Casino giant, Strip landlord partnering for NBA arena proposal

VICI Properties executives confirmed Thursday that they are collaborating with Caesars Entertainment on plans for an NBA arena near three Strip resorts. Speaking during the company’s second‑quarter earnings call, VICI President and Chief Operating Officer John Payne said the existing property concern is moving forward with Caesars on a venue situated down the Paris, Horseshoe and Planet Hollywood hotel‑casinos. “I deliberation everyone has seen successful the quality that the NBA is looking to enactment different squad into Las Vegas,” Payne said. “There are galore radical bidding connected that team. We own, in conjunction with our spouse Caesars, and we’re moving with them, 50 acres of onshore down Paris, Horseshoe (and) Planet Hollywood, and we are processing a program with Caesars, Sean McBurney in particular, who runs Las Vegas, to locate the arena that could be built for the caller NBA team.” McBurney serves as chief commercial officer and president for Caesars, overseeing the operator’s eight Strip resorts. Caesars did not respond to a request for comment on Thursday. Payne’s remarks represent the first public acknowledgment from either party that a program is underway for a potential NBA arena on the site. The land under consideration consists of several carved plots totaling about 40 acres, although the three resorts also possess buildable acreage adjacent to those parcels. The Review-Journal reported in June that the area down the three Caesars resorts was among several sites being evaluated for an NBA arena. At that time, a source familiar with the discussions noted that one ownership group was interested in developing an arena alongside an open‑air stadium for a Major League Soccer team. The parcel has long been regarded as one of the Strip’s largest undeveloped tracts. Sections of the site are used by Formula One to stage the Las Vegas Grand Prix, and the area also hosts the BattleBots Arena. Nearly two decades earlier, the same parcel was proposed as a possible location for a Major League Baseball stadium when the Montreal Enterprises were in the process of relocating to Las Vegas. During the call, Payne described the arena project as part of VICI’s ongoing work with existing operating partners, calling the proposed venue one illustration of how the company is pursuing future improvement opportunities. Earlier in the discussion, he cited the anticipation of an NBA franchise as another factor supporting Las Vegas’ continued growth. “The resilience of Las Vegas continues to be reinforced by the ongoing diversification of demand,” Payne said after pointing to attractions including Sphere, Formula One, the Golden Knights, Raiders, Aces and the Athletics’ planned relocation. “Now the potential of an NBA franchise stands to widen the trajectory further. Every new demand operator makes Las Vegas that much harder to bet against.” The NBA formally voted in March to begin exploring expansion into Las Vegas and Seattle. Commissioner Adam Silver has said he hopes the league reaches a decision on expansion by the end of the year, although he does not expect a resolution during the NBA Summer League period. Multiple ownership groups have publicly or privately expressed interest in bringing an expansion franchise to Las Vegas, while several possible arena sites have emerged on and around the Strip.