hollywood billionaire

Chapter 179 Circus Circus
"Circus Circus..."

The casino is not big, and there are only a few well-known hotels on both sides of the wide Las Vegas Boulevard in the core area. Without searching in his mind for too long, Ruben Keehoon retrieved information related to Circus Circus, which is the Circus Casino Hotel.

Located at 2880 South Las Vegas Boulevard, this multi-entertainment center was built by Jay Sarno, a hotel tycoon in Atlantic City and Las Vegas in the 60s, who spent a huge sum of US$1500 million. When it first opened in 1968, Circus Circus only had a two-story low building. The first floor was the casino lobby, and the second floor was a carnival game hall specially set up for children.

In the United States more than 50 years ago, even whether to stop domestic violence was a topic of heated debate across the country, but Jay Sarno, who had a long-term vision, had already seen a bright future for parent-child entertainment, turning the Circus Casino into the first family-oriented casino in Las Vegas.

In the first four years of operation, the operation of the Circus Casino did not improve much, but in 1972, after the 15-story hotel podium with a total of 407 rooms was put into use, the Circus Casino Hotel, which finally had accommodation and reception capacity, began to embark on a healthy track of profitability.

Although it is definitely not the most luxurious tourist landmark in Las Vegas, as Howard Hughes said, "Circus Circus is incompatible with the high-end resorts on the Las Vegas Strip", but its unique positioning as a family tourism destination and relatively speaking The level of consumption that is more acceptable to the middle class made the Circus Casino Hotel always full of people throughout the 70s.

It stands to reason that the circus casino hotel that has turned a profit should rapidly expand its business scale, further enrich the family entertainment facilities, and regularly update various equipment in the hotel and casino. However, even in the federal territory that advertises a free market, administrative power and legislative changes have a profound impact on the private sector. In 1970, the 91st U.S. Congress passed the Anti-Racketeering and Bribery Organization Act, or the RICO Act, mainly to declare war on the Italian-American mafia forces that had established deep roots at that time and had already controlled half of New York, most of Atlantic City, and all of Las Vegas.

Against this backdrop, in 1974, Jay Sarno, an Italian-born businessman who was a mafia white glove, and his partner Stanley Morin began to accept investigations by the federal government on their suspected tax evasion and participation in organized crime.At the time, one of the five Mafia families behind Jay Sarno's money—the Lucchese Crime Family—was already in steep decline.

After the family founder Tommy Lucchese died of a brain tumor in 1967, Carlo Gambino secretly helped Carmine Tramonti come to power and took control of the organization. In 1973, after Tramonti was arrested for a mega drug ring, the family's properties came under a sweeping attack from the federal government, including two Las Vegas casino hotels run by Jay Sarno.

The crisis from New York and New England forced Jay Sarno not only to sell the Caesars Palace Hotel for $6000 million, but also to sublease the Circus Casino Hotel to William Bennett and William Pennington, two pure white entrepreneurs acceptable to the federal and Nevada governments.

A few years before Bennett and Pennington took over the Circus Casino Hotel, Jay Sarno was still trying to exert influence on the operation of the hotel and casino as a landlord, and he had been trying to find ways to revive the honor and prestige of the Lucchese family in Las Vegas.However, the FBI's supervision of the mafia is getting stronger and stronger. The mafia under heavy pressure fights on the streets of New York in order to compete for the benefits that have been reduced. The once stable mafia committee system exists in name only.The leaders of each family changed like a revolving lantern in the middle and late 1970s. They either went to prison or were assassinated by their enemies in various public places.

Therefore, Jay Sarno, who was internally and externally trapped, finally chose to let go in 1983 and sold the entire ownership of the Circus Casino Hotel to Bennett and Pennington, but at this time, 15 years had passed since the hotel was completed.The rapidly aging internal facilities and the new hotels that have sprung up one after another in the vacuum of the casino formed after the Mafia retreated made the Circus Casino Hotel completely lose any possibility of transformation and upgrading and become Disney in Las Vegas.

The next process is not much different from human aging.Although a new 1986-story hotel wing was built in 29, an adventure park including a roller coaster, a rock climbing wall, a golf course and a video game hall was added in 1993, and a 1996-story building was built in 35, but this can only increase the capacity and reception capacity of the Circus Casino Hotel. The positioning of the venue itself has not changed, and it is still mainly to attract young families and retired couples.

And what kind of spending power can such an audience have in Las Vegas?

“The Circus Casino Hotel…”

Having said that, Ruben Keehoon dragged his voice, as if he wanted to find the best perspective on this integrated entertainment resort.

He didn't want to offend MGM, and he didn't want the cooperation to fall through because of any words in the conversation that might be misunderstood by the other party.

"It's... a landmark building with a long history. If I remember correctly, it should be the earliest asset under the MGM International Hotel Group. We Latino immigrants attach great importance to this connection with the city's history. Do you know, Mr. Han, that in fact, the Circus Casino Hotel is by far the most popular casino hotel among Latinos, bar none."

"Oh yeah, that would be great."

Although he didn't know about this situation beforehand, there was no surprise in Han Yi's tone of response.Just look at the target customer group of the Circus Casino Hotel, and the largest proportion is young families.In the United States, the community with the largest number of young people, the most fond of having children, and the most important family values, besides Latinos, who else?

"Mr. Keehoon, this interesting trifle you mentioned coincides with our thinking and planning. Anyone must admit that the United States is entering an era of true diversity without a majority of ethnic groups. Excellent immigrants flocking from all over the world provide continuous fuel for this land. Whether they come from South America, Asia or elsewhere, these immigrants are a precious asset that this country needs to cherish. I believe you must agree with me on this point, don't you?"

"Yes, Mr. Han, fighting for equal treatment for everyone who comes to this land and lives in a just way is the core idea of ​​my politics." When it comes to his core campaign platform, Reuben Keehoon expressed it quite smoothly, "I hope to be the first Latino elected to Congress in Nevada, and I hope to be the first 'Dreamer' on Capitol Hill, paving the way for more 'Dreamers' like me."

The so-called "Dreamer" in Ruben's mouth does not actually mean a dreamer.In American political circles, this word actually refers to those who support the DREAM Act or are influenced by the idea of ​​the DREAM Act.

The so-called DREAM Act, the full name of the "Development, Relief, and Education of Alien Minors Act", was jointly proposed by Democratic Congressman Dick Durbin of Illinois and Republican Congressman Orlin Hatch of Utah.

Although the DREAM Act has not been passed by the Senate and the House of Representatives so far, the concept of immigrant absorption it represents has become a creed firmly adhered to by many ethnic minorities, especially illegal immigrants.

Exactly how Ruben's father, Armando, brought his family to enter California, and how Ruben himself obtained citizenship is a secret and impossible to verify.But there is no doubt that immigrants, Latino immigrants, and Latino illegal immigrants are the basics of Ruben Keehoon, and they are also his biggest reliance on rising in the American political circle in the 2010s.

"We're all 'Dreamers.'"

Han Yi spread his hands, smiled and gave an ambiguous answer about the bill and Ruben's political stance.

"Just like what you want to do on Capitol Hill, I am in Las Vegas, and I also want to benefit the new immigrants in the new century. Or, not only immigrants, but all foreign tourists who will leave their footprints in Las Vegas. Las Vegas has its own deep-rooted, American-style casino culture, which is good. But in this country, isn't all the culture that everyone is accustomed to gradually tempered in the past few decades, at most hundreds of years?"

"Caesars Palace belonged to Las Vegas in the 60s, MGM Hotel set the benchmark for the 70s, Mirage in the 80s was the dream of tourists all over the United States, and Bellagio and its fountains drew a happy ending for the 21th century. In the 00st century, the Wynn Hotel in the 10s made modern entertainment experience a standard for every casino, while the Aria Casino Hotel and the Mandarin Oriental next to it in the [-]s were tailor-made for the growing number of Asian gamblers. built."

“Travel is inherently an ever-renewing experience, especially in the ever-changing city of Las Vegas. Every decade, the concept of entertainment that Nevada offers the world takes a big step forward, so in the second decade of the coming century, we hope to be a major driver of that progress.”

"Wow."

Ruben Keehoon couldn't help sighing, not only because of the amazing eloquence of this rich Chinese man, but also because of his vigorous ambition that doesn't match his appearance and age.

"You mean, to transform the Circus Casino Hotel...into a comprehensive entertainment center that is ahead of the times?"

"I wouldn't use the word 'retrofit'..."

Han Yi shrugged, and casually threw out several words that made Ruben's hair stand on end.

"I want to buy it, blow it up, bulldoze it, rename it."

"You want to blow up..."

Lu Ben leaned back slightly.

"A historic building that stood on the Las Vegas Strip 50 years ago."

"Is the Circus Casino Hotel a historic building?" Han Yi frowned and asked, "Certified by the city government?"

If the city government of Las Vegas or the state government of Nevada listed the building of the Circus Casino Hotel as a historic building for protection, then his plan could only be announced in advance.

"Oh, no, it's not that kind of 'historic building'." Reuben Keehoon raised his hands and drew double quotation marks with his index and middle fingers in mid-air. "I mean, it has existed in the city center for quite a long time, and many interest groups...especially MGM International Hotel Group may not agree easily. I mean, MGM has bought the Circus Casino Hotel for 11 years, and even in 08 they have not thought about selling assets."

"As long as it is not an untouchable restricted area, as for whether MGM will want to sell it... Like I said, we are in an era of drastic changes. Who can say clearly what will happen in the future?"

Can anyone make it clear?Others can't, but Han Yi can definitely.

First of all, MGM International Hotel Group owns a number of well-known and highly profitable casino hotels on the Las Vegas Strip, including Bellagio, Cosmopolitan and Aria leased from Blackstone Group, as well as self-operated New York New York Hotel, MGM Grand Hotel, Excalibur Hotel, Luxor Hotel and Mandalay Bay Resort.Either one is more profitable than the Circus Casino Hotel.

In fact, the MGM Group had no intention of purchasing the Circus Casino Hotel, but because it was an asset of the Mandalay Resort Group, it was packaged and merged into MGM in the acquisition in 2005.

This is the fundamental reason why MGM has never put the refurbishment of the Circus Casino Hotel on the agenda. In 2007, they even wanted to tear down the motel and caravan park part of the casino and build another hotel. Finally, due to the financial crisis, cash flow was tight, and finally converted into a Las Vegas festival venue.

MGM’s disregard for the Circus Casino Hotel can be well demonstrated from a small detail-whether it is the hotel’s 45th anniversary celebration or [-]th anniversary celebration, the group has no marketing actions, let alone held any celebration for the Circus Casino Hotel.

In other words, the Circus Casino Hotel and the Las Vegas festival venue to the north of it have always been a long-standing problem within the MGM International Hotel Group. If a buyer is willing to take over, it is a dream for MGM.

Since there is not enough capital to revive the circus, it is more appropriate to sell it at a discount.

Originally, MGM could put the Circus Casino Hotel aside, let it continue to attract mid-to-low-end tourists for self-sufficiency, and then slowly find the negotiation party with the highest bid, but the massacre at the Route 2017 Harvest Music Festival in Mandalay Bay in 91 completely changed the course of history.

The gunman who shot and killed 32 people and wounded 60 people in the suite on the 413nd floor of the Mandalay Bay Hotel has severely damaged the financial situation of the entire Mandalay Resort Group.In order to save its sub-groups, MGM had to cut prices and sell off Mandalay’s assets. The Circus Casino Group and the adjacent Las Vegas festival venue were packaged and sold in 2019 for $8.25 million to the Treasure Island Hotel Group at the helm of Phil Ruffin.

Although Han Yi doesn't have 8.25 million US dollars on hand, there are still 12 billion unactivated rewards lying in his Carlyle Group investment fund account.As long as he can complete the five tasks in the memo by October 2017, 10, then he can rush to Phil Rubin and make an offer to MGM that they can't refuse in times of crisis.

Taking a step back, even if the $12 billion is still unavailable at that time, Han Yi still has many ways to raise $8.25 million. It is not impossible to bring the Carlyle Group and Parkway Capital together to form an investment cluster and jointly occupy this prime location north of the Las Vegas Strip.

Blackstone Group’s brilliant achievements in the luxury real estate and hotel industry in Las Vegas are envied by everyone on Wall Street. Although real estate investment is not the main business segment of Carlyle Group, building a cash cow with a valuation of more than one billion and showing shareholders Carlyle’s growth potential in the live entertainment sector is an idea that Han Yi mentioned in a routine phone call with David Rubenstein a month ago.

And David Rubinstein was interested.

Therefore, Han Yi's meeting with Ruben Keehoon today, from a more macro strategic point of view, was just looking for a reserve team for the acquisition plan of the Circus Casino Hotel. Just relying on the Carlyle Group's deep network on Pennsylvania Avenue, this matter will not receive much resistance at the state or city government level.

But after thinking about it, Han Yi still decided to throw an olive branch to Ruben, a rising political star who is not yet firmly established, because he will continue to cultivate in the North American continent for a long time in the future. In terms of administrative power, he must not rely entirely on a "trusted" investment group to help him handle all troublesome matters.

Whether in the business field or the political circle, keep a hand in everything, so as not to be backlashed by ambitious plans.

"understood."

Han Yi is looking at Reuben with a cautious eye, and the future member of the 114th Congress is looking at him with the same eye.

With a face that is too young, and words that are too shocking, anyone will be cautious.

"So, on the premise that MGM agrees to transfer the Circus Casino Hotel to you... If you don't mind, can you briefly disclose to me your next construction plan? I mean, after completely blowing up the Circus Casino Hotel building."

As if feeling that his wording was not detailed enough, Ruben Keehoon thought for a moment and added another sentence.

"In this way, I can grasp your ideas more accurately, and I can better help you build the golden zone of Las Vegas together."

"First of all, we cannot waste the gaming license of the Circus Casino Hotel. No matter what plans we make, this point will not change. A larger, grander and more advanced future casino will be built on the original site to meet the entertainment needs of tourists."

"As for the adventure park, we think there is still a lot of room for utilization of this facility, so it should not be demolished, but some technical transformations should be made."

"Then ... the hotel, and its associated entertainment facilities, is a top priority in our 'circus redevelopment plan'."

"If there is no accident, I will fully respect and give full play to my Asian advantages, and introduce two world-renowned top luxury hotel brands in Asia to Las Vegas."

"The... top luxury hotel in Asia." Ruben Keehoon chewed on the words thrown out by Han Yi, "You mean Shangri-La or... The Peninsula? It must not be the Mandarin Oriental, they have already settled next to Alia..."

"No, Ruben, it won't be Shangri-La, and it won't be The Peninsula. The brands I want to introduce are a level above them."

Having said that, Han Yi leaned forward and put on his seductive magnetic voice again.

"Have you heard of... Rosewood and Aman?"

　Hello everyone, how do I press the button for voting monthly?Can you guys demonstrate it for me?

　　
　
(End of this chapter)