Articles
"Relaxed Casino Siting
Rules Prime Gulf Building Boom", Engineering News Record, © Michael Powers,
5/5/06
A casino construction boom is quietly gathering on the Mississippi Gulf Coast
to take advantage of the state's post-Katrina relaxation of siting rules that
had restricted coastal casinos to floating locations.
"I expect to see Las Vegas style hotels," says Beverly Martin, executive
director of the Mississippi Casino Operators Association. She says many new mega
structures should emerge within the next five years, with some existing
properties also planning to add 20,000 to 90,000 sq ft of retail space. Even
though most owners have not announced plans, Martin says they are already in
contact with architects and engineers as they prepare to move ashore.
Mississippi Governor Haley Barbour signed a law October 31 allowing casinos
on the Gulf of Mexico to be built up to 800 ft inland. The move is expected to
impact the coast from Biloxi to Gulfport. The mayor of Biloxi has predicted that
city could have 15 to 20 casinos in the next three to five years, says spokesman
Vincent Creel. The city, which already has nine casinos, expects to see an
investment in that period that will far exceed the $5 billion spent over the
previous 13 years, he says.
The move should also spark increased tourism as developers build more
luxurious, family-friendly facil-ities to replace the casino barges and adjoined
hotels, says Creel.
One proposed resort coming together is owned by Landry's Restaurants,
Houston, which also owns the Golden Nugget in Las Vegas. The company is planning
to build a $500-million resort in Biloxi, with retail and meeting space,
restaurants and amusement rides, says Martin. It is acquiring land from the many
residents who lost homes or who would rather sell and relocate than rebuild,
Martin says. "Several of the homeowners have pooled their resources to sell a
land block," says Martin.
"Ultimately all of the casinos will move on land for competitive reasons,"
says Rick Quinn, CEO of Copa Casino in Gulfport. As casinos move on land,
competition will limit the construction of "minor players," says Quinn.
The Copa Casino is primed to begin building an onshore casino reported to be
valued at "several hundred million dollars," says Quinn. He says it is awaiting
approval of the Mississippi State Port, which owns the land. He says the new
Copa will be in operation within 18 months of port approval, which he expects to
come in the next three months.
The Silver Slipper, Bay St. Louis, a total loss after Katrina, also expects a
fast turnaround. The casino was in the process of moving to Lakeshore, Miss.,
from Biloxi before Katrina. "We took all of the drawings and scrapped them to be
a 100% land-based site," says John Ferrucci, general manager and COO of the
Silver Slipper.
He says construction will begin Dec. 15 on the casino and parking structure.
They are scheduled to be completed quickly, in September 2006. "The key is to
get the casino open and cash flowing," says Ferrucci.
The Silver Slipper expects to complete its hotel by September 2007 and
attached condominiums by September 2008, he says. Boggs and Poole Contracting
Group, Bossier City, La., is general contractor for the casino.
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