Borgata Looks To Expand

The Borgata Hotel Casino and Spa, which has been a hit with gamblers since it opened nearly a year ago, had its license renewed on June 23.

The casino hotel, which started betting on July 2, was granted a one-year license renewal by the state casino control board. As is customary for Atlantic City casinos, a one-year license will be issued for the first three years.

After that, the regulator issues the license on a condition of four years.

Since its inception, the billion-dollar casino, a joint venture between Boyd Gaming Corporation and MGM Mirage, has boomed with gamblers and curiosities eager to check out its coinless slot machines, upscale restaurants, and the "Borgata Babes" cocktail server with few clothes.

Boyd Gaming's Chief Financial Officer, Elise Landau, posted $31 million in revenue before taxes, interest, depreciation and amortization in the first quarter. Boyd Gaming's Chief Financial Officer, Elise Landau, told committee members that revenue has since increased.

"Every quarter is better than the previous quarter," he said.

Borgata, however, which has 2,010 rooms, recorded below-average occupancy. The casino's daily average is 85 percent, compared to 92 percent of the total 12 casinos. Borgata employees attribute it to the price of their rooms, which is an average of $125.

"We've built a great, loyal customer base that's very, very satisfying. Overall, we've built a great, loyal customer base," said William S. Boyd, President and CEO of Boyd Gaming.

According to Boyd, Atlantic City can support two or three more mega-resorts like this.

So far, Borgata's biggest problem has been success.

Arriving at the casino over the phone can be difficult, and booking a room or restaurant can be more difficult. For those reasons, officials in Borgata are already making plans to expand the marina area casinos. 슬롯머신

CEO Robert Bogner told regulators that he and Boyd's management were doing market research to determine what kind of expansion would be most feasible, but said the most pressing issue was getting a place in the public domain.

"Our main goal right now is to manage the excess demand that we have in terms of food and drink," Bougchner said.

"It is possible to add 600 to 1,000 rooms, but no decision has been made," he said.