The 671-room, $2.6 billion Encore Boston Harbor, located in Everett, Massachusetts, opened in June 2019. In a news release, Realty Income said the deal with Wynn marks its first acquisition in the casino industry. Last month, the company announced it was teaming up on plans to develop a multibillion-dollar resort on a man-made island in the United Arab Emirates that calls for 1,000-plus rooms, a high-end mall, restaurants, lounges and more. We love our portfolio here and all of that land has real long-term value to shareholders.”īillings said in a news release that the sales proceeds from Boston Harbor would “provide us with liquidity for several of our upcoming development projects and the potential to retire other debt.” “We have a 20-plus-year view when we think about Las Vegas. “We’re not interested in selling land,” he said. “In Boston, we were able to achieve both an attractive cost of capital and that asset is based on the stability of revenues in the regional markets and the much lighter CapEx burden relative to say Las Vegas made it a logical financing source for us, which is really what it was,” Billings said in response to an analyst’s question about the Boston Harbor deal. 1, said the company never contemplated other potential revenue sources, such as selling Las Vegas real estate. Rents are expected to escalate over time.Ĭraig Billings, in his first earnings call as CEO after taking over from former CEO Matt Maddox on Feb.

The lease will have an initial term of 30 years, with one 30-year renewal option. The company, which also reported a net loss of just over a billion dollars for 2021, provided details of the transaction in Tuesday’s fourth-quarter earnings call with investors. The deal is expected to close in the fourth quarter this year. for $1.7 billion in cash, and that it would lease the hotel-casino back for an initial annual rent of $100 million. Wynn announced Tuesday that it reached a deal to sell Encore Boston Harbor’s land and real estate to San Diego landlord Realty Income Corp. is selling its Boston-area property for a mountain of cash and leasing it back, the latest such deal for a Las Vegas casino operator. (Chase Stevens/Las Vegas Review-Journal) Resorts Ltd. Wynn is pictured in the background along the Las Vegas Strip on Tuesday, Feb.

Steve wynn Encore casino resort