First floated as a redevelopment strategy in 2007, Detroit's gamble on casinos has yielded a mature market. Now come reports that even a big name investor hasn't been able to turn around the Greektown Casino.
"Analysts say Detroit’s gaming market is saturated, with increased competition from new Ohio casinos and aging patrons who are choosing to entertain themselves in other ways — all of which contribute to leaner bottom lines for casino operators," reports Michael Martinez.
Quicken Loans founder and CEO Dan Gilbert bought majority interest in the struggling Greektown Casino-Hotel in April 2013, stating plans for a $150 million renovation. According to filings with the Securities and Exchange Commission and reported by Martinez, however, Gilbert has scaled back the renovation to $25-50 million.
The scaled back renovation plans reflect deflating revenues at all three of Detroit's casinos (local gaming revenue is on pace for a third-consecutive year of decline): "Last year, Greektown’s revenue fell the sharpest of Detroit’s three casinos, down 6.7 percent, to $328.3 million. By comparison, revenue dipped 6.3 percent in 2013 at MGM Grand and 1.2 percent percent [sic] at MotorCity."
FULL STORY: Greektown Casino scales back renovation plans amid revenue slide

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