Remorseful condo buyers at City Center forfeited $56 million in deposit money
MGM Grand has depreciated the value of CityCenter or City Center Las Vegas further to 2.69 Billion dollars. The last time MGM Grand depreciated the value of City Center was in October-2009 and the value was $4.88 Billion; the original price was $8.5 Billion. Darn thing is going down like a rock.
A valid question is this: MGM Grand announced 30% across the board price cuts in October and devalued the property, some of these price cuts were reversed in November, what is up now?
City Center is owned by two entities, MGM Grand and Dubai Government (Dubai Prince) and both are broke. When the Dubai Prince was visiting Las Vegas he was headline news here and I was sure MGM was going to show him a good time and at a huge cost. The Las Vegas trip cost the prince 2.7 billion dollars in MGM stocks at $88 per share that has lost more than 87% of its value ($11) now, and $2.7 for half MGM City Center that is worth $1.3 Billion. Our Dubai Prince is only out $3.5 Billion. Chump change? No the guy is hurting, his own high rise condos in Dubai are sitting empty too.
CityCenter Earned 56 million dollars from forfeited deposits from remorseful buyers who fled the coop, and another$401 million reported net revenues in the second quarter, which included $218 million related to sales of condominium units at Vdara, Residence at Mandarin Oriental condos and Veer Towers luxury condos.
Aria Casino the centerpiece for City Center has 90% plus occupancy.