Summary
With statistics showing a rather slow start for 2009, can the Las Vegas gaming industry show some promise for the remainder of the year? Where will the business come from to create added revenue? Will the slight signs of the national economy improving create some incentive for people to head to Las Vegas?
Analysis
The general economy being what it is, it's hard to see any great improvement in the tourist count for the next several months in Las Vegas. Hoping that there will be more dollars in the hands of consumers by the the last quarter of this year, early 2010 could see some upward trends. Trying to predict just what consumers plan to do with their cash is a guess at best. In all previous business downturns, the gaming industry in Las Vegas has always recovered quicker than most other businesses. It remains to be seen if this will hold up this time. The recession we are experiencing now is certainly deeper then anyone could have imagined 18 months ago. There are some prospects on the horizon. The opening of MGM/Mirage CityCenter could have a major boost to the local economy. The hiring of personnel to operate these new properties will take people off the unemployment rolls and give them spendable income again. This property will also create demand for more tourism for the Las Vegas area. A new resort opening, is always a big event, and will help other properties to create additional business on the strip.
Every new event that occurs will bring some business to the area. The just opened new venue at the Hard Rock Hotel will certainly create new entertainment value to Las vegas. It's a four thousand seat showroom with top entertainment being presented. It should help... There is hope that Boyd Group will restart their mega project on the strip. The completion of the Fountainbleau and it projected opening in the last quarter of 2009 will give added pizazz to the area. The slowly improving economy could help prevent future convention business from deciding not to attend Las Vegas conventions. We have lost business that supports food & beverage, entertainment and retail. These are other areas that need support to help our hotel/casinos from dropping more revenue.. Being very bullish on the gaming business, my look for our industry is to see some sun shine - it could come at the very end of 2009 and hopefully see a dramatic improvement in 2010............
