.   Beau Rivage, Biloxi, Mississippi – Beau Rivage has it all. The four star-rated hotel has 1,740 rooms owned and managed by MGM Resorts International. The casino area has 2,100 slots, an assortment of table games along with a 16 table poker room. There are 9 restaurants including one buffet area plus 3 bars adjacent to the gaming areas and one at their beautiful pool area. Their patrons include people of all ages including families with children. The facility has a gorgeous location directly on the Gulf of Mexico, a lobby that welcomes you with its “wow factor,” and a large upscale retail shopping area.  Their entertainment facilities are among the best in the U.S.

2.   L’Auberge Casino Resort, Lake Charles, Louisiana – L’Auberge at Lake Charles has a great wow factor with unique architecture and design that’s immediately inviting.  The facility is owned and operated by Pinnacle Entertainment. The hotel has 995 rooms, 1,600 slots, 83 table games and a large poker room. It has restaurants and eating areas including a large buffet plus a bar at their great pool area. Patrons include people of all ages including families with children. The property also includes an 18-hole championship golf course.  Entertainment areas include a 1,400 seat auditorium featuring top name stars and groups and a 165 seat indoor-outdoor casual dining area with live entertainment.  They too have a large upscale retail area.  Pinnacle has created a great facility that combines upper-end with comfort. 

3.   Seminole Hard Rock Hotel and Casino, Tampa, Florida – This has the largest gaming area in the southeast with over 4,500 slots, several table game areas including their blackjack pit and Asian-inspired table game area, and a large poker room. Their 242 room hotel boasts its AAA four-diamond rating each year for the past 8 years.  Their 8 restaurants include the Seminole’s signature Council Oak and Hard Rock Café. In addition, the gaming areas have five lounges. Other amenities include a large spa and live entertainment at the Hard Rock Café Council Oaks and in the lounges. The facility is owned by the Seminole Tribe of Florida and operated by Hard Rock, International, a wholly-owned subsidiary of the Seminole Tribe.

4.   Harrah’s Cherokee Casino Resort, Cherokee, North Carolina – This beautiful facility located in a beautiful area and owned by the Eastern Band of Cherokee Indians and operated by Harrah’s.  The hotel has 1,108 rooms, some with gorgeous mountain views. The gaming area houses 3,325 slots, over 100 table games including an Asian gaming area plus a 20 table poker room. Ten restaurants and eating areas include their buffet, Ruth Chris Steak House, Brio and a Noodle Bar restaurants. Other amenities include bar and lounge areas adjacent to the gaming floor, a full service SPA and a retail store area.  Their 3,000 seat event center hosts top name entertainment.

5.   Seminole Hard Rock Hotel and Casino, Hollywood/Fort Lauderdale, Florida – This casino complex includes a 4.5 acre water park, 500 room AAA four-diamond hotel, a large SPA, 130,000 square foot gaming area and an entertainment district. The gaming area houses 2,200 slots, 130 tables and a 40 + table poker room.  Their 5,000 seat Hard Rock Live Arena is among the best in South Florida and hosts top entertainment. In addition, there is live entertainment in several restaurants and lounges.  Numerous restaurants and lounges within the complex include their signature Council Oak Steaks and Seafood (where we had their amazing 30-oz in-bone ribeye steak), Hard Rock Café, a food court, poolside Beach Club and Hooters. This, too, is owned by The Seminole Tribe of Florida and operated by Hard Rock, International.

6.   Harrah’s New Orleans Casino and Hotel, New Orleans, Louisiana – Located just steps away from the famous New Orleans French Quarter, across the street from the New Orleans Convention Center in the heart of all the action.  Facilities include a 450 room hotel, 3800 slots, and 100 + table games.  The complex is surrounded with New Orleans entertainment plus they have entertainment in their numerous lounges and restaurants. The casino hotel complex has more than a dozen restaurants including Besh Steaks, Ruth Chris Steak House, Gordon Borsch, and their buffet.

7.   Margaritaville Resort Casino, Bossier City, Louisiana – I’m a huge fan of this resort casino, which I featured in an earlier post.  The hotel has 395 rooms, a large spa, and houses 1,300 slots and 46 table games. Their 7 food areas include the World Tour Buffet, Margaritaville Restaurant and Jimmy’s Seafood and Steak along with a large lounge and bar area and pool bar area overlooking the Red River. The facility also has a 900-seat performance Hall and has live entertainment in the lounge and pool bar areas. The casino and Hotel opened for business in June 2013. Their 2014 casino revenue market share was 17+ percent of the Shreveport-Bossier City 7-casino market.  The project is privately owned.

8.   Island View Casino Resort, Gulfport, Mississippi – Gulfport is a short drive west of Biloxi fronting the Gulf of Mexico. This privately owned facility has 565 rooms, a spa, and houses 2,000 slots and 45 table games.  Island View has 7 restaurant food areas including their award-winning Carter Green Steakhouse which features Steak and Gulf Coast Seafood, the Island View Buffet (which is magnificent – try the funnel cakes), and their Beach Boulevard Steamers restaurant directly across the street.  They offer live entertainment their 550 seat View Showroom and their Sunset Bar and Deck. They’re in the process of completing a high-rise across the street that will be on the beach and should open this year.

9.   L’Auberge at Baton Rouge, Louisiana – Owned and operated by Pinnacle Entertainment.  Its incredible architectural structure and river front location makes it another wow factor project.  The facility has 205 hotel rooms, a rooftop pool, 1,500 slots 50+ tables and a 1,500 square foot poker room. Their 5 restaurant and food areas include their signature 18 Steak, Stadium Sports Bar and Grill and a large buffet. They feature live entertainment in their music bar and at “Live,” their 1,400 seat entertainment center. L’Auberge at Baton Rouge opened for business in the second half of 2012 and grabbed 39+% of the Baton Rouge casino revenue market share in 2013 and 2014. While we were here, we particularly enjoyed a magnificent sunset from the rooftop pool, spa and exercise facility.

10.          Gulfstream Park Racetrack and Casino, Hallandale/Fort Lauderdale, Florida – If you want to visit a model racino, this is it. I featured this one in an earlier post, “Pegasus, paddocks and pies”.  The casino area is small in comparison, with 850 slots and no table games. But the thoroughbred racing facility is fabulous and it is woven into an exceptional upper end retail shopping area that offers dozens of world known retail names.  You also have access to 20+ great restaurants and bars including the facilities own bar area and clubhouse restaurant.  The location in the Fort Lauderdale, North Miami Beach area just makes it that much better. The combination makes this a great day of entertainment.   

2014 Summary and 2015 Predictions

Notes and Observations on Casinos and Racinos in the 9 Southeastern States - Part 1

Alabama – 3 casinos total: All are owned and operated by the Poarch Creek Band of Creek Indians and their subsidiaries. They provide Class II gaming at their Atmore facility plus upgraded facilities at Montgomery and Wetumpka. The Poarch Creek Tribe Casinos had a good year in 2014 and anticipate business to be about the same for 2015. Although their two upgraded facilities could be negatively affected by the new Cherokee facility in Murphy, North Carolina anticipated to open in 2015.  No new Alabama casinos or racinos are projected for 2015.

Arkansas – 2 racinos total: Oaklawn Jockey Club with hhoroughbred horse racing and Sunnyland Greyhound Park Racing.  Both are well-established. We will publish their 2014 revenues in Part 2 of this blog, but we anticipate business to be about the same in 2015. No new Arkansas casinos or racinos are projected for 2015.

Florida – 15 casinos and racinos total: Seven casinos owned by the Seminole Tribe and one owned by the Miccosukee Tribe, plus seven commercial, non-Indian racinos in Dade and Broward Counties. 2014 saw expansion of the Seminole Immokalee facility with a new hotel under construction and improvements in all others. Miccosukee Facilities remained steady.

Racinos were mixed with the four thoroughbred sites doing well and we witnessed strong attendance in our visits to each of the sites last year. Hialeah Park Racetrack and Casino officially opened in late 2013 and had a strong 2014. The two greyhound racinos claim to have struggled with their racing business during 2014, and we saw evidence of this in our 2014 visits there.

One Jai Alai racino opened and closed in 2014; the other Miami Casino Jai Alai also claims to have struggled during 2014. We observed this during our visit there and also heard evidence of this at the Florida Gaming Congress meeting in November. Revenues for the Florida racinos will be published in Part 2 of this blog. 

2015 should see the Seminole empire march on with improvements, facilities plans and upgrades at Hialeah and Pompano Park while all others remain about the same. No new casinos or racinos are projected for Florida in 2015.

One key item to watch in 2015 -- the Federal Recognition of the Muscogee nation of Florida located in the Florida Panhandle is scheduled for their preliminary findings March 31, 2015 by the Office of Federal Recognition, Bureau of Indian Affairs. If the finding is positive, there are remaining steps prior to the tribe pursuing gaming.  We will

Georgia – No casinos or racinos. However, Georgia legislators have had continued discussions regarding casinos in Georgia casino activities during 2014.  While there are no Federally Recognized Indian Tribes in Georgia, the Georgia Tribe of Eastern Cherokees has petitioned the Bureau of Indian Affairs and is under review with no proposed findings dates announced. I anticipate that Georgia Legislators will continue casino discussions throughout 2015 in light of the addition of the Eastern Band of Cherokee Indians Murphy, North Carolina facility scheduled to open in 2015 two hours from downtown Atlanta and the prospects of Federal Recognition being granted to the Georgia Cherokee Tribe. No new casinos or racinos are projected to open in 2015.

Louisiana – 24 casinos and racinos total: Four Casinos owned by Louisiana Indian Tribes, sixteen commercial casinos owned privately or by Wall Street firms, and four racinos all Wall Street-owned at year-end 2014.

First, the four tribal casinos: Jena’s casino is a small casino favorite of mine.  Visits there saw good local crowds on the gaming floor and their restaurant buffet.  The Coushatta in Kinder, Louisiana near the Lake Charles area is continuing to expand with a large new hotel. Coushatta has a number of activities in addition to their large gaming platform. Next, the Paragon owned by the Tunica-Biloxi Tribe has reduced its slots by removing slots from one of the gaming floor areas during 2014. Most notable was the significant reduction in hours of operation and closing of half of the facilities at Cypress Bayou during 2014. Our stay there was disappointing following our outstanding 2013 visit to their restaurant area and casino activity.

On the commercial side, the Shreveport/BossierCity market saw a significant change with the introduction of Margaritaville Casino and Hotel in 2013. They have captured nearly 20 percent of the market since opening in 2013 leaving two others struggling for existence.  I predict that one casino in this market will close its business during 2015. I also predict that Harrah’s Louisiana Downs, part of the Caesars empire, will be acquired by Boyd Gaming or Churchill Downs. 

The Lake Charles market saw the opening of the new Golden Nugget in December 2014. No doubt this will bring a change to that market and perhaps the Baton Rouge market. We’ll update our notes following the publication of revenues in February.  The Baton Rouge market was steady; all of the facilities looked good during our 2014 visits. 

Finally, the New Orleans market had an expansion at Boomtown with the construction of a new hotel facility.  Harrah’s New Orleans continues to dominate the market asa great facility in the middle of all of the New Orleans action.  Churchill Downs Fairground Racetrack Casino had small but steady revenues and has great future potential. And the Treasure Chest Casino in Kenner at Lake Pontchatrain is another of my small casino favorites…neat, clean with very steady revenues.  We will report soon on 2014 revenues.  We’ll see what 2015 brings with the addition of the Golden Nugget and other expansions. I am projecting one closure during the 2015 and no new racinos or casinos during 2015. Stay tuned.

Mississippi – 30 casinos and racinos total: Three of the thirty are owned by the Choctaw Tribe of Mississippi and the remaining 27 are commercial casinos owned by Wall Street and private companies.  There are no racinos in Mississippi. Mississippi commercial casino revenue reports are divided into two groups, the “Gulf Coast Counties” (Biloxi area and three casinos west of Biloxi) and River Counties casinos include the Tunica area casinos south to Natchez 16 casinos in this group). Each area had one closure.  Tunica had the closing of Harrah’s casino complex and Margaritaville in Biloxi closed.  On the upside, the Golden Nugget had a $200 million expansion and upgrade and the Silver Slipper expanded its facility and has a new hotel under construction. Both are Gulf Coast County facilities.

On the Indian Casino side, the Choctaw Golden Moon facility is used for entertainment and hotel guests, but the gaming areas remain closed. The Silver Star across the street from the Golden Moon has the complete gaming area open for business.

Overall, 2014 commercial casino revenues through November show gaming revenues up slightly in the Gulf Coast area and down over 7 percent in the River Counties region.  We will provide full twelve month revenues when they are available later this month. Among the favorites: In Tunica, MGM’s Goldstrike and the next door Horseshoe Complex are outstanding. Another River County favorite, and one with great potential is the Riverwalk in Vicksburg.  MGM’s Beau Rivage and the Imperial Palace are outstanding facilities and operations in Biloxi along with one of my favorites, The Palace, a non-smoking boutique casino.  I predict that the revenues for all areas will remain close to the same in 2015 with another casino closing in the Tunica area and the possibility of a new casino facility beginning construction plus the expansion of the Island View in the Gulfport area.

North Carolina – 1 casino:Owned by the Eastern Band of Cherokee Indians. This beautiful, large casino hotel complex is operated by Harrah’s. The entire town of Cherokee revolves around the casino/hotel, the EBCI headquarters, the Tribe’s Museum, a large Bingo facility and their famous outdoor amphitheater where their history is presented in “Unto These Hills.”  The Tribe has a second site in under construction in Murphy, North Carolina. This new facility will feature 60,000 square feet of gaming space with slots and traditional table games, a 300-room full service hotel and a variety of dining options.  The Murphy site is two hours from Knoxville, Chattanooga and Atlanta.  It is projected to open in the first half of 2015.

South Carolina – At year-end 2014, there were no casinos or racinos in South Carolina. There is one Federally Recognized tribe in South Carolina, The Catawba Indian Nation. During 2014 and 2014 they sought to have a compact with the State of South Carolina for casino gaming but their efforts failed.  It is likely they will continue their pursuit during 2015.  

Tennessee – No casinos or racinos in Tennessee at year-end 2014.  No change anticipated during 2015.  There are no Federally Recognized Indian Tribes in Tennessee. The new Cherokee facility in Murphy plus the Tunica facilities are and will be tough competition should the Tennessee Legislators promote commercial casino gaming in Tennessee.

Part  2 of this blog will include twelve month figures for commercial casinos and racinos and economic notes discussing the projections for revenues in 2015.

Pegasus, Paddocks and Pies

November and December 2014 travel wrap-up – We visited all eight Florida Casinos, and seven racinos plus Tampa Bay Downs Thoroughbred Racetrack for a total of sixteen.  In addition, we attended the two day Florida Gaming Congress meeting where we saw live racing at all the racetracks and live Jai Alai in Miami.

The best racino: I’m very partial to Thoroughbred horse racing racinos so this was a tough call, but Gulfstream Park in Hallandale is a magnificent facility located in an incredible market. We were there on a beautiful South Florida day, saw great races plus all of the excitement and pageantry that goes with thoroughbred horse racing. Gulfstream’s unique and beautiful paddock has a large seating area for the pre-race review of the horses and jockeys.  Oh yes…there is a casino. A very nice one, with easy access from the Paddock and racecourse finish line stands.

The unique gaming facility overlooks the stands and racecourse

And now there is Pegasus, a 110-foot-high steel sculpture that greets visitors at the Gulfstream entryway.  For those who haven’t been there, it’s the racino to see – check the calendar so you attend on a live race day.

Pegasus at the entryway
(check out the bulldozer in the lower left for perspective)

The other three Florida thoroughbred racetrack casinos are Hialeah Park, Calder and Pompano Park.  Each has excellent facilities, outstanding casino and racetrack, paddock areas and operations. Each of the three also has substantial land for future development. I believe they will all play into the future of Florida destination resorts.  I recommend a race day visit to each.

The best casino: It’s a tie between Hard Rock, Tampa and Hard Rock, Hollywood. They’re among the top ten that I review across all nine southeastern states.  In addition, the ever-growing Seminole empire has a hotel under construction at its Immokalee casino.  I am impressed too with the Coconut Creek Casino. 

The most memorable taste of Florida was the kumquat pie at the Seminole Chief Billie Swamp Water Café in the Clewiston Casino. 

Kumquat pie at the Swamp Water Cafe is worth the stop

“Wastin away in Margaritaville…Lookin for that lost shaker of salt…”

WOW! The Margaritaville concept has come a looooong way from a talented dreamer playing four chords on a guitar in Key West, New Orleans and Hattiesburg.

The Margaritaville Resort Casino and Hotel in Bossier City, Louisiana is a true winner.  We stayed at the hotel as one of our stops on our June casino tour. It was our second visit to the facility.

Margaritaville Resort Casino and Hotel, Bossier City, LA 

Several aspects of the venture are impressive.  For starters, every inch of the place is Margaritaville. The Jimmy Buffet theme and music is throughout the dining, drinking, gaming, clothing, hotel and food areas.  People seemed excited and happy to be there.
Second, the crowds were impressive.  There was a good mix of young, middle-aged and senior citizens in the casino gaming areas, the hotel and the bars and restaurants.  One comment we hear frequently from casino operators and managers is that they are not attracting and drawing in the 25 – 40 age group. Our observation was that Margaritaville in Bossier City is an exception to that belief.

Third, their numbers are impressive.  They opened for business in June 2013 and immediately captured 20 percent of the seven-casino Bossier City/Shreveport gaming revenues.  The facility has a 400 room hotel, 1,200 slots, 54 tables along with a buffet, restaurant-bar and a large and beautiful pool-cabana bar.

Margaritaville Resort Casino Hotel, Bossier City, Louisiana is owned by Bossier Casino Venture, Inc., and is privately held.

Put this one on your “must-see” list.  It is a great place to visit and among the best in the Southeast.

CASINOTES and RACINOTES owners and writers do not have an affiliation or ownership with or in the Margaritaville Casino Resort and Hotel in Bossier City, Louisiana.

Holy Golden Nugget Batman!!!!

June travels took us to 41 casino facilities, four Indian mound sites, one museum and…Cafe du Monde, all in Louisiana and Mississippi.  Of course, among all of the casino and racino facilities and operations, a few stood out as exceptional.  

Looking toward the Golden Nugget from the pool deck at L'Auberge.

We viewed the New Golden Nugget Casino Hotel Resort at Lake Charles, Louisiana from the pool area of the fabulous L’Auberge Casino Hotel Resort, Louisiana’s largest casino gaming revenue producer.

The Golden Nugget is in the final stages of construction, scheduled to open this fall. 

The parent company of the Golden Nugget, Landry’s Inc., also owns the Golden Nugget in Biloxi, Mississippi. The Biloxi facility was purchased from the Isle of Capri in 2012 and recently completed a $100 Million "transformation project” (their words). Tilman Fertitta is the sole owner, Chairman and CEO of Landry’s Inc. When you visit Biloxi be sure to visit this great “transformed” facility.

Our final word, put the two Golden Nugget facilities and the two L’Auberge facilities on your “must see” list.  And KUDOS to Tilman Fertitta for making a significant entry into the Southeastern casino/racino market. 

The L’Auberge at Lake Charles also has a sister site in Baton Rouge.  This is a fourth “must see” site. Again, it’s fabulous.  The L’Auberge facilities are owned and operated by the Wall Street-based Pinnacle Entertainment.  Pinnacle also owns three other sites in the Southeast: The Ameristar in Vicksburg, Mississippi; Boomtown in Bossier City, Louisiana; and Boomtown in Harvey, Louisiana (New Orleans area).