Jan. 08–A new tower under way at the Golden Nugget in Lake Charles, La., was cited Thursday as evidence that the Landry's-owned casino and resort has expanded the size of the tourism business there just a year after opening its doors.
It seems to have allayed concerns expressed earlier by some Louisiana tourism boosters and gaming officials that adding another casino to Lake Charles would cannibalize the market in the blue-collar town that already was home to Pinnacle Entertainment's L'auberge Casino Resort and the Isle of Capri. Coushatta was open in nearby Kinder, La.
"There was concern about how thinly you can slice a piece of pie," said Ronnie Jones, chairman of the Louisiana Gaming Board. "But no, he's brought in new business and really grown the (Lake Charles) market."
Jones was referring to Tilman Fertitta, the Landry's CEO who has built an empire of restaurants and hotels, amusement parks and casinos from his home base in Houston.
Fertitta told the Chronicle Thursday that the Golden Nugget expansion is faster than he expected.
"People want to come that don't even gamble," he said. "We could probably rent another 500 rooms on weekends."
Construction has already begun on the new tower that will add 300 rooms on the south side of the Golden Nugget's pool area by the time it opens later this year. The tower will bring the Golden Nugget's capacity to more than 1,000 rooms.
Jones said both L'auberge and Golden Nugget, the city's premier resort casinos, helped push Lake Charles into the largest gambling market in the state last year.
"Lake Charles was never a tourist destination," Jones said. "No one would say, 'Let's go to Lake Charles for vacation.' Now, it's got these beautiful casinos."
The Golden Nugget, just under three hours east of Houston on Interstate 10, opened in December 2014 with 740 hotel rooms, restaurants, 30,000-square feet of meeting space, retail and a waterfront area on the city's eponymous lake. The casino floor features 77 table games, a poker room and 1,600 slot machines. Since opening, the resort casino opened a spa and salon, a pool and an 18-hole golf course and country club.
Fertitta also has Golden Nugget casinos in Las Vegas, Biloxi, Miss., and Atlantic City, N.J.
Lake Charles, where riverboat gambling is legal, has long been a popular spot for Houston gamblers and draws 4 million visitors a year.
George Swift, president and CEO of the Southwest Louisiana Economic Development Alliance, said the chamber has seen an increase in tourism in the Lake Charles market, making the city the largest gaming market in the state.
"In the case of the Golden Nugget, it's my understanding that it's difficult to get a room there on weekends," Swift said. "An added tower will be much welcomed to the area to get more capacity. Our market will continue to be strong and become more of a destination market than ever before."
Fertitta said the biggest surprise was the number of non-gamblers. He cited the meeting business and leisure tourism, such as golfers who decide to stay at the casino. He said the resort is sold out every weekend and the hotel rooms on weekdays were sold out from Memorial Day to Labor Day.
Landry's said in a statement that the resort has "hosted multiple corporate groups ranging from insurance companies to oil and gas and petrochemical companies." It did not provide specific companies when asked for follow up. State organizations and associations that chose the casino for annual conferences and events included the Southwest Louisiana Economic Development Alliance, Louisiana Emergency Preparedness Association and the Louisiana Mosquito Control Association.
Swift also noted the strong petrochemical business in his five parish territory, which includes Lake Charles. He said there is more than $97 billion in announced projects and $40 billion of that is now under construction. He said thousands of construction jobs have been created. He said the majority of visitors to Louisiana come from the Golden Triangle, Houston, San Antonio and Austin.
"We are on the verge of an economic boom," he said.
