The Mirage Hotel & Casino will close this summer as its owner plans to redevelop the property into the Hard Rock Hotel & Casino and Guitar Hotel Las Vegas.
Hard Rock International plans to close the property July 17 for a multiyear redevelopment project that will include a new resort that features a nearly 700-foot guitar-shaped hotel, according to a news release.
“We’d like to thank the Las Vegas community and team members for warmly welcoming Hard Rock after enjoying 34 years at The Mirage,” said Jim Allen, chairman of Hard Rock International, in the news release. “We’d also like to thank the unions, community leaders, local and state government organizations and the Gaming Commission for their support and fair negotiations over the past year. Also, we are grateful to MGM for assisting with our transition.”
Hard Rock bought the operations of the Mirage from MGM Resorts International for $1.075 billion cash, closing the deal in December 2022. It had a three-year license to continue operating the property under The Mirage name before its renovation and rebranding. Gaming real estate investment trust Vici Properties owns the real estate through its $17.2 billion acquisition of MGM Growth Properties — a hotel and gaming REIT spun off from MGM Resorts — in 2022.
Las Vegas previously had a Hard Rock Hotel & Casino, but it closed in 2020 to rebrand as the Virgin Hotels Las Vegas. Virgin Hotels and an investor group led by Juniper Capital Partners had acquired the property in 2018.
The Associated Press reports Hard Rock plans to lay off more than 3,000 employees when the resort closes for redevelopment. Hard Rock said in its news release it will pay about $80 million in severance packages for eligible union and non-union employees.
In a statement, Culinary Union Secretary-Treasurer Ted Pappageorge said the union’s new contract, signed in late 2023, includes redevelopment and closure language to ensure workers have the option to choose either a service recognition bonus of $2,000 for every year of service, along with six months of pension and health benefits, or a lesser amount while maintaining seniority rights during the closure and 36 months of recall rights.
The statement said the union will also host multiple events for The Mirage workers at the Culinary Academy of Las Vegas to connect workers to unemployment, job fairs, union benefits and other resources.
The Mirage is the second resort casino to close in Las Vegas this year. The Tropicana Las Vegas – a DoubleTree by Hilton Hotel closed in early April to make way for a proposed major league ballpark for the soon-to-be relocated Oakland Athletics.
Las Vegas has been undergoing a change as the city tries to diversify its demand generators. Along with gaming and hosting major conferences, the city has grown its entertainment offerings and become a major player in sports events. The city hosted Super Bowl LVIII in February, and became a new destination for Formula 1 races.
First appeared on www.costar.com