Latest expansion to bring 400 extra slots to Southwest valley casino
With a third record quarter on the bounce, Red Rock Resorts is looking to the next phase of Durango’s Master Plan as it continues to build on the property’s early success and strong customer demand.
Third-quarter net revenue, which includes $3.9m from its North Fork project, was $475.6m, up 1.6 per cent from the prior year’s third quarter. In Las Vegas, third-quarter net revenue hit new records again with revenue of $468.6m, up almost one per cent from the prior year’s third quarter.
Stephen Cootey, Red Rock‘s Executive VP, CFO & Treasurer, said: “Our Las Vegas operations once again set new records, delivering its highest third-quarter net revenue and adjusted EBITDA in our history, while maintaining a near-record adjusted EBITDA margin. This marks the ninth consecutive quarter of record net revenue and the fifth consecutive quarter of record adjusted EBITDA, underscoring the strength, consistency, and long-term earnings power of our operating model.
“Compared to the third quarter of last year, we saw continued strength in carded slot play across our database, including our regional and national segments. Robust visitation and net theoretical win helped drive the highest third-quarter revenue and profitability in our gaming segment in the company’s history. Turning to our non-gaming operations, both hotel and food and beverage delivered another strong quarter, achieving near-record revenue and profitability in the quarter. In addition to delivering strong financial results, we remain very pleased with the continued performance of our Durango Casino Resort and the revenue backfill at our core properties. Durango continues to expand the Las Vegas locals’ market, drive incremental play from our existing customer base, and attract new guests to the Station Casino‘s brand.”
Despite the disruption caused by the construction of a new high-limit slot room and covered parking garage, the property continued to demonstrate strong momentum within the quarter, with increased visitation and elevated net theoretical win from its core customers in the surrounding Durango area, as well as adding new customers to the brand. Construction continues on the current phase of the Durango Master Plan. This expansion will add more than 25,000 square feet of additional casino space, including a new high-limit slot area and bar.
Mr Cootey added: “We are excited to embark on this next phase of growth at Durango, and upon completion, we believe the property will be even better positioned to capture additional market share and drive sustained growth in the local market, which is expected to add more than 6,000 new households within a three-mile radius of the property over the next few years, complemented by the continued build-out of downtown Summerlin and Summerlin West, which together are projected to add approximately 34,000 new households. The total project cost, this is approximately $120m, remains on budget and is expected to be completed in late December. With this phase nearing completion, we are now turning our attention to the next phase of Durango’s Master Plan as we continue to build on the property’s early success and strong customer demand. Supported by robust market fundamentals and the rapid development of the surrounding area, this next phase will expand the podium along the north side of the existing facility by more than 275,000 square feet.
In total, the expansion will add nearly 400 additional slot machines and Android gaming to the casino floor, as well as introduce a range of new amenities designed to enhance the guest experience and deliver on what our customers are asking for, including a state-of-the-art 36-lane bowling facility, luxury movie theaters, a mix of new restaurant concepts and food hall tenants, and multiple entertainment venues designed to drive repeat visitation and broaden customer appeal. Construction is expected to begin in January and will take approximately 18 months to complete.
The post With strong cash flow, Red Rock Resorts announces next stage of Durango Master Plan appeared first on G3 Newswire.
Latest expansion to bring 400 extra slots to Southwest valley casino With a third record quarter on the bounce, Red Rock Resorts is looking to the next phase of Durango’s Master Plan as it continues to build on the property’s early success and strong customer demand. Third-quarter net revenue, which includes $3.9m from its North…
The post With strong cash flow, Red Rock Resorts announces next stage of Durango Master Plan appeared first on G3 Newswire.