Ilitch makes rare TV appearance; takes credit for whatever's good in Detroit right now
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Chronicles and commentary on some Motor City casino syndicators (The Ilitch Family, Michael Malik, etc); their associates, partners and affiliates; and the commercial and Indian casinos they are bankrolling in places including Michigan, Hawaii, New York (The Hamptons), and California (Barstow).
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Labels: Christopher Ilitch, Detroit, Detroit Red Wings, Detroit Tigers, Economy, Ilitch Holdings, Little Caesars, News, YouTube Video
According to various news accounts, the latest revenue results released by the Michigan Gaming Control Board (MGCB), indicate the overall gaming market in Detroit saw a 4.2% decline in May; however, Greektown Casino-Hotel appears to have bucked the trend for the fourth month in a row with a stunning 7.2% year-over-year revenue increase for the month. (At the time of this post, Data had yet to be posted to the MGCB web site.)
Greektown was the only Detroit casino to see an increase, while revenues at MGM Grand Detroit and MotorCity Casino dropped 10.9% and 3.6% respectively.
It should be noted that Greektown in particular has struggled financially in recent years and in May 2008 filed for bankruptcy protection. So, bragging rights about revenue growth at Greektown in May 2009 as compared to May 2008 should be tempered. May 2008 represented perhaps the lowest point in Greektown's financial health.
Despite a major renovation at MotorCity Casino including the addition off theaters, conference and restaurant amenities, and a 400-room luxury hotel, it has generally failed to meet financial expectations since Marian Ilitch acquired control of the property from MGM Mirage in 2005. Both Moody's and Standard & Poor's have now established a steady pattern of declining credit ratings for MotorCity's financial parent during this period.
Among numerous other affiliates, Ilitch controls CCM Merger, Inc. which is the highly leveraged financial parent of Detroit Entertainment LLC (DELLC) which is the entity that does business as (dba) MotorCity Casino. In December 2008, CCM Merger broke its financial convenants and as a result, investors demanded Marian Ilitch inject $45 million cash into the enterprise.
Financial results published by MGCB
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Labels: Casinos, CCM Merger, Credit Ratings, Detroit, Economy, Greektown, Marian Ilitch, MGCB, MGM Mirage, Michigan, Moody's, MotorCity Casino, Revenues, Standard Poor's
... Mike and Marian Ilitch, the franchise’s owners [Detroit Red Wings] since 1982, have until June 30 to tell Detroit if they will modernize the 30-year-old, city-owned Joe Louis Arena or construct a new venue that likely would cost $300 million to $400 million.
Renovating Joe Louis reportedly could cost $180 million or more.
The lease expires July 1, 2010, but the Ilitches are contractually obligated to tell the city a year ahead of time their intentions. Doing nothing renews the lease for 20 years.
The team and city have been hush-hush about their Joe Louis talks. Scuttlebutt says the Ilitches want an extension to continue negotiations while they map out a plan for a new venue — likely on the land in the Foxtown area they’ve been buying up in recent years. (Full Post)
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Labels: Detroit, Detroit Developer, Detroit Red Wings, Foxtown, Ilitch Holdings, Joe Louis Arena, Marian Ilitch, Mike Ilitch, Olympia Development, Olympia Entertainment, Redevelopment
Detroit's Marian Ilitch and her casino and real estate partner Michael J. Malik, Sr., formed the casino syndicate Gateway Casino Resorts in 2003 to pursue Indian gaming ventures with the Shinnecock Indian Nation of New York. The tribe is not yet federally recognized by the U.S. Department of Interior, Bureau of Indian Affairs, but has a reservation in Southampton, NY.
Ilitch and affiliates are reportedly paying the Shinnecock's legal and lobbying bills and if the tribe wins federal recognition, Ilitch and affiliates would have the exclusive right to develop and manage any casino resort the tribe would develop and operate. According to Opensecrets.org, they have spent more than $1.6 million alone in federal lobbying activities.
Initially Ilitch and partners sought to develop a 65,000 square foot casino project in Hampton Bays part of Long Island's posh Hamptons resort area -- 4.3 miles from the tribe's offices and 85 miles from New York's Times Square. The tribe owns property known as "The Westwoods" north of Newtown Rd. and broke ground on that project in 2003. That project has subsequently met with much resistance and is stalled.
In 2007, Ilitch and her partners, made a bid that would have allowed Gateway and the Shinnecock to develop a casino resort project on the grounds of the Aqueduct Race Track in Queens, NY -- approximately 14 miles from Times Square. That casino would have been 495,000 square foot -- 7.5 times the size of the original casino proposed for the Hamptons and 4.5 times larger than Ilitch's MotorCity Casino in Detroit.
Now the Shinnecock tribe, which has had its desire for federal recognition fast-tracked thanks to funding and support from Ilitch and affiliates, is bidding to develop and operate a casino project at Belmont Park Race Track -- approximately 19 miles from New York's Times Square. Presumably Ilitch's affiliates are part of this latest Shinnecock casino scheme.
Marian Ilitch and her husband Mike Ilitch own the Detroit Red Wings NHL franchise and c0-founded Little Caesars pizza stores. He also owns the Detroit Tigers and she owns the struggling MotorCity Casino, one of three large Las Vegas-style casino properties in Detroit. Their parent company is the privately held Ilitch Holdings, Inc.
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Labels: Aqueduct, Belmont, Detroit Red Wings, Detroit Tigers, Federal Recognition, Gateway Casino Resorts, Hampton Bays, Horse Racing, Ilitch Holdings, Marian Ilitch, Michael Malik, Mike Ilitch, MotorCity Casino, New York, Peconic Bay, Shinnecock, Southampton
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Labels: Aqueduct, Belmont, Gateway Casino Resorts, Long Island, Marian Ilitch, Michael Malik, New York, Shinnecock, Southampton, Suffolk County
The Library of Congress:
THOMAS legislative tracking
Federal
Election
Commission - Campaign Finance Records
Senate Office of Public Records -
Lobbying DisclosuresComprehensive information in one click Ilitch Holdings, Inc.
Mike Ilitch. Marian Ilitch.