Detroit Casino Megathread

[Ramcharger]

What would be even better is if the casino licenses were conditional.

That is precisely what was supposed to happen. Then Kwame was elected and, for whatever reason, he has allowed the casinos to dictate to the city where and what they will build.

[speck76]

That is precisely what was supposed to happen. Then Kwame was elected and, for whatever reason, he has allowed the casinos to dictate to the city where and what they will build.

That's what happen when someone unqualified get elected.

At least Detroit did not have a major hurricane and flood.

[tapezord]

I took this on the way to my Transportation Riders United meeting this evening.

[Zissou]

Its always nice to see steel going up.

[detroitfan]

What would be even better is if the casino licenses were conditional. No temporary casinos permitted.....and you have to redevelop an existing building, and include certain facilities.

I am sure if Detroit said "We have 5-7 casino licenses up for grabs, the 5-7 players must each build 500 hotel rooms, and together must build a major convention center, XX number of parking spaces, XX number of restaurants, a park, XX number of garage parking spaces" companies would jump at the idea.

The difference in the original 1998 agreement (Archer) and 2002(Kilpatrick) is the number hotel rooms from 800 to 40O and the requirement to spend over $600 million which basically gave them the opition to expand in their current location. The requirements for gaming, convention and restaurant space was unchanged.

Overall I think the 2002 was better 2400 hotel rooms would almost double the number of rooms downtown would anyone even be thinking rehabbing the Book-Cadillac with many rooms online? It also better for downtown that Greektown stays put

http://www.ci.detroit.mi.us/mayor/pressrel...ease_032602.htm

Casino requirements

Construct a 400-room hotel immediately, with an additional 400 rooms to be added within five years, subject to market conditions.

Include in its permanent casino features agreed to in its original agreement with the City, including new restaurants and bars, new retail facilities, a new theater, new ballroom and new convention facility.

Expand its gaming area to 100,000 square feet of gaming.

Forgive a $50-million debt the City owes each casino as a result of letters of credit the casinos issued to secure money to buy land on the riverfront.

Pay the City of Detroit $34 million in two equal installments, with the first installment due 60 days after City Council has approved the revised agreement and the remainder due June 1, 2003.

Transfer ownership to the City of the 42.5 acres of land purchased in connection with the proposed riverfront site, along with railroad property north and south of Jefferson.

Waive the "most favored nations" tie-bar in its original agreement with the City that requires all three casinos to approve the others' development agreements

[Ramcharger]

The difference in the original 1998 agreement (Archer) and 2002(Kilpatrick) is the number hotel rooms from 800 to 40O and the requirement to spend over $600 million which basically gave them the opition to expand in their current location.

This is a huge difference. If the casinos can get by spending only $200 million instead of $600 million this translates into the loss of thousands of construction jobs and far fewer ameities such as restaurants and theaters. The point of grouping the casinos together and requiring 800 room hotels was to try to make Detroit

[Zissou]

Motor City staying put isnt such a good thing but Greektown expanding at their current location is. It garuntees that Greektown will remain a vibrant district. My fear was that Greektown would suffer if the Casino was to move north and take those people with it. Now that they have decided to expand their current location we may see more growth in that area with the Casino being the anchor.

[RustTown]

I don't know about MotorCity. I have mixed feelings. I think that as the greater downtown area continues to come back, that MotorCity will become an anchor and catalyst along Lower Grand River. It may turn out that staying at their location, and reusing the old building was a very good idea. The question is, how long will this be?

At the same time, I guess you could argue that having all 3 casinos within the "square mile" would have the possibility to really create downtown Detroit as a regional entertainment destination for a sizeable amount.

[Zissou]

I guess the way I see it is that all should be near each other and preferably downtown. Yes somewhere down the line Grand River will need to be addressed but we arent there yet. I would rather have MC downtown or incorporated into MCS in some way like what was proposed at one point. I dont see the current location as being especially beneficial to the city at this point.

[RustTown]

The key phrase being "at this point," though, IMO. I guess it all depends on how you view things. In the development of casinos, should Detroit be looking short-term or long-term?

Either way, MotorCity is where it is, and I know that they are glad they could renovate an old building, and have direct freeway access.

[Zissou]

I think having MC downtown would be benefitial for both short and long term. Short term because it brings people downtown, and long term because if downtown becomes what we think it can than things will surely spread from it and towards Grand River. Ive accepted that it will remain where it is and I hope its a catalyst for that area but I think more good would come if it was in the downtown loop maybe across from MGM or in the Park Avenue district.

[detroitfan]

Having MC downtown would be great, but just wasn't meant to be don't forget all the land issues that came with original proposal. In the end we managed get two them downtown

[Zissou]

Right. And if MC was to come downtown it could not be a sprawling development like MGM. I think it would have to fit into the existing street grid and be more urban. It would have been interesting to have it somewhere in the Park Avenue district if it included some of the historical structures that Illitch owns back there already.

[RustTown]

No, MotorCity downtown could have very easily went the other way and been a disaster insofar as that it probably would have taken down so many buildings. I don't think the city would have cared, either.

[rbdetsport]

Tribe: Scandal hinders new casino plans

http://www.detnews.com/apps/pbcs.dll/article?AID=/20060217/B IZ/602170368/1001

Casino hunts for a hotel property

http://www.freep.com/apps/pbcs.dll/article...0/1019/BUSINESS

It's amazing how long it is taking Greektown to get started. You would think they would want to have got started when both of the others did back in November. Both these articles are different when it comes to site plans. Funny..... I do hope they start in March, but they probably won't get started until May or June.

[RustTown]

That's just a shame about Greektown. They are easily the better of the three, IMO, in terms of how well they blend in with the rest of their environment.

[Zissou]

I cant gamble yet but once im able to the only place I plan on frequenting is Greektown. They do much more for the city than either of the other two in terms of getting people downtown and keeping them in the city with all of the other places that are near GT.

[hudkina]

I always go to Greektown when I go downtown. I've only been to MGM once and I've never been to Motor City.

[speck76]

The key phrase being "at this point," though, IMO. I guess it all depends on how you view things. In the development of casinos, should Detroit be looking short-term or long-term?

Either way, MotorCity is where it is, and I know that they are glad they could renovate an old building, and have direct freeway access.

The problem with direct freeway access is that people can drive there, park, play the slots, and leave, without ever spending any money in the other local establishments. If the casino is to be a catalyst to grow that specific area, the area needs to see more than just cars coming and going.

[RustTown]

I understand that. I said that they are happy they have direct freeway access. Not that that is good for the community.

[UrbaniDesDev]

Pittsburgh is getting Casinos and we are looking at Detroit for the benefits and the downfalls. Frankly I dont think we need it, but... here we go....

[tapezord]

my first reccomendation to pittsburgh is to avoid electing kwame kilpatrick.

[speck76]

I understand that. I said that they are happy they have direct freeway access. Not that that is good for the community.

That is understandable......as a business owner, I would also be very happy if I had the ability to easily draw people in, and almost ensure all of their spending happened on my property.

I would think though that the city would have taken some step to ensure economic benefit for the areas surrounding the casino...the Greektown location probably is the closest to this model.

[speck76]

Interesting article in Hotel Online today had me thinking....

http://www.hotel-online.com/News/PR2006_1s..._LVEconomy.html

With a large percentage of value rooms in Las Vegas being torn down, and rebuilt as upper-upscale resorts with much higher room rates, perhaps Detroit could position itself for the "value" casino customer.

While Detroit will never be Vegas, it does not need to be.....there will be people that before long will not be able to afford a trip to Vegas.....(and if the can't afford Vegas, they can not afford Atlantic City either)...so that puts the regional gambling hubs (Detroit, Biloxi (which was hurt by Katrina), and along the Mississippi) in the running to attract and grow this segment.

[RustTown]

That's the way Detroit casinos have been marketing themselves since their inception. Las Vegas has no equal for the simple fact that they've based nearly their entire economy on the gaming industry. Detroit has always marketed its casinos as (or want downtown to become) the "Gaming Capitol of the Midwest." And, they most certainly could become that if they already aren't.