Seeking Alpha

Las Vegas Sands (LVS +0.5%) seeks to find a buyer for a Pennsylvania casino, according to a...

Las Vegas Sands (LVS +0.5%) seeks to find a buyer for a Pennsylvania casino, according to a Bloomberg piece. The gaming company wants as much $1B for the property in Bethlehem which is the second largest casino in the state.
Comments (5)
  • Any fool that would pay one billion when cash flow is not strong, is someone I would like to sell the Brooklyn Bridge to. Casino's are opening all over the place. Competition is intense, cash flow is declining in Vegas, Atlantic City, and Connecticut while new casino's are being built in and outside of Boston. Connecticut is dead if a new casino opens in or near NYC. Yonkers and Casino in Queens are doing record business. Hotel rates are down in Casino's, Food sales are boring to dull. Unless football betting is legalized, Atantic City will go bankrupt very soon. There is little to no growth in Bethlehem, so if rates rise after purchasing, the valuation will drop by 25%. I value the casino in Pennsylvania at 400 to 500 million for it is in a cash cow mode with little to no growth. Adelson may have a friend who owes him a favor to find a stupid buyer , but the cash flow does not support whisper price of one billion.


    Next negative coming for LVS is that Singapore government is getting greedy and wants more from Adelson's operation there.


    Macau is busy, but government of China will get greedy and come up with new donations that are legally needed.
    17 Jan 2013, 02:54 PM Reply Like
  • Ralph
    Thank god your pessimism isn't infectious or I would have kept my money under the mattress,but then lightning might strike and burn my house down.David 131
    17 Jan 2013, 03:17 PM Reply Like
  • I am a CPA in los Angeles .I am a strong believer in doing your own research and understanding thoroughly what you are investing and constantly being on top of your investments.
    17 Jan 2013, 03:28 PM Reply Like
  • Stanford BA,MBA, SJS teaching credential in Economics and Business. CA real estate firm owner 35 years. Adelson wants to move money around the world to places where gambling is new. LVS great longterm holding.
    17 Jan 2013, 04:20 PM Reply Like
  • What the sale price is and what is paid are not always the same? There is incredible value to an "operating" casino. New York State owns quite a few. Just maybe the State of Pennsylvania will see the value? More so I think a group will buy it and make it more profitable. LVS needs to see greater gains than the average corporation. I think US casinos are not really a value for LVS anymore. International casinos provide so much more access to diverse monied gamblers who like exotic locations. LVS will be building in Spain and a little casino in Bethlehem Pa. doesn't seem to fit the plan anymore?
    18 Jan 2013, 10:44 AM Reply Like
DJIA (DIA) S&P 500 (SPY)