Industry insiders believe the opening of three New York City casinos could lead to the closure of casinos in Atlantic City. The experts shared their concerns at an industry conference this week, estimating that Atlantic City casinos could see a 20%-30% revenue decrease.
Among those speaking at the East Coast Gaming Conference on Thursday was Jim Allen, chairman of Hard Rock Casino. He claimed that the revenue drop for Atlantic City casinos would cause at least one of the city’s major gambling venues to close down. Allen believes this is inevitable “unless there’s enhancement to the perception of Atlantic City.”
Wall Street analysts hold a similar belief to Allen. Speaking at the same conference, Duane Bouligny, managing director at Wells Fargo, said that only Atlantic City casinos that keep investing in their businesses and have strong leadership teams will continue to grow.
Attempts have been made in recent years to decrease Atlantic City’s reliance on gambling. This has included the development of new hotels, entertainment venues, shopping centers, and a $100m water park.