Who Owns the Venetian Las Vegas?
Overview of the Venetian Las Vegas
The Venetian Las Vegas is a luxury hotel and casino resort located on the Las Vegas Strip. It was opened in 1999 and is owned by Las Vegas Sands Corporation, which is a subsidiary of the publicly traded company Las Vegas Sands. The Venetian Las Vegas is the flagship property of the company and is known for its Italian-themed architecture, including a replica of the Grand Canal in Venice, Italy.
The resort features over 7,000 guest rooms, a 120,000 square foot casino, a variety of dining options, and numerous entertainment venues, including the Grand Canal Shoppes and the Venetian Theatre. The Venetian Las Vegas is also home to several notable attractions, such as the Guggenheim Hermitage Museum, Madame Tussauds Las Vegas, and the Canyon Ranch SpaClub.
The Venetian Las Vegas has been recognized for its sustainability efforts, including its LEED certification, energy-efficient lighting systems, and water conservation programs. It has also been recognized for its commitment to corporate social responsibility, including its support of local charities and community organizations.
The Sale of the Venetian Las Vegas
In March 2021, the Venetian Las Vegas was sold by Las Vegas Sands Corporation to Apollo Global Management and VICI Properties in a deal worth $6.25 billion. As part of the deal, Apollo Global Management acquired the operating assets of the resort, while VICI Properties acquired the real estate assets.
The sale of the Venetian Las Vegas marked the end of an era for Las Vegas Sands Corporation, which had owned and operated the resort since its opening in 1999. The sale was part of a larger shift in the company’s strategy, as it sought to focus more on its operations in Asia, where it operates several resorts in Macau and Singapore.
The new owners of the Venetian Las Vegas have stated that they plan to continue operating the resort as a luxury destination and to invest in its future growth and development. The sale has also raised questions about the future of the Las Vegas Strip and the role that private equity firms will play in the casino industry going forward.
Current Owner of the Venetian Las Vegas
As of March 2021, the current owner of the Venetian Las Vegas is a joint venture between Apollo Global Management and VICI Properties. Apollo Global Management is a private equity firm that specializes in leveraged buyouts and debt investments, while VICI Properties is a real estate investment trust (REIT) that owns and operates a portfolio of gaming, hospitality, and entertainment destinations.
Under the terms of the sale, Apollo Global Management owns the operating assets of the resort, including the casino, hotel, and other amenities, while VICI Properties owns the land and buildings. This structure is similar to other recent casino sales, where the real estate assets are separated from the operating assets in order to unlock value for shareholders.
The new owners have stated that they plan to continue operating the Venetian Las Vegas as a luxury destination and to invest in its future growth and development. They have also expressed interest in expanding the resort’s offerings and amenities, including potentially adding additional hotel rooms, restaurants, and entertainment venues.
The Impact of the Pandemic on the Venetian Las Vegas
The COVID-19 pandemic had a significant impact on the Venetian Las Vegas, as it did on the entire hospitality industry. In March 2020, the resort temporarily closed its doors in response to the pandemic, and remained closed for over two months. When it reopened, it implemented a range of health and safety protocols, including mask requirements, social distancing measures, and increased cleaning and sanitation procedures.
The pandemic also had a significant impact on the resort’s financial performance. In the fourth quarter of 2020, Las Vegas Sands Corporation reported a net loss of $299 million for its Las Vegas operations, which included the Venetian Las Vegas. This was in contrast to the same period in 2019, when the company reported a net income of $202 million for its Las Vegas operations.
Despite the challenges posed by the pandemic, the Venetian Las Vegas has continued to attract visitors and generate revenue. In the third quarter of 2021, Las Vegas Sands Corporation reported that its Las Vegas operations, including the Venetian Las Vegas, had generated net revenue of $309 million, an increase of 30.6% compared to the same period in 2020.
Future Plans for the Venetian Las Vegas
The new owners of the Venetian Las Vegas have stated that they plan to continue operating the resort as a luxury destination and to invest in its future growth and development. They have expressed interest in expanding the resort’s offerings and amenities, including potentially adding additional hotel rooms, restaurants, and entertainment venues.
One area of potential growth for the Venetian Las Vegas is sports betting. In March 2021, the state of Nevada approved a law that allows casinos to offer sports betting kiosks outside of their properties. The Venetian Las Vegas is well-positioned to take advantage of this opportunity, as it is located on the Las Vegas Strip and has a large footprint that could accommodate sports betting kiosks and other amenities.
The new owners have also expressed interest in leveraging the Venetian Las Vegas brand to expand into other markets. This could include the development of additional properties in other locations or the creation of new partnerships and collaborations with other companies in the hospitality and entertainment industries.
Overall, the future looks bright for the Venetian Las Vegas under its new ownership. With a strong brand, a prime location on the Las Vegas Strip, and a commitment to innovation and growth, the resort is well-positioned to continue attracting visitors and generating revenue for years to come.
