The San Manuel Band of Mission Indians and the San Manuel Gaming and Hospitality Authority on Tuesday said they have reached a definitive agreement for a subsidiary of SMGHA to acquire the Palms Casino Resort in Las Vegas from Red Rock Resorts, Inc.
Red Rock Resorts said the sales price was $650m in cash, subject to customary adjustments.
The Palms, which has been closed for more than a year, is located just west of I-15 near the Las Vegas Strip. It has a casino, approximately 700 hotel rooms and suites, multiple casual and upscale dining options, meeting and convention spaces, a 2,500-seat theater, pool and spa, and Palms Place condominiums.
The parties said the transaction is expected to close later this year, subject to regulatory approvals and other customary closing conditions.
The Tribe noted it has demonstrated an interest in and supported the Las Vegas community for many years. It has made contributions to non-profits and institutions including UNLV’s William F. Harrah College of Hospitality and William S. Boyd School of Law, the Public Education Foundation and Shade Tree Shelter, plus partnerships with the Las Vegas Raiders and Allegiant Stadium, and the Vegas Golden Knights.
“After 35 years of operating San Manuel Casino in Highland, California, this announcement reflects a milestone for San Manuel,” the Tribe said in a statement.
San Manuel Chairman Ken Ramirez said, “Today represents an important step for the Tribe and its long-term economic diversification strategy. On behalf of the Tribe, we are thankful for the opportunity to join a community that we have come to know and appreciate.
SMGHA chairwoman Latisha Casas added, “The Palms is a well-designed property that has been beautifully redeveloped and maintained by Red Rock Resorts. Our board believes the Palms is a casino resort that many of San Manuel Casino’s loyal guests would enjoy. We are excited to move forward with this transaction.”
San Manuel is a top-10 private employer in San Bernardino County in Southern California with more than 4,900 team members. The Tribe currently has a major expansion project underway at San Manuel Casino that it said will add more than 2,000 new jobs by the end of 2021.