The race of Detroit casinos
25 January 2005
Over the last year, MGM Grand Detroit, MotorCity and Greektown, Detroit casinos have shown proceeds amounting to $1.18 billion. But the surge in 5.2 percent of revenues can only be assigned to MGM Grand Detroit and MotorCity, while the Greektown has experienced some downfalls. One of the reasons for the ill performance of the latter one was probably due to the parking squeeze, while the other two were benefiting from the rise of the Lodge Freeway this fall.
In July 1999, MGM Grand has opened its doors followed by MotorCity's opening in December. Greektown opened in November 2000. Since the opening three casinos have brought in $5.38 billion and have paid state taxes of $450 million and city taxes of $582 million as state tallies show. MotorCity has outperformed its competitors in 2004, due to successful promotions and marketing. The margins of MotorCity have grown by 8.6 percent to $436 million, while MGM Grand was behind by 1.2 percent and Greektown was lingering in the back with 1.7 percent of decrease ending up with $319 million.
Meanwhile, all three are operating from their temporary casinos, but in the long run they'd need to relocate into permanent facilities to boost the revenues and become the ultimate attraction for the out-of –town visitors. The process is yet on halt anticipating the decision from the U.S. 6th Circuit Court of Appeals. The revenues are expected to jump up high to $2 billion providing the permanent casinos are built.
Source: Online Casinos News Staff
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