LAS VEGAS (KTNV) — Las Vegas Sands reports it is selling its Las Vegas properties in a $6.25 billion deal.
Apollo Global Management and VICI Properties are partnering to buy the Venetian Resort and the Sands Expo Center. Apollo is paying $2.25 billion for Venetian’s operating company and ViCI is buying the land and real estate assets for about $4 billion.
Las Vegas Sands was founded by the late Sheldon Adelson and Las Vegas was the company's roots for several years, especially with the opening of the Venetian Resort back in 1999.
Sands executives say that while selling The Venetian, the property that helped establish Adelson and the company at the top of the gaming industry, will be bittersweet, the opportunities for the company to pursue new growth prospects are robust.
"The Venetian changed the face of future casino development and cemented Sheldon Adelson's legacy as one of the most influential people in the history of the gaming and hospitality industry. As we announce the sale of The Venetian Resort, we pay tribute to Mr. Adelson's legacy while starting a new chapter in this company's history," said Las Vegas Sands Chairman and Chief Executive Officer Robert Goldstein.
Goldstein also says he thinks Apollo and VICI are the right companies to lead the property into the future.
"The property is a best-in-class asset with a talented team of people operating it. I am confident Las Vegas will soon return to a more normal operating environment and The Venetian's hard-working and dedicated team members will continue delivering a world-class experience to guests eager to enjoy it. I know I will be rooting for them," he said.
Apollo Global Management is a global alternative investment management firm and VICI Properties is a real estate investment trust specializing in casino properties.
Financial analyst, Steve Budin, tells 13 Action News these acquisitions aren't uncommon in Las Vegas. He says, often times, front line workers are spared, but upper management positions may not be so lucky.
"Generally, when these acquisitions take place, the front line workers are usually OK. So, it’s your bartenders, your servers, the dealers, those are the folks that usually hang around. It’s the purchaser that will bring in their own management team usually to help further the operations along, management that they trust and know," said Budin, founder of The Budin Group.