Trump Plaza Sold for $20 Million in Atlantic City, Lowest Casino Sale Ever
Trump Plaza - the Atlantic City, Boardwalk-located casino named after Donald Trump - was sold Thursday for $20 million, according to The Associated Press.
It is the lowest price ever paid for a casino in Atlantic City.
The Meruelo Group of Downey, Calif., plans to close the deal by May 31; the sale is subject to approval by New Jersey casino regulators. The company said it will not continue to use the Trump name but added that it has not decided on a new name yet.
"Trump Plaza is one of the world's most recognized gaming resort destinations and is an integral part of the Atlantic City landscape," said Alex Meruelo, founder and CEO of the Meruelo Group. "Our company is thrilled to have the opportunity to become the new owners of this property, and we are firmly committed toward establishing it as one of the elite destinations in Atlantic City and on the East Coast."
Trump Plaza cost $210 million to build and opened in 1984. Trump has since limited his dealings in the New Jersey city to a 10 percent stake in Trump Entertainment Resorts, which, with the new Plaza sale, leaves the company with ownership over only one casino: the Trump Taj Mahal Casino Resort.
"We're pleased somebody had the foresight to purchase this property," said Bob McDevitt, president of Local 54 of the Unite-HERE union, which represents most of the Plaza's estimated 900 employees. "We have a very good relationship with this company in Reno and we have a contract with them.
"Because of Trump Entertainment's problems, they really weren't able to run (Trump Plaza) the way it needed to be run," he said. "It's been in hibernation."
