Integrated Properties acquires the former Revel Casino after Polo North is unable to reach agreements with the DGE over licensing and tax concerns.
Since 2015, the Polo North company has been the owner of the former Revel Casino of Atlantic City. Polo North, which is run by renowned businessman Glenn Straub, had high hopes of returning the Revel to its former glory after acquiring the property in bankruptcy proceedings several years ago.
The Revel has laid dormant for some time now with Straub having plans to reopen the venue as the rebranded TEN Casino. The property never got to see that resembled a grand opening and now it seems a company based in Colorado is has become the new owner. It seems that after years of battling with city officials and other New Jersey politicians over numerous issues and tax concerns, Straub has decided to sell the much-maligned casino.
According to documents received by the Atlantic County Clerk’s Office, Integrated Properties Inc. is the now new owner of the TEN property. It was in 2016 that Straub decided to rename the building TEN Casino, with the number “ten” symbolizing excellence and beauty in certain cultures. Straub continued to face problems with the property, from casino licensing issues to utility problems. Straub will no longer be burdened by the property as Integrated Properties will now be able to decide how the venue moves forward.
Integrated Properties Inc. was founded by Mile High Dice MRG, a company owned by Bruce Deifik. The assets of the company include apartment complexes, hotels, newspapers and media outlets. Earlier in the year, the TEN property was to be acquired by Keating & Associates, an investment firm of New York City, but that deal fell through. In all, it has been reported that Polo North and its owner Straub will stand to make a 9-figure profit in the deal.
Quick History of the Revel
The Revel Casino and Resort was opened in April 2012. At a cost of $2.4 billion, the building was the most expensive skyscraper to be constructed in Atlantic City. The goal was to create a Las Vegas-style resort that would give the Borgata a run for its money as THE premier east coast gambling destination.
However, the casino had issues from the beginning, including debt problems. The property faced a $3 million a month bill for electricity from ACR Energy Partners. Staff and contractors hadn’t been paid for their work and the list went on and on from there. They even offered blackjack rebate programs up to $100k and even that wasn’t enough to save the ill-fated property.
Bankruptcy Court Proceeding
During just over two years in operation, Revel Entertainment declared bankruptcy two times. The second bankruptcy filing took place in September 2014. The casino then decided to close down and would become of four that shut down that same year in the Atlantic City area.
In November 2014, an auction took place where Brookfield Asset Management took hold of the property for $110 million. Polo North had bid $93 million but lost to Brookfield. Once Brookfield came to the realization that ACR Energy would not be lowering the cost of energy, Straub was able to acquire the property after Brookfield surrendered their 10% deposit and pulled out of the deal.
After a few years and millions invested back into the property, Straub tried to reopen the hotel portion of the building. Yet again, this would not come to fruition due to constant battles over the property’s tax status. Regulatory issues then remained a problem as well, with Straub bringing complaints to the Division of Gaming Enforcement and voicing his concerns over the delays of his hotel’s grand opening.
His disdain over the entire process left a bad taste in Straub’s mouth, as he would eventually sell off the hotel to the aforementioned Integrated Properties Inc. He seemed like he genuinely wanted to bring back jobs to the area and eventually relaunch a casino as well. However, it seemed easier to sell off the project and walk away with a reported $100 million in profits.