The two properties occupy opposite corners of the intersection of Fremont Street and Casino Center Boulevard, in the middle of the Fremont Street Experience, a pedestrian-only, canopy-covered entertainment corridor that attracts some 20 million visitors annually.
The previously agreed upon purchase price was $32 million but was subject to market conditions. An SEC filing says the two parties subsequently agreed to "a $3-million working capital adjustment, which will remain in Binion's upon closing." MTR says the sale netted the company approximately $28 million.
Near-term plans for the property include new slot machines and renovations to public areas and hotel rooms. Caudill will reportedly emphasize the hotel-casino's history. Previously known as the Horseshoe Club, the property was launched 57 years ago by Benny Binion. Claudill acquired the Four Queens in 2003. His improvements to the property reportedly double cash flow.
Binion's consists of a 25-story hotel tower with 365 rooms, meeting space, two gift shops, multiple restaurants and other amenities such as a rooftop swimming pool, as well as approximately 87,000 sf of casino space. The property was shut down by regulators in January 2004 and sold to MTR in June of that year for $20 million. MTR reopened it in spring 2005 after investing several million to upgrade the property and acquire three of the five acres upon which the improvements sit. The ground lease for the two underlying acres MTR did not own expire in 2074. MTR says the property lost $3.5 million in 2006.
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