Caesars Entertainment will be pumping $170 million into updating the hotel rooms at two of its Atlantic City, New Jersey, casinos this summer, part of $400 million total the company will be spending on all three of its properties at the seaside gambling mecca.
The Reno, Nevada-based casino operator on Wednesday said it will initially invest in guest room and suite updates, new restaurants and amenities at its flagship, Caesars Atlantic City, and Harrah's Resort Atlantic City. That's just the first phase of Caesars' master plan for renovations meant to bolster the New Jersey municipality's "position as a Las Vegas-style destination."
Overall, by 2023, the operator said it will be spending $400 million to make improvements at all of its Garden State casinos, including Tropicana Atlantic City.
Caesars Entertainment and Eldorado Gaming, seeking approval for their merger last year, told state gaming regulators they would make a large investment in the three Atlantic City properties. Their merger got the go-ahead, with the consolidated company keeping Caesars Entertainment as its name.
Caesars' announcement came the same week the owner of the Ocean Resort Casino on the Atlantic City Boardwalk said it was spending $15 million to freshen up that property. Atlantic City, the second-biggest U.S. casino market behind Las Vegas, saw its gross operating profits plummet 80% last year, to $117.5 million from $594 million a year earlier, amid the pandemic, according to the New Jersey Division of Gaming Enforcement. But Caesars is still upbeat on the city.
"Building on our rich, 40-year legacy in the market, we are excited to introduce the new Caesars Entertainment to Atlantic City through our $400 million investment and development plan," Anthony Carano, the company's president and chief operating officer, said in a statement.
The three-year master plan for improvements "will revitalize Caesars' brand of hospitality, and will continue to position Harrah's, Tropicana, and Caesars Atlantic City" as leading resorts in the market, according to Carano.
"We remain bullish on Atlantic City, and this commitment will further position us for long-term growth and success," he said.
Caesars' plans include remodeling room towers, adding new interior design elements, making enhancements to the casinos' gambling floors and introducing new dining concepts with well-known restaurant partners.
"My administration has teamed up with corporate, community and government partners in an effort to reestablish Atlantic City as a premier tourist destination in New Jersey," Gov. Phil Murphy said in a statement. "This $400 million investment in the city supports our focus on growing the economy, continuing to support Atlantic City, and creating jobs in our state, and I applaud Caesars Entertainment for leading the recovery effort."
This summer, Caesars will unveil the room updates at Caesars and Harrah's Resort, beginning with about 600 guest rooms and suites in Caesars' Centurion and Ocean towers, as well as Harrah's Atrium Tower, which is in the Marina District.
At Caesars, the designs will draw inspiration from the local Atlantic City scenery, including the beach, ocean and Boardwalk, according to the operator. The guest rooms and suites will feature contemporary furniture, as well as modern bathrooms with oversized showers and mirrors.