Las Vegas Sands Sells Vegas Real Estate and Operations in $6.25 Billion Deal
by Daniel McCarthy /
Las Vegas Sands is selling both its real estate and gaming operations in Las Vegas for $6.25 billion, according to reports on Wednesday morning.
The deal will see the Sands’ real estate property (the Venetian, Palazzo, and the Sands Convention Center) go to Vici Properties, a New York City real estate investment trust whose property portfolio includes Harrah’s and Caesar’s Palace, for $4 billion.
The Sands’ Vegas gaming operations will then go to Apollo Global Management, an international investment management firm that also owns Harrah’s operations, for $2.25 billion.
According to Sands COO Patrick Dumont, the move follows the company’s strategy of targeting its Asian operations, including increasingly popular gaming centers in Singapore and Macau, which have been the major profit centers for the company.
“Our long-held strategy of reinvesting in our Asian operations and returning capital to our shareholders will be enhanced through this transaction,” Dumont said in a statement announcing the news.
While Las Vegas has suffered from the COVID-19 pandemic, Apollo said that its purchase of the operations “underscores our conviction in a strong recovery for Las Vegas as vaccines usher in a reopening of leisure and travel in the United States and across the world.”
The deal is the first major news to come from Las Vegas Sands since the passing of its founder Sheldon Adelson in January. Without its Las Vegas operations, the company is also shortening its name, taking the “Las Vegas” out, and going with simply “Sands” moving forward.