A failed Las Vegas casino was bought earlier this week, according to a report from the Las Vegas Review-Journal.
Lucky Dragon Resort Las Vegas
Don Ahern, chairman of the board and CEO of construction equipment company Ahern Rentals, purchased the closed Lucky Dragon Hotel and Casino from Snow Covered Capital for $36 million.
Jan 21, 2016 Under construction Lucky Dragon Hotel & Casino ended last year on a sour financial note, but visual evidence points to the project bouncing back. Lucky Dragon When the Lucky Dragon opened in late 2016, it was the first major Vegas resort built from the ground up since the Cosmopolitan in 2011. It was heavily promoted to the growing Asian tourism market, but the North Strip location turned out to be a problem, generating little traffic and interest. Lucky Dragon opened doors in November 2016 as an Asia-themed boutique hotel and casino resort in the northern end of the Las Vegas Strip. The property was the first to be built from the ground up in the city in many years. It targeted Chinese high rollers with dedicated offering.
The Asian-themed casino opened in December 2016 and was the first new casino in Las Vegas since Aria was opened in 2010. It was a $139 million project located just north of the strip.
The casino struggled from the start, however, and by March 2017, approximately 100 of the 800 employees were fired as a result of poor customer turnout. In September of that same year, the Lucky Dragon received a default notice on its $90 million loan.
Lucky Dragon Las Vegas Wikipedia
Lucky Dragon Las Vegas Closed
In January 2018, the casino and restaurants were closed in an effort to reorganize the company and reopen within six months. A foreclosure notice was filed the following month. At the time of foreclosure, there was still $48.9 million remaining on the loan.
Lucky Dragon entered Chapter 11 bankruptcy, which temporarily preserved the jobs of the remaining 98 hotel employees. The hotel closed in March of 2018.
Snow Covered Capital, the resort’s main lender, took ownership of the property and set the opening bid for the property at $35 million at the foreclosure auction last October. It received no bids.
The property features a nine-story hotel with 203 rooms and 27,500 square feet of gaming space. When the property was open, there were five restaurants and a spa as well.