Las Vegas will soon be home to another Wynn Resorts Ltd. (WYNN:NASDAQ GS) property as casino magnate Steve Wynn reportedly told shareholders on Monday that he is planning to build a fourth hotel on the site of the former Frontier.
Bloomberg reports that the 38-acre site acquired by Wynn Resorts Ltd. in December 2017 for $336 million, is located just across the Strip from Wynn’s pair of existing properties, Encore and Wynn, which will be linked via an “air-conditioned umbilical hallway” to the new 2,500-room hotel, Wynn reportedly said on a conference call Monday.
According to KSNV Channel 3 Las Vegas, the new hotel is called “Wynn West.”
The publicly traded company based on the Las Vegas Strip is also building Paradise Park. The proposed 20-acre lagoon project is reportedly to be built on what is now an 18-hole golf course situated just east of Wynn Las Vegas and Encore and would be surrounded by a new 1,000-room hotel tower and convention center, a white-sand beach and a boardwalk. Last year reports indicated that work on the first phase of Wynn Paradise Park would begin by the end of 2017 or in early 2018.
On the call Monday, Wynn said, “Hotels are extremely profitable,” according to Bloomberg. “With our room rates, we operate 50-to-60 percent margins in the hotels. So I want to add more rooms,” he explained.
Preliminary data from the Las Vegas Convention & Visitors Authority reportedly shows that in 2017, for the first time in four years, visitors to the city declined 1.7 percent to 42.2 million. In the last three months of the year, declines were reportedly steeper after a mass shooting on Oct. 1 that left 58 people dead.
Bloomberg reports that last year in Las Vegas room rates swelled 2.8 percent to an average of $129 a night, while the occupancy rate changed little from a year earlier.
The hotel rooms at Wynn West will reportedly feature 80-inch TVs, 24-foot-wide window views and his-and-her bathrooms. Wynn said that the company’s average room rates are on the rise and by the time every room that is under construction is completed, they will like hit $400, according to the Bloomberg report.
In Everett, Massachusetts the $2.4 billion Wynn Boston Harbor Resort located along the banks of the Mystic River and described by Wynn Resorts as “America’s first five-star urban gaming resort,” will reportedly open its doors in 2019.