MGM WALKS ON ENCORE TALKS
MGM Resorts is abandoning talks with Wynn Resorts over the possible sale of the $2.6 billion Encore Boston Harbor casino slated to open next month, the casino giant announced Tuesday night.
Wynn Resorts confirmed they have “agreed to cease discussions” with the owner of the Springfield casino.
“We are committed to our Springfield community and proud of what we have accomplished including thousands of jobs and millions of dollars of revenue for small businesses in the area,” said Brian Ahern, a spokesman for MGM International Resorts.
“We will always explore ways to deepen our engagement in the Commonwealth. Our discussions regarding the Everett resort were in that spirit. We have noted the anxiety raised by various stakeholders regarding a transaction and this troubles us at MGM,” Ahern said in a statement sent to the Herald.
“We only wish to have a positive impact on communities in which we operate. We think the best course of action is to discontinue discussions concerning this opportunity,” he added. “We wish the company and the Everett community all the best and look forward to visiting their beautiful resort when it opens and welcoming the 5,600 employees to our industry.”
Last week’s news of talks between Wynn and MGM sent shockwaves through both the Everett and Springfield communities — and all the way up to Beacon Hill as critics slammed the idea of a sale when the long-awaited Boston-area casino was about to open up. The Encore gaming mecca is slated to open June 23 and employ 5,800 people.
Deanna Pettit-Irestone, a spokeswoman for Wynn Resorts, said the company is “committed to opening and operating Encore Boston Harbor as only Wynn Resorts is able to do.”
She added in a statement Tuesday night: “Wynn Resorts prides itself on the design, development and operation of the world’s best integrated resorts. At times, world class assets attract the attention of others and our board takes seriously its fiduciary duty to review such interest. After careful consideration we have agreed to cease discussions with MGM Resorts.”
Everett City Councilor Mike McLaughlin said in a statement he’s “beyond pleased” the talk of a deal to sell Encore is over.
“Our community support has never wavered,” he added, “and our community only supports Encore Boston Harbor opening Everett’s Resort.”
The sudden reversal comes after watchdogs questioned the ability of the state Gaming Commission handle the rollout of legalized gaming in Massachusetts.
On Tuesday, Gov. Charlie Baker threw his support behind the board saying they have his “full confidence.”
Wynn Resorts was allowed to keep its casino license despite failing to disclose sexual misconduct allegations and payments involving former CEO Steve Wynn. The company was issued a $35 million fine but has not indicated whether it intends to pay.
A Gaming Commission meeting is set for Wednesday to consider an alcohol permit that would allow the casino to serve drinks until 4 a.m.
Elected officials and advocates have raised concerns about drawing hordes of drinkers to the Everett venue after bars close in Boston and surrounding towns at 2 a.m.
The meeting agenda includes votes on additional outdoor event space and a construction timeline for the casino amid uncertainty over who will own it when — and if — it opens at the end of June.