Posted inGamble

Harrahs Buying Palms Next?

New rumor: Harrah’s is buying Palms next.  How can this be possible?  Steve Friess from The Strip Podcast was the first person I saw with this rumor.  After reading his blog and the accompanying Financial Times article it seems as if we have a repeat of how Harrah’s purchased Planet Hollywood.

The piece relies on anonymous sources, albeit more than one, and notes that “the investment points toward a systematic strategy by Harrah’s to acquire other casinos through their distressed debt.”

Friess followed up this with a call to George Maloof, owner of Palms, to get even more information on the subject.

I just hung up with George Maloof, who cast doubt on the Financial Times’ report that Harrah’s has been buying up Palms debt by saying, flat-out: “They’re not going to take over my company. It’s so far remote.”

Great job of digging for info here.  I love the Palms in the same way I love Planet Hollywood.  Maybe it’s the independent nature of those casinos that draws me or maybe it’s the youthful, energetic crowd that both casinos seem to draw.

Mass homogenization of casinos is boring and it seems as if that’s where Las Vegas is heading.  This will create a wider gap for casinos like Wynn/Encore from MGM-Mirage and Harrah’s properties.

There is part of me that will pay for great service and there is another part that loves the comps provided by “The Man.”  I will sit here torn a little as I ponder whether or not I’m going to make it to Harrah’s in Atlantic City.

ALSO: Props to Steve Friess for the info here.  Follow The Strip Podcast on twitter, read the blog for more info and check the podcast.  A great source for Vegas info from a person that’s actually in Vegas.

Tags: