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article imageBankruptcy court auction of Atlantic City megacasino to resume

By Nathan Salant     Sep 30, 2014 in Entertainment
Atlantic City - A bankruptcy court-supervised auction for Revel, the multibillion-dollar Atlantic City casino that collapsed earlier this month, resumes today in New York City.
Former managers of the now-closed Revel Casino Hotel said the court was considering as many as four offers for the luxury hotel, which only was open for two years before closing Sept. 2.
The first offer, $90 million from a Florida developer, is the only bid made public so far, according to the Associated Press news service.
Revel cost $2.4 billion to build on the north end of Atlantic City's ocean-facing boardwalk and had been open for just over two years when it shut down on Sept. 2 under the weight of $300 million in operating losses.
The hotel had 1,800 rooms, 14 restaurants as well as nightclubs and theaters, and more than 3,000 jobs were lost when the facility closed in the midst of an industrywide slump., the AP said.
It is the second-tallest building in New Jersey.
The auction began last week but was postponed until Tuesday due to calendar concerns.
The Florida developer who made the $90 million bid is Glenn Straub, owner of the Palm Beach Polo golf and country club, but whether he intends to reopen the casino in unclear, the AP said.
In fact, Straub has expressed a desire to open a gathering place for geniuses to consider and solve the world's problems, the AP said.
Revel management has requested court permission to pay Straub $3 million as a fee for starting the auction, according to the Reuters news service.
Revel had opened to significant fanfare in 2012 as part of Gov. Chris Christie's plan to revitalize Atlantic City, and received more than $250 million in tax incentives during construction.
But the casino-hotel took years to finish and, by the time it opened, nearby states had approved smaller facilities offering slot machines and other forms of gambling that cut into Revel's expected revenue base.
But Revel was not the only Atlantic City casino impacted.
Four of the city's 12 glittering gambling palaces have closed this year including Trump Plaza, which shut down Sept. 16, and the Trump Taj Mahal has said it could close as early as November.
More about revel, Atlantic city, Casino, Bankrupt, $90 million
 
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