|By Suzette Parmley, The Philadelphia
InquirerMcClatchy-Tribune Regional News
July 10, 2012--If June revenue numbers released Tuesday by the New Jersey Division of Gaming Enforcement are a barometer of how well a casino will perform in the slower winter months in Atlantic City, then the new Revel is in trouble.
June is a peak month at the Jersey Shore resort, and the mega casino generated $14.9 million on total gambling revenue, ranking it 8th among the city's dozen gambling halls for the third consecutive month since it debuted April 2.
By comparison, market leader Borgata pulled in $53.3 million last month, about three and a half times more than Revel.
Revel finished ahead of the Atlantic Club, Resorts, Golden Nugget and Trump Plaza -- all much smaller, and less leveraged properties than the $2.4 billion casino that is supposed to lead Atlantic City's transformation into a mecca for both gaming and nongaming attractions.
Revel CEO Kevin DeSanctis had likened the build up to the casino's Memorial Day grand opening as a Broadway show. If that's the case, then Revel has been a flop, according to analysts and about a half dozen gamblers interviewed last week about the property.
Revel had a history of financial problems before it was finally completed earlier this year.
Morgan Stanley originally owned the casino and invested $1.2 billion, starting in 2007. It sold the project, post-economic collapse, to the Revel group, led by DeSanctis, for essentially zero dollars and took a $1.2 billion loss. DeSanctis raised $1.2 billion early last year to finish it.
Of the $14.9 million, Revel made $9.9 million from slots and $5.0 million from table games in June. It ranked ninth in slots revenue and sixth in table games revenue.
Contact Suzette Parmley at 215-854-2594 or firstname.lastname@example.org.
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