![]() When it was built, the venue’s gold tower was reported to be the tallest building in Mississippi. At 32 stories tall, the company describes it as “an iconic property” that is one of the most recognizable buildings in Tunica, towing above all other structures. Gold Strike opened in 1994 and was acquired by MGM in 2005, and is located about 30 minutes from downtown Memphis. “We are pleased to welcome Cherokee Nation Businesses as our ninth gaming tenant.” “This transaction continues to demonstrate VICI’s ability to build strong relationships with new partners while working collaboratively with existing tenants to support their strategic objectives,” added John Payne, President and Chief Operating Officer of VICI Properties. "We appreciate VICI working constructively with CNE to facilitate a new lease agreement." "This is a great outcome for the company as we are able to reprioritize future capital expenditures toward opportunities that will enhance the customer experience at our other locations," said Jonathan Halkyard, CFO & Treasurer, MGM. The company expects net cash proceeds after taxes and estimated fees to be “approximately $350 million.” “ Strategically, though, we decided to narrow our focus in Mississippi to a single resort – Beau Rivage – and dedicate more of our time and resources towards continuing to drive success at that leading, world-class resort and casino,” explained Hornbuckle in regards to the new move.īeau Rivage, MGM's second property in the stateįor the twelve months ended December 31, 2021, Gold Strike reported a net income of $81.1 million and Adjusted Property EBITDAR of $115 million, which MGM says reflects “benefits from certain market-specific factors in the last year.” In pre-pandemic 2019, the venue reported Adjusted Property EBITDAR of $67 million.Īt the closing of the announced transaction, MGM Resorts’ master lease agreement with real estate investment fund VICI Properties Inc., which currently includes Gold Strike, “will be amended to reduce annual rent by $40 million,” MGM stated. "Gold Strike is a wonderful property with a bright future ahead.” ![]() "I want to thank all of our Gold Strike employees who have consistently delivered world-class gaming and entertainment experiences to our guests," said Bill Hornbuckle, CEO & President, MGM Resorts International. The deal, which is subject to regulatory approvals and other customary closing conditions, is expected to close in the first half of 2023. ![]() The operations are to be acquired by Cherokee Nation Entertainment Gaming, a subsidiary of Cherokee Nation Businesses.Īccording to a press release, the purchase price represents an approximate 11 times multiple on average Adjusted Property EBITDA from 2019-2021. “Cherokee Nation Entertainment has a rich history of operating award-winning hospitality destinations in Oklahoma, and we are proud to continue our growth in gaming and bring the level of excellence we are known for to the Tunica area,” said Mark Fulton, president of Cherokee Nation Entertainment.Ĭherokee Nation Entertainment Gaming Holdings, LLC, is a subsidiary of Cherokee Nation Business, which fall under the umbrella of Cherokee Nation.Hospitality and entertainment giant MGM Resorts International announced on Thursday an agreement to sell the operations of the Gold Strike casino and resort in Tunica, Mississippi, for $450 million in cash. The acquisition will grow Cherokee Nation’s economy and have an impact on the local economies, he said. “We look forward to expanding our gaming and hospitality businesses as we execute on our strategic plan to grow our footprint outside of the Cherokee Nation Reservation,” said Chuck Garrett, chief executive officer of Cherokee Nation Businesses in a prepared statement. Golf Strike Tunica, a 50,000-square foot casino, located on the Mississippi River, has over 1,100 luxury guest rooms, including 125 suites, and features high-limit gaming, a conference and convention center, and dining venues. – A Cherokee Nation gaming subsidiary agree to pay $450 million for a Mississippi casino with plans to expand gaming outside of Oklahoma.
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