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MGM Resorts selling MGM Grand real estate assets for US$2.5 billion
MGM Grand

MGM Resorts selling MGM Grand real estate assets for US$2.5 billion

Tuesday, January 14, 2020

LAS VEGAS — MGM Resorts International is selling the real estate assets of the MGM Grand on the Las Vegas Strip to a joint venture for about $2.5 billion.

The joint venture includes private-equity and real estate company Blackstone Group and MGM Growth Properties LLC.

MGM Resorts anticipates cash proceeds of approximately $2.4 billion.

The joint venture will be owned 50.1% by MGM Growth Properties and 49.9% by Blackstone. It will also acquire the real estate assets of Mandalay Bay from MGM Growth Properties and lease both properties to MGM Resorts for an initial rent of $292 million.

 

MGM-Resorts-selling-MGM-Grand-Mandalay-Bay-for-about-2-point-5B

Mandalay Bay Resort

The total value of the two transactions is $4.6 billion.

MGM Resorts announced in October that it was selling the real estate of Bellagio to a joint venture with Blackstone for about $4.25 billion. Last month MGM Resorts said it closed on the sale of Circus Circus Las Vegas and 37 adjacent acres for $825 million.

The deal announced Tuesday is targeted to close in the first quarter.

Source: The Associated Press

Tags: MGM, MGM Grand
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