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Penn Entertainment is making moves.
This week, the company announced a $206 million expansion plan at its M Resort property in Henderson, Nevada. The project includes building a second tower that will more than double the number of rooms and suites at the property.
“At the M Resort, the addition of a second tower will benefit from the strong demand in the Henderson locals market while providing additional capacity for the group business that is drawn to our market-leading resort and amenities, including our highly successful partnership with the Las Vegas Raiders,” Penn Entertainment CEO and President Jay Snowden said in a release.
The M Resort expansion is one of four projects Penn Entertainment announced. In total, the company will spend $850 million.
M Resort to get massive makeover
M Resort is a stunning property located a few miles south of the Las Vegas Strip. The property has won the AAA Four-Diamond award and is a four-star property in Forbes’ travel guide. It receives excellent reviews from travelers on TripAdvisor and Google. In all, it’s a top-notch property for those who don’t want to deal with the frenetic pace of the Strip.
The property opened in 2009, making it 13 years old. In casino years, that’s a long time. As such, Penn believes it’s time for a facelift. According to the company, the expansion project will include:
- Building a second tower that will add around 384 rooms
- Expanded meeting space
- Updated amenities
- Additional local partnerships
Generally speaking, these are all pretty normal upgrades for a casino property. Another tower means more revenue. Updated amenities will improve the guest experience. Expanded meeting spaces make the rest a good option for conferences.
Penn didn’t provide details about what its updated amenities would look like. But, considering that they’re adding a new tower, the resort’s current pool probably won’t work. So, look for a bigger pool that can handle more guests.
Vegas project part of a bigger push to build, update properties
In addition to the Henderson project, Penn has three other initiatives on the table:
- Build a new casino in Aurora, Illinois, that will replace Hollywood Casino Aurora riverboat
- Build a new casino in Joliet, Illinois, that will replace Hollywood Casino Joliet riverboat
- Construct a new casino in Columbus, Ohio, that will replace Hollywood Columbus
In total, the projects will cost $850 million. Of the four projects, the Aurora job requires the most money: $360 million. The renovation of the M Resort is the second most expensive project at $206 million, and the Columbus and Joliet projects will cost a combined $285 million.
“We are delighted to announce these exciting new growth projects, which we expect will generate strong free cash flow returns and create long-term value for our shareholders,” Snowden said.
