Las Vegas

MGM agrees to sell properties, land to VICI in $17.2 billion deal – Las Vegas, Nevada

Las Vegas, Nevada 2021-08-04 21:04:14 –

Las Vegas (KTNV) — A large transaction involving multiple properties on the Las Vegas Strip has been completed. VICI Properties Inc. will acquire MGM Growth Properties, the real estate arm of MGM Resorts, for over $ 17 billion in transactions.

According to financial analyst Steve Budin, MGM split the company in two about five years ago. MGM Resort International operates approximately five dozen resort casinos on the Strip. Those resorts.

Today, MGM Resorts International has sold MMG Growth Properties to VICI for over $ 17 billion in transactions. As part of the deal, MGM Resorts International will receive approximately $ 4.4 billion.

Bill Hornbuckle, Chief Executive Officer, said: Executive and President of MGM Resorts, In a press release.. “As a result of these actions, we continue to focus on pursuing growth opportunities for our core businesses, with great financial flexibility to continue to develop capital to maximize shareholder value. . “

MGM Growth Properties has a portfolio that includes about 6 strip properties such as MGM Grand, Mandalay May, The Mirage, Park MGM, Luxor, New York New York and Excalibur. The properties that VICI is getting are unknown, According to the press releaseAccording to the company, the transaction “creates the largest experiential real estate owner in the United States with a corporate value of approximately $ 45 billion.”

Budin does not believe this transaction will have significant implications for customers or employees entering these properties.

“The operator is still MGM, so the average customer won’t notice the difference. So if you have a player card, nothing will change if you make a reservation. Still, it’s a property run by MGM. They are casinos. Just pay the rent to the new company. MGM still runs the casino, so any employee of any of these MGM properties will not notice the change. ” Budin said.

MGM Resorts owns approximately 1% of the VICI Operating Partnership. The transaction is expected to close in the first half of 2022.

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