Blackstone’s Cosmopolitan Casino sold in a 5.65-billion-dollar deal
MGM is going to play 1.6 billion dollars initially, taking over the massive 3,000-room Cosmopolitan Hotel, which overlooks the Las Vegas Strip, incorporating a multitude of casino, entertainment, as well as dining internal units.
In an agreement happening simultaneously to this, the tower itself is being acquired by three main major investors, including Stonepeak Infrastructure Partners.
The responsible of acquisitions at Blackstone in the American continent – Tyler Henritze, praised the business strategy of the sellout, executed by Bill McBeath – the CEO:
“The board team here at Blackstone dealt gracefully with the execution of this challenging business affair, not to mention under the tough conditions of the industry during these times.”
Back in 2014, the Cosmopolitan was sold once again, in a 1.7-billion-dollar deal, which was a big downgrade, considering the fact that the final price was less than a half of what it cost to build it in the first place. However, it was necessary, since the establishment had been operating with huge net losses.
Since then, The Cosmopolitan hotel has seen investments of over 500 million dollars by The Wall Street, which were then directed to renovating the property and adding 67 new suites and rooms.
According to Blackstone, The Cosmopolitan is bound to see revival after the height of last year’s pandemic, due to tourism slowly returning to Vegas.