It is an open secret that the casino industry is one of the worst hit by the containment measures imposed to control the spread Covid-19. In line with massive loss of business and a shift in demand for new services caused by the pandemic, casino operators in Atlantic City are working on various projects to safeguard their investments.
So far, four of the big casino brands in New Jersey have announced their comeback plans. This is amid a new lease of life granted to them when the state assembly passed the tax bill in December. On one hand is a sigh of relief courtesy of business friendly laws while on the other is anxiety caused by competition from neighboring New York.
Repeated calls for people to stay indoors or risk contracting Covid-19 led to many gambling fans seeking online platforms to keep busy. Well, it does appear that a majority have been hooked because seven out of the nine major casino operators in Atlantic City have recorded a decline in in-person gambling. This is however not shocking because there has been a surge in revenue obtained from sportsbooks and other internet based gambling avenues.
In December 2021, the Governor of New Jersey, Phil Murphy, accented into law a pilot bill that offers casino operators financial relief from paying taxes. The casinos are no longer obligated to pay large payment increases as they had been previously required to pay to Atlantic County, Atlantic City and the education system as an equivalent to property taxes.
The Covid-19 infection curve is still hard to predict especially with the emergence of the Omicron variant which is fast-spreading. Due to fear of infection and disruption of life if infected, most people could choose to stay away from social places, a direct blow to in-person casino operations.
The neighboring New York market is quite fresh since the administration is in the process of launching its new gambling regulations. This will definitely cause an exodus of gambling fans who would want to cross over and experience gambling on the other side. In the same breath, there are New York residents who previously crossed over into New Jersey for betting but they no longer need to do so.
It is estimated that at least 20% of New Jersey gambling business will be lost to New York owing to the legalization of a new market. According to the president of Resorts Casino Hotel, Mark Giannantonio, 2022 appears like it is going to be a good year for the casino industry in general. Speaking to the Associated Press, Giannantonio reported that Resorts will be renovating its rooftop pool from February.
Other changes that Resorts has confirmed with the start of the New Year include conditioning the pool for all year use, renovation of a high level slots area, addition of modern table and slot games as well as creating an Asian themed VIP loSlotunge.
Ocean Casino Resort has also confirmed that they will be spending $75 on a hotel accommodation project. The project is in fact a continuation of 12 floors of hotel accommodation rooms which stalled in 2012, the same year that the gambling wing opened its doors to the public.
The management of Caesars Atlantic City Hotel & Casino is going to have a busy 2022 as they follow the progress of a new theater which budget they have already set aside. Also designed to incorporate a resident show, the theatre project will commence anytime soon as the launch date has already been set. Some old sentimental aspects of the old Warner theatre building of 1929 such as the facade will be preserved; it is currently the casino exterior which faces the Boardwalk.
For Caesars, the 2022 plan includes opening a new restaurant under the able consultation of a renowned hospitality brand. By working alongside actor Robert De Niro on this project, the casino already has an advantage in attracting all Robert De Niro fans. The hospitality brand, Nobu Hospitality, will partner with Caesars to set up and run the yet-to-be-commissioned, Nobu Hotel Atlantic City.
Bally’s management is also among the highly optimistic bunch of casino operators that are looking to investment to reshape the betting landscape in AC. Bally’s will be renovating 750 hotel suites, reworking the casino’s lobby and bar area and setting up a modern indoor-outdoor entertainment space.
There is quite a lot of change to look forward to as the AC gambling space opens up for business after a facelift. Players can expect generous bonuses and rewards to boost their betting budget and increase the time they spend on the gambling platforms.
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Out on the streets
There is definitely a lot of construction work going on inside the casinos. This is great for business because guests will be spending most of their time indoors. What about those that want to roam around the city and soak in scenery outside the gambling space? The AC administration has partnered with various organizations to help in upgrading the cities ambience. Attracting customers to spend in gambling houses will start from what they see outside.
A budget has been draw up for the construction of a $100 million indoor water park that will be put up next to where Showboat Casino used to be. Water parks are an all-weather entertainment provider and will attract families and groups visiting AC.
Conclusion
The pandemic caused businesses in the entertainment and hospitality sectors to suffer staff layoffs not to mention loss of revenue. This picture is gradually changing as betting service providers pump in millions of dollars to revive the industry. The AC gambling community appears to be reading from the same script. Every operator has some sort of budget to renovate, build a new facility or upgrade existing spaces to wow customers. With new attractions to keep them hooked, the betting operators of NJ will have little to worry about even as the NY market thrives.
