"We are excited about what the Water Club and the Blue Chip hotel developments will mean to our businesses in those markets," says Boyd Gaming president Keith Smith in a statement, with the latter a reference to the company's new casino hotel in Indiana. Boyd co-owns the Borgata with MGM Mirage and is the property's managing partner.

"The new additions will elevate each of the respective brands as we face increasing competition in both markets," Smith says. The new $400-million, 43-story tower will cap a two-phase, $600-million expansion to the original Borgata, and will effectively build out the site. Begun in early 2006, this latest phase will boost the hotel's room count to 2,800.

And with a separate front desk, the Water Club will effectively operate as a separate hotel. To the overall Borgata mix, it will add five swimming pools, a new spa, 18,000 sf of meeting space and a half-dozen upscale retail shops.