On the south end of the Atlantic City boardwalk sits the Atlantic Club. The casino was a popular destination back in the day due to its location away from the hustle and bustle of the boardwalk main crowd. However, in 2014, the casino was the first of four gaming venues to close in Atlantic City and has remained empty ever since.
For five years now, the casino has remained an empty space, just waiting to be in operation once again. It seems that now the venue may be opened once more, but this time without gaming. The Associated Press reported earlier this week that the Atlantic Club has a new owner, Colosseo Atlantic City Inc. The investment/construction firm is based in New York City and purchased the property from TJM Properties.
Finally a Buyer
TJM has been trying for some time now to find a buyer for the Atlantic Club. The property has 800 rooms and had true potential, but no one seemed to see it except for TJM. Now that the new group Colosseo has stepped in, TMJ feels that their construction and redeveloping experience with larger properties makes the brand the right one for the Atlantic Club.
The exact purchase price of the deal as well as additional details, such as when the venue will open back up, remains a mystery. However, Rocco Sebastiani, Colosseo’s principal, has stated he plans to run the property without gaming.
This is probably a smart decision at the moment. Some feel that Atlantic City would become saturated after the opening of the Hard Rock Atlantic City and the Ocean Casino Resort in June of last year. So far, all of the casinos are still operating normally, seeing nice turn around with revenues. However, the Ocean Casino has struggled during its first year of operation.
Having a hotel at the end of the boardwalk will provide additional accommodations for travelers to the area and bring business back to that section of the city.
Unsuccessful Deals
For some time, TMJ has been trying to offload the Atlantic Club without success. Several deals were proposed but none came to fruition until this latest announcement. Endeavor Property Group LLC tried to buy the property four years ago, but the sale was not completed. Another group, R&R Development, wanted to create a water park and indoor go-cart facility plus hotel space but did not complete their deal.
For the new developer, the property will need some TLC. There is damage to the exterior of the building and really no telling what is going on inside. Despite any issues, Colosseo has the experience and know-how to do a good job with a revamp of the space. There is no doubt the Atlantic Club has the space, now it will only be a question of how much money will be spent to get it back to what guests are looking for.
Hopefully in the near future, more details will be provided as to what the deal entails and how the Atlantic Club will change, even if a new name will be provided.
