MGM Mirage Joins Forces With Foxwoods

One of gambling’s biggest names is entering a partnership that will make another gambling name-brand even bigger.  Yesterday, MGM Mirage joined Foxwoods in their latest casino project.  Foxwoods’ new hotel and casino will brandish the internationally recognized MGM Grand name.  The project carries a $700 million price tag, but both parties will gain more than they spend.  Foxwoods, for example, now has the potential to expand outside of Connecticut.

Executives from both parties confirm that Foxwoods’ new convention and gambling complex, already in its planning stages, will bear resemblance and evoke the feel of one of MGM Grand’s classic gambling resorts.

This new casino project is but the tip of the iceberg that represents the expansive union between the two casino giants.  MGM Mirage’s Las Vegas-based empire engulfs the entire planet.  Foxwoods is owned by the affluent Mashantucket Pequot Tribal Nation.

The shrewdly strategic agreement between the two powerhouses is to continue to develop projects at Foxwoods.  Their goal is to spring up more casino ventures all across the United States.  MGM Mirage has dedicated $200 million in financing to back such future projects.

Interestingly enough, as diverse and resourceful as both of these companies are, they both offer each other resources the other lacks.

MGM will help fund the numerous casino enterprises sought across the country by the Foxwoods Development Group.  Latest reports indicate that the Mashantucket Pequot Tribal Nation will invest in the conversion of the Broadwater Hotel in Biloxi, Mississippi into what will be called the Foxwoods Resort Casino at Broadwater Beach.  The tribe will invest $400 million in the Gulf Coast casino.

Foxwoods CEO William Sherlock has big plans for the marriage.  “It helps the tribe diversify,” he says.  Sherlock expects that somewhere down the line Foxwoods and MGM may team-up and build a casino in the Mecca, Las Vegas.

The one bump in the road that the deal has come across was placed by Connecticut Attorney General Richard Blumenthal.  Yesterday, he demanded to view the final agreement with the concern that Connecticut only permits federally recognized tribes to operate casinos.

By teaming up with MGM Mirage, Foxwoods has laid a major blow into the belly of its chief Connecticut rival, Mohegan Sun.  Both organizations are aiming to take that next large step from reputable East Coast Casinos to destination resorts that host the world’s wealthiest high-rollers.  MGM Mirage is Foxwoods’ easy-pass to that goal.

MGM Mirage’s biggest benefit is a sturdy foothold in the East Coast market.  That does not restrict the benefits to just East Coast money, the company’s Las Vegas properties stand to gain as well, as East Coast player funnel into Nevada.

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