Rio and Fontainebleau Las Vegas Development Plans Detailed in Regulatory Meeting

Article ByDavid Weir

July 13, 2023

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Posted in: Nevada Gambling News, US Casino News

The executives behind two massive casino resort projects in Las Vegas met with Nevada Gaming Control Board (NGCB) officials this week, seeking a recommendation of approval for their gaming license applications.

Executives at the off-Strip Rio and the towering, long-awaited Fontainebleau, unveiled fresh details about their respective casino’s development plans.

The meeting, which took place in Carson City, was a platform for regulators to get an update on the prospective work, and to recommend approvals for licenses for the casino’s executives, which are due to be decided later this month.

The board duly recommended approval for all four executives on the combined $4.2 billion projects.

Rio Las Vegas already has an operating license and is embarking on a major renovation. Fontainebleau (which as been under construction since 2007) still needs a gaming license for the venue. It expects approval and is looking to open in December.

Rio’s Needed Renovations

Eric Birnbaum and Thomas Ellis, executives of New York-based Dreamscape Companies Inc., are at the helm of the Rio casino operation.

The property, which was acquired from Caesars Entertainment Inc. in December 2019 for $516 million, is set to undergo a two-phase, $350 million renovation.

The refurbishment, scheduled to start in August, will breathe new life into the 2,500-suite resort, which opened its doors in 1990.

The venue, which “needs a little TLC,” according to its former owner, Tony Marnell, has seen better days. It previously annually hosted the World Series of Poker championships from 2004. But eventually, players and staff began to complain about the facilities, and the flagship poker event was moved back to Caesars’ Horseshoe Las Vegas for 2023.

Birnbaum revealed that the renovation will include a complete overhaul of all rooms, the casino, many of its food-and-beverage outlets, and its pool deck.

The first phase, expected to take about 18 months, will focus on refurbishing all of the 1,500 suites in the resort’s Ipanema Tower. The second phase will see renovations of the 1,000-suite Masquerade Tower and five or six food outlets there.

The Rio also recently announced a new partnership with International Game Technology to manage various aspects of its upgraded casino floor.

Another company involved is Hyatt Hotels, who will be building a new 2,000-room hotel on the Rio property site. Hyatt and MGM Resorts recently announced the end of their shared rewards program, so speculation is Dreamscape could be looking to be their new Las Vegas partner on that front.

Fontainebleau’s Grand Opening

On the other hand, Jeffrey Soffer and Brett Mufson, executives of Bowtie Hospitality LLC, are steering the long-time-coming Fontainebleau project.

The 67-story property, which is projected to cost a total of $3.9 billion, is set to open its doors in December.

It first began construction in 2007 before it was put on hold in 2009 due to the financial crisis of 2008. Then construction briefly started again in 2019, but was delayed by the COVID-19 pandemic.

Now, though, everything looks on track for a late 2023 opening.

The resort will feature 3,644 rooms with 421 suites, and is aiming to employ 7,100 people split between full-time and part-time, and through partnerships with affiliated companies.

The Fontainebleau casino is targeting 1,300 slot machines and 128 table games.

It will have a 13,480-square-foot sports book and an 18,350-square-foot high-limit gaming area. The second floor will feature a retail promenade with a 56,000-square-foot spa and nail salon, and a 14,000-square-foot fitness center. The third-floor pool deck will have six acres of pools with seven different pool concepts.

According to the meeting notes, the sportsbook section at the Fontainebleau will be very nearly as big as the whole Green Valley Ranch casino in nearby Henderson. That also is soon to undergo refurbishment, it announced last month.