A development company from the state of Chicago announced their intention to buy the Fitzgerald Casino and Hotel that is located in downtown Reno for a certain fee. The managing partner for L3 Development, Fernando Leal, commented that L3 plans to change the old resort into a boutique/hotel casino.
Leal added that they also have plans to remodel the whole property, but it is still too early to tell what their plans are at this stage. The buyout agreement states that L3 sister company DRW Nevada LLC as the buyer of the company and states that the sale should be done by October 31, 2007.
The Fitzgerald Casino, which has 351 rooms, is the last hotel owned by the Fitzgerald Gaming Corporation to be put on the selling block after the company invoked Chapter 11 Bankruptcy Protection in 2000. Jeffrey Gilbert, the representative of the court, will continue to manage the gambling casino for the company's creditors until the buyout of the company is completed.
Leal's company, which specializes in modeling establishments, bought the ex-Golden Phoenix Hotel and Casino in Reno after it was shutdown at the end of 2005. Leal is currently remodeling the Golden Phoenix Hotel and Casino into a retail apartment, a gym and a condominium with 380 apartment units that will be named Montage.
Gilbert commended L3 because of the company's drive into transforming the downtown into a progressive community. Gilbert said that he is certain that Mr. Leal and his associates will incorporate new ideas into the property and help transform Fitzgerald into a new, revitalized property.
Plans are currently in the works for the casino part of the Fitzgerald to be operated by an outsider, which L3 is currently trying to find. Leal commented that a boutique hotel would help boost their $160 million investment in the Golden Phoenix Hotel and the Montage. Gilbert commented that they will be filing for a motion on the approval of the buyout of the Fitzgerald at the Washoe County District Court.
07/01/2007 22:15 PM