Two Way Hard Three | Las Vegas Casino & Design Blog

Posted by mike_ch

Well, it reflects the amount of holdings, at least.

I feel like their sloppy management is worth -.02 (my own two cents, obviously ;) on the price.

Employee chit-chat heard on an elevator at the Venetian today: Palazzo is scheduled to open Nov. 1, with restaurant and retail following by February. Take that for what it's worth.

Posted by detroit1051

Mike P, are you staying at the Venetian? Have the rooms been renovated? How does the place look? Have you been to AquaKnox? I've always enjoyed it.
Sorry for all the questions...I've got to get back to Las Vegas.

Posted by detroit1051

Steve Friess writes about immigration and its effect on the labor situation in Las Vegas casinos. His contribution is part of a long piece in the NY Times:
http://www.nytimes.com/2007/06/30/us/30reactweb.html?pagewanted=4

Apologies if this is old news, but the Leading Hotels of the World site reports Bellagio suites and rooms will be being renovated from July 16 to January 31

http://www.lhw.com/property.aspx?propertyid=559

Posted by detroit1051

Robert W, that is very good news. Thanks! Bellagio had delayed renovation of its suites for several years now; it was strange that the finest rooms in the property hadn't been touched since Bellagio opened in 1998, nine years ago. The article's reference to floors 4-28 must be talking about the few suites on each of those floors because all the standard rooms were renovated several years ago.

Posted by detroit1051

Steve Wynn talked with Jeff Simpson in today's LV Sun:
"Every dealer is doing better today than they ever did before they came here."
"Wynn said that he will have the same tip-sharing system in place when he opens Encore next to Wynn Las Vegas at the end of next year."
http://www.lasvegassun.com/sunbin/stories/consumer/2007/jul/01/566667211.html

A company named Africa-Israel has purchased a 60 acre tract of land near the Hard Rock. I wonder if this is the plot of land Edge Resorts owned.

Africa-Israel and partners buy Las Vegas lot for $625m
The companies plan to build several hotels, a convention center, casino, and a shopping center on the site.

An Africa-Israel Investments Ltd. (TASE:AFIL; Pink Sheets:AFIVY.PK) sub-subsidiary and partners have bought a 60-acre lot adjacent to the Hard Rock Hotel & Casino in Las Vegas for $625 million plus associated costs.

Africa-Israel�s subsidiary�s share of the project is 49%. The companies plan to build several hotels, a convention center, casino, and a shopping center on the site. Construction is expected to take five years.

http://www.globes.co.il/serveen/globes/docview.asp?did=1000227038&fid=942

detroit: Simpson is the biggest pro-Wynn spin advocate in the L.V. print media, I guess that's why he still has a job at the SUN. LOL Did you catch that photo of Steve they used in the article - priceless! Can you say STRIKE on the horizon, especially since the Culinary has indicated they would most likely support the dealers. It's not beyond the realm of possibility...

detroit -

No, we're staying at Bellagio. Last time I stayed at the Venetian, which wasn't long ago, we had an unrenovated (true) suite on the 35'th floor. Work was under way on standard rooms on floor 30. They have enough done that you can book a renovated room now, but I have no idea what their schedule is for completion.

The public areas are the same old Venetian. A couple of new restaurants have opened in "restaurant row," a Chinese restaurant has replaced Lutece, and a second new Italian restaurant has opened upstairs across from Postrio. Haven't tried any of the new ones yet.

It's good to see that Bellagio actually has a schedule for suite renovations, finally.

Posted by detroit1051

Leonard, I like Liz Benston's reporting in the Sun, but the fact that Steve Wynn appears only to grant interviews with Jeff Simpson does raise questions of objectivity. Yes, I saw the photo, and I cringe at many photos of Steve. Maybe I'm jealous that I haven't had any work done since he and I are the same age. LOL.

Posted by detroit1051

Mike T, it's interesting Israeli corporations are so eager to invest in Las Vegas. I hadn't heard of Africa-Israel before, but they are a major player.
http://www.africa-israel.com/eng/index.asp
http://www.haaretz.com/hasen/pages/ArticleContent.jhtml?itemNo=876930

Posted by mike_ch

All my predictions were right. The vote passed, about a month later we see that big speech didn't change anything (some apology!), and nothing happened that's changed my opinion of anyone or the company.

Six months of drama for what amounts to nothin' as far as the customer is concerned.

detroit: I tend to be in complete agreement with you on this one, however even Liz Benston's editorials published by the SUN have ever reflected a negative-bias towards Wynn, she tends to report objective journalism through a prism that is seriously tainted or otherwsie would be better described as "subjective", i.e. NO negative or controversial pieces in connection with Steve or Wynn Resorts have ever been published under her authorship. Simpson is either (allegedly) on Steve's payroll or just a completely incompetent reporter that needs to be given his walking papers in the name of free press journalism! Slighly off-topic, but clearly relevant to another thread, I heard that Wynn's marketing people are actually preparing to sell several wallpaper downloads available ONLY to those first adopter iPhone subscribers that will feature images f the "man" himself in a variety of recently captured poses (a must have for any Wynn fanboy with an iPhone). Hunter, you might look into this + maybe the Wynn people would be willing to offer a "group buy" for downloading these exclusive backgrounds for all of those combined iPhone "Appleholics" + "Wynnoholics" here. :-)

Response to dealing jobs at Encore will be the ultimate telltale sign of how the town really feels towards the tip-sharing policy.

Some quick comments, just got back from Reno stayed at the Peppermill, the place was totally packed. There building a new 600 room tower and Reno's largest open meeting space. Place still looks like the 70's splattered on a mirror but I guess that�s part of the appeal (at least it is unique). Doesn�t seem that that casino in Sacramento is hurting business to badly.

Also on City Center, I stopped by the site on my way from the airport to work this morning. It looks like they have what appears to be The Harmon above ground now, has there been any word on when it will go on sale? Also, Veer is starting to really be mind blowing. Pictures do not give you a sense of just how much of an angle those buildings are at. It�s something to see.

Posted by motoman

mike_ch wrote: "Six months of drama for what amounts to nothin' as far as the customer is concerned."

So true mike. You may be the least bipolar of us here, heh.
It's interesting that Dave reported last week from an actual conference on casino development at which no one took sides on the various operators, confirming my suspicion that we here are perhaps a bit more interested in the personalities than is the case outside of groups like this.

And since a couple folks seem to believe in and gleefully be awaiting the "inevitable" downfall of Wynn Resorts, it finally occurred to me that even if Steve goes to a gov't hotel and WLV becomes yet another piece of MGM Mirage or whatever.... it still won't matter one little bit to customers.

WLV won't shut its doors and will still be serving customers (to the glee of its eventual new owners). Bellagio hasn't been a part of any Wynn entity for about seven years, and it is still the most recognized and highly rated property in town according to that survey that was linked here last year. Point being, nearly all customers don't know or care who runs the place. You'd be shocked how many friends & family I talk to about Vegas say things like, "Who's Steve Wynn?"

Then again, we are a highly concentrated gathering of Vegas nuts, aren't we....?

I stayed in a renovated Venetian room over Memorial Day weekend (five nights). It was perfect. Tasteful new decorating a bit more asian influenced than before, in grays and the fashionable dark brown. Two LCD TVs, nice L-shaped sectional, very comfortable bed, same marble bath as before (with soft elements updated). Nicer than the resort rooms at the Wynn.

Posted by detroit1051

Jeff Greene, thanks for the Venetian update. Coincidentally, I got an offer in the mail today from Venetian. The photo of the room looks exactly as you described it. My one question is, what's at the window? It looks like there is an inner curtain that is an imitation of small panes of glass. In fact, the same photo scrolls across the website at:
http://venetian.com/NEWSUITES.aspx
Regardless, it's a huge improvement.

The window in the new Venetian rooms has two remote-controlled coverings. The outer one is a sheer drape with window-pane pattern in a thicker material. The inner one is your standard heavy hotel curtain that blocks out light very well. But, the one problem is you can still hear the thumpety-thump music from Tao beach club. If you're trying to sleep before they close and are very sensitive, it might be a problem. Note, the Palazzo condo will be very close to Tao beach club.

Forgive me if i am mistaken and I'm not sure I remember correctly. Wasn't there suppose to be some big meeting that Wynn had to attend regarding labor violations? Leonard i believe you were looking forward to June 30, was something suppose to happen that day? Someone refresh my memory...thanks!

Posted by mike_ch

General "planning a Vegas trip" question: Okay, this is a normal touristy stuff, I know, but the fact is I haven't seen most of the new shows here and I've only seen the "classics" once or so, and it was years ago, so what show would you recommend to impress the pants off (figuratively, this is a special person but a nudie show isn't what I have in mind) someone who is coming to Vegas for the first and perhaps only time?

I mean, I love KA to death and would go with that but it's not running while this person is in town. Mystere would be cheaper, more acceptable to a newbie, and I have reason to believe it's not going to be here too much longer so it would give me a last chance to see it if my hunches are right. LOVE is a show I've only seen half of, I think it's a better Beatles tribute than Cirque show and I that kind of music doesn't fit into this person's taste (i.e. indie rock) really. Blue Man Group would work better, but I've seen it three times already. Le Reve I know very little about.

I'm about three days away from deciding this through a series of coin flips, so I thought I'd throw this out to the crowd for feedback.

Posted by BillyInLasVegas

Without a doubt I'd say "O". I've seen it about 3 times and it never gets old.
Le Reve is good but I haven't seen it since they remodeled the theater; but since it was also in water and I had already seen "O" I wasn't too impressed.

Posted by detroit1051

I second BillyInLasVegas' recommendation. "O" is ideal for a first time visitor. It gives the flavor of Cirque du Soleil, and is unique with the stage changing from a solid surface to the water tank. I think it would be a better choice than "Mystere".

Mike,

I would recommend Stomp and the Planet Hollywood. I've seen it about three times and I had a good time every time. It's no �Du Sole� but I found it on par with Blue Man. Just make sure to buy the seats in the center of the show room, like Mystere you don't want to be too close and not be able to see it all. Plus the new Po�Ho is something to see (just whatever you do don�t sleep in those rooms).

I see from the RSS feed that Hunter posted some shots I sent to Flickr. Here's a link to those and a bunch more on my site:

http://wildlife-pix.com/gallery/thumbnails.php?album=4

These are mostly center strip construction shots. I'm afraid the heat has deterred me from making my way farther north than Wynn.

Here's a stitched together panoramic shot of City Center:

http://wildlife-pix.com/gallery/displayimage.php?album=4&pos=13

This was taken right about where the drive up to the main hotel's entrance will intersect the strip. Giant steel crates blocked the view back towards Harmon and Cosmo -- there's still not much going on with Harmon. Cosmopolitan looks to be steel frame except for the elevator cores (just like Palazzo), and it's steaming right along.

Hunter, I'll send some selects out of these if you want them.

Wynn Macau: They seem to be having some really serious high-level management problems over there; first the icon of gaming + WM partner, Jack Binion jumped ship even before the joint finished construction, now Grant Bowie has resigned as president of Wynn Macau effective this Friday. Wynn's losing quality upper level people left + right when considering the number of execs that have already abandoned their positions at WLV since its opening. Steve will never be able to hold on to the "best" quality people, only "yes men" + ass kissers, no matter how much he pays them, the real accomplished management personnel simply don't want, or need to work + be connected with Wynn. Does one see an obvious pattern developing? Normal attrition generally occurrs among the lower ranks, even mid-level employees, with any new property, however rarely at the highest management levels as is evident with both Wynn properties.

Mike,

Yeah, I'd love to have 'em.

Thanks,
Hunter

Posted by detroit1051

Leonard, have you heard anything today on what forced Bowie to leave?

detroit: From what I just recently have been informed, by at least two 'very reliable' sources directly connected with WYNN, is that Steve allegedly was placing undo + unreasonable pressure upon Grant Bowie to improve revenues "at any cost" for Wynn Macau since they are apparently now being confronted with, + seriously being affected by a significant decrease in revenue as a result of, already, + soon to be launched competitor's projects. When Wynn Macau opened, Steve originally "sang the praises" in support of having appointed Grant Bowie's qualifications + selection as Wynn Macau's President. [His] unexpected departure has given rise to how poorly WYNN is performing in Macau. My understanding is that Bowie resigned under his own volition, however, I cannot confim nor deny that fact at this time, but I will definitely report the actual circumstances surrounding his short-lived departure as soon as I can verify it. Although the Peninsula Hotel Hong Kong is the THIRD in line for their collective property's rating + service (a close second behind Peninsula Bangkok which is #1, followed by the Peninsila Beverly Hills) the fact that the "general manager" of the Peninsula Hong Kong is now the "future president" of Wynn Macau has many wondering, is Steve no longer able to attract the Creme de la Creme of the best qualified executives?

Well, its obviously only anecdotal / personal evidence, but every time I am in Macau no matter what time of day the Wynn casino seems to be doing very nicely and my friends who also frequent Macau say the same thing. I have been to Crown Macau twice and it has been virtually empty both times (no kidding - the top couple of floors of the gaming areas have literally had nobody and very few people on the floors beneath). I'll be over in Macau for the Venetian opening in August - am told that Adelson has everyone working 24/7 and has threatened all sorts of sackings if the opening is delayed any further.

Chris B: I suggest that it would be futile for you to try to even attempt to compare Adelson's Venetian Macau with Steve's "wimpy", already cut-back operation. Venetian Macau is expected to open on schedule in August with a casino that is almost FIVE TIMES the size of the existing Venetian (L.V.) casino! Since it is only a ten minute drive from WM, so any reasonable person, or serious gambler desiring the "Las Vegas experience" would most definitely patronize the place + stay there. Will Wynn Macau's bottom line be seriously affected after Adelson opens this monster property, I say yes in a big way! Let's just wait until August + see what LVS's initial quarter earnings report (after Venetian Macau is launched) results are (including the existing Sands Macau which is raking in the dough @ several times the rate of WM based on its sheer size of gaming floor square footage alone). You can't compare "Crown Macau" with the upcoming MGM Grand Macau which will surely be a major drain on Steve's bottom line, based on the fact that it is not only a superior design, but occupies an adjacent site location to WM + garnishes a much more recognizable international brand than "Wynn"! If Steve were doing so well + his casino was indeed "packed", why would he REDUCE the number of table games (which are most popular with the Chinese) + casino floor s.f. capacity that is currently under construction based on Wynn's expansion plans for Macau?

I don't think there's any way that Venetian Macau can't impact Wynn Macau. It's just inevitable out the gate, just as Palazzo will probably lure from Wynn players around opening time. The question is where people play when Venetian Macau isn't new any more and we'll just have to see...

I still think V. Macau will run at a lower occupancy than some here think, at least in the first year as it ramps up. Not saying that's any sign of failure, just signs of a young market.

Stop being boring - I didn't compare Wynn and Venetian. Its almost as if you assume any comment about Wynn that is vaguely positive is a personal attack against you and not a simple post on a blog. I couldn't care less about Wynn and how many tables he has or doesn't have but I go there sometimes because its quite a pleasant place by Macau's grotty standards and while I'm there I can open my eyes and see how many people are there.

For what its worth, the locals I've spoken to actually say that they think the bronze / silver / gold MGM tower looks unattractive. Most people still have a soft spot for the Sands. In any event, mainland Chinese know as little about the MGM brand as they do about the Wynn brand.

Most punters get around Macau on foot. From that perspective, the Starworld and Wynn sites beat the MGM site hands down and anything on the peninsula beats the Venetian hands down. I'll happily spend my time in MGM if it is a better environment that Wynn, but all else being equal Wynn will be easier to get to.

Macau's got all sorts of problems to overcome. Capacity is one of them and it will hurt everyone's margins to some degree. Let's not forget that the Ponte 16 is also supposed to be opening later this year.

Posted by detroit1051

Grant Bowie
"Beyond what's in the press release it's difficult to say why Bowie actually left," he said. "If it doesn't have something to do with him being hired away it certainly doesn't have anything to do with fundamentals. It is not a red flag."

http://www.lvrj.com/business/8317487.html

detroit: I read that today as well + find it difficult to believe that when the 'president' of a new, major gaming property abruptly leaves like a bat out of hell, that's a SURE sign of a "red flag" if there ever was one. Also, the fact that Wynn Resorts gives no explanation for Bowie's departure adds further suspicion that all is not well in Wynnland! The company owes its shareholders some sort of an explanation, at best, when such a major shake-up of senior management occurs like the PRESIDENT of the whole joint abruptly leaving. The fact that Wynn Resorts does not divulge any details whatsoever, not even an official press release, smells like crap to me. Bowie had a long-term contract which also included a non-compete agreement (Wynn's "agreements" are absolutely absurd, they are for LIFE instead of the standard 5 year period common for senior management + officers of the corporation). The notion that he "was hired away" is pure B.S. Hey Chris B, sorry I "bore" you, however, why don't you REREAD your own post again. My response was both on-point + informative, clearly your remarks are intended as a comparative between WM, the not yet completed Venetian Macau + the Crowm Macau!

Posted by mike_ch

Because they didn't give a reason for his departure it means it can't be for any good reasons? What? Leonard, you are aware that a lot of "reasons" handed out when an executive leaves is B.S. You can't tell me if they spun some fairy tale about "wanting to spend more time with his family" that you'd be saying anything other than what you're saying right now.

Stop stretching logic this thin, because you're almost trying to prove a negative here.

mike_ch: I hope to be able, fairly soon, to confirm the "actual reasons" for Grant Bowie's departure as president of Wynn Macau. As a matter of fact, expect additional executives @ WM to also be "leaving their positions" because of__________ you fill in the blank. NONE of the seasoned top quality execs in the gaming industry WANT TO WORK FOR WYNN! Remember Don Marrandino's abrupt decision to WALK AWAY from a position as 'executive vice president + general manager' of WLV after Steve personally lured Marrandino away from Hard Rock. He was replaced with this "ass-kisser" Marc Schorr to head the property, because Schorr is willing to lick Steve's boots, if he were commanded to do so. GMAFB, Steve will NEVER be able to attract the level of corporate/administrative talent that Kerkorian has assembled by bringing into the fold the likes of Lanni + Murren! Hell, for $10M+ a year, [I] would even lick Steve's boots clean!!! LOL

In a related topic, here is Wynn's STANDARD(unenforceable) "Separation Agreement" that has NO LEGAL FOUNDATION WHATSOEVER because the terms of the dissolution limit the ability of a specially trained individual, within the highly competitive gaming industry, to otherwise be able "earn a decent living based upon that individual's previoius training, expertise + experience". These are federal guidelines folks, + if one reads the language carefully, there lacks no supportive basis or legal foundation in order to enforce such ridiculous post-employment severance policies. Considering the vast number of Steve's expensive legal counsel available to him, I am afraid that this "Separation Agreement" will NOT hold up in federal court, should it be challenged. And, trust me, it will be in short order!

http://www.astrocraps.com/seperationagreement1.html

Actually, I don't think Wynn will lose much of his customer base. I'm sorry, but men and women who drop upward of five to six, or even seven, figures a hand don't want to play in a 500,000 sq. ft. casino. Hell, if I was betting $25 a hand, I wouldn't want to gamble there. There is something about intimate and elegant casinos that will attract the upper echelon of the high limit market. MGM might be able to attract that customer base, but I sincerely doubt that VM will be able to do it. It's just too big. In addition to that, the public spaces aren't that attractive. I mean, look at LVS' last investor presentation and tell me that that is a luxuriously designed casino. Hell, it's not much better than it's Las Vegas counterpart. I mean, for a person who criticizes Wynn at every turn for uninspiring designs, Leonard, you can't say that VM's interiors show any level of interior design excellence. For the love of God, it looks like they're using EIFS in the casino, itself (I guess that's the only material you can use when you have a casino of that size). In all honesty, it's hypocritical. You can't say that this casino will destroy Steve Wynn in Macau when it's about ten times uglier than anything that Wynn himself has ever created. I mean, Wynn himself has used Hirsch Bedner, etc. yet did LVS contract a firm of that size to design their interior spaces? How is that going to destroy Wynn? In all honesty they aren't going to really compete against each other. They're attracting different market segments.

Posted by mike_ch

The plan for Macau was that VM would be that big ugly people-holder for it's convention business and other events. The smaller, more personal casinos on Cotai are coming second to getting VM through the door.

John: Adelson is offering a completely different product experience with VM on the Cotai Strip, + if successful, he would have created, developed + be the primary operator/owner, along with his selected strategic partners, of what will eventually become the most ambitious mass-gaming mega-project development in the entire world, once the focus shifts to the Cotai Strip, with the development of projects similar in scope to VM. WM + even MGM Grand Macau will both be considered the "downtown" of Macau + Cotai the "Strip". I have no fondness whatsoever for the design of the semi-cloned VM or even the existing Venetian here, however, there is no question that Adelson is raking in more money than he knows what to do with @ Sands Macau (with its 163,000+ s.f. casino) which was first out of the gate + they are cleaning up big-time, seriously cutting into WLV's bottom line. I have never considered Adelson to be a leader when it came to "progressive architectural design" as represented in ANY of his projects thus far, frankly I hate EIFS. I will admit however, that Palazzo is turning out much better than I expected + certainly comes off as a far more detail oriented design to the "average Joe" than both WLV + Encore. Sheldon Adelson's "vision" is all about generating massive amounts of profitable revenue on a grand scale + although VM is a MAJOR risk for LVS, due to its massive size plus the fact it is the first major mega-project on Cotai, Adelson will emerge the winner at the end of the day. By the time Steve trys to play catch up + builds on Cotai, his property will be a mere second rate joint, too little, too late, compared with the world-class competition there. Adelson has assembled the leading luxury resort operators on the entire planet to participate in the development of the Cotai Strip. Back to HBA, I personally knew the late Howard Hirsch (long before Hirsch/Bedner ever existed) + if you think that Hirsch/Bedner had complete 'creative control' over their limited interior design contribution to WM without having to kiss Roger Thomas' no-talent ass for approval of just about everything, you are seriously misinformed. I'm sure that job was a living hell for them. When Wynn realizes that he needs to remove Thomas (+ himself) from the equation altogether, respected firms like HBA + others will then be afforded the creative freedom in order to deliver truly first rate interior design schemes.

Posted by detroit1051

Hey John and Leonard. Thanks for the education. I never heard of EIF until you guys wrote about it, so I had to Google it:
http://www.eima.com/

detroit: Actually Bellagio's ENTIRE exterior facade is clad with this same stuff, so are all of WLV's podium + low-rise buildings. I can't blame the developers for chosing this material as an alternative since its a fraction of the cost of traditional precast concrete, significantly less weight + much easier to install. Consider EIFS similar to the equivalent of a true hardwood "veneer" surface with a particle board or solid-foam substrate, having the visual appearance of precast concrete. Adelson has been accused of "cutting corners" by using EIFS in the construction of Palazzo, when in fact Steve has been using the same material ever since Bellagio was built. You can actually take a screwdriver, or some other implement, + pierce thru the exterior veneer using "sufficient" force.

In my earlier post, I referred to Wynn Macau (WM) as opposed to "WLV" (Wynn Las Vegas), just to set the record straight, before any of all of you Wynn "fanboys" here start flaming me for my mistake.

Before Brian Fey even attempts to try + put a 'spin' on WYNN's current results at close of trading today, let's get the real facts straight. MGM (today) closed at an ALL-TIME HIGH of 87.65, exceeding their 52 week range of 87.38! WYNN is still short by 21.84 pts. of their 52 week high of 114.60. WYNN will NEVER break 100 again!

Just to clarify, I never said that Hirsh had complete control over their project and I know that no one, but Steve has control over a Wynn Resorts' project. However, I think we can all agree that using EIFS, in any way, in today's design environment shows a total lack of quality and an unmistakeable mark of cost cutting- techniques. I'm not saying that EIFS was bad ten years ago, but now it's just cheap and, well, unsightly.

John: Unfortunately the use of EIFS is widespread + common today as a an alternative to precast concrete. To the average person, they would NEVER actually notice the difference, while it may indeed be "cheap", I would not suggest that it is "unsightly" since it has the same outward appearance of actual precast concrete. I would classify EIFS as the equivalent of today's advanced insulated glazing materials that are NON reflective, but still are able to achieve the same level of heat deflection, i.e. Jahn's + Pelli's use of semi-transparent, insulated glazing on the CityCenter project, as opposed to the decades old reflective window wall of WLV/Encore, Trump, etc. This new type of glazing is extremely expensive, but provides architects with the ability to clad high rise towers with material that doesn't look like a gigantic facade of reflective mirrored window wall - that is so 1980's!