Gaming & Leisure Properties Inc. (GLPI), which owns the 35-acre parcel of land at the south end of the Las Vegas Strip where the Tropicana once stood, has signaled it will not provide full construction financing for the proposed Bally’s Corp. resort project on the site. Instead, GLPI indicated it may participate in certain profitable segments of the development, but is not committing to broader or complete project funding.
Peter Carlino, chairman and CEO of GLPI, told analysts during the company’s quarterly earnings call that, “It is unlikely that we will finance the entire project, but there are elements of that, profit-making elements, that I think we could participate in.” He added that GLPI is pleased with Bally’s plans but will decide its level of involvement as opportunities arise.
Bally’s Corp. plans a large-scale mixed-use development on the site, which includes 3,000 hotel rooms, a 2,500-seat theater, and 500,000 square feet of retail, dining, and entertainment space. Of the 35 acres, 26 will be used for the new venue. Bally’s holds the gaming license and development rights, while GLPI maintains ownership of the land under a long-term ground lease.
The Tropicana Las Vegas closed on April 2, 2024, and was demolished on October 9, 2024, to make way for a $2 billion, 33,000-seat Major League Baseball stadium, which will serve as the new home for the Oakland Athletics when the team relocates in 2028.
Bally’s previously acquired the Tropicana’s hotel-casino operations from GLPI and its partner for $148 million in 2022, simultaneously entering a 50-year ground lease with GLPI with an initial annual rent of $10.5 million, subject to escalations.
While GLPI has previously provided large-scale project funding for Bally’s—such as up to $2.07 billion for Bally’s Chicago casino-resort, including $940 million for construction—its current stance suggests the Las Vegas project may require additional outside financial backing to proceed as envisioned.