The SLS Las Vegas Tuesday, March 20, 2018. (K.M. Cannon/Las Vegas Review-Journal) @KMCannonPhoto Alex Meruelo will invest approximately$100 million to renew the SLS Las Vegas after the Nevada Video gaming Commission authorized his acquisition Thursday of the struggling Strip property.The Reno-based business person will spend the cash in the coming years to upgrade spaces, revamp the swimming pool, brighten the casino floor, and revitalize the slots offering, said spokesman Christopher Abraham.
“The preliminary concept of what will be invested is up to $100 million over the next few years,” Abraham said.Meruelo told the commission Thursday that he would be able to make the property profitable by buying the upgrades and redesign.”The capital expense is something that
will make a dramatic impact. Things are already reversing and I am extremely positive,” he said.Meruelo, who owns Grand Sierra Resort, will take control of the SLS by the end of
the month.Since Meruelo accepted buy the home last May, there’s been speculation that he might change the hotel’s name back to the renowned Sahara. The SLS brand name is owned by Sam Nazarian’s sbe Entertainment.Abraham said Meruelo will first study SLS brand name acknowledgment before picking a name change. “We will be using the SLS name for
another year and will evaluate our choices with the brand moving forward,”he said.Meruelo, however, will get rid of the
32-foot tall abstract art piece in front of the entryway titled” Sam by Starck” by acclaimed French designer Philippe Starck.
No date for the removal has actually been given, Abraham said.Meruelo will announce a brand-new basic supervisor for the SLS in the coming days, stated Abraham.The basic manager will likely wish to employ members for his group, but “there are no immediate prepare for anyone to be laid off
,”he said.Promoting the SLS Meruelo, who owns two TELEVISION and three radio stations in California, including Spanish-language stations, will use those media possessions to promote the
SLS, the Grand Sierra and their other entertainment offerings, Abraham said.Meruelo, whose parents are Cuban immigrants, might bring in greater Spanish-speaking customers, commissioner Tony Alamo, also of Cuban descent, said during Thursday’s video gaming commission hearing.The purchase was expected to be completed by last October. It was held up by arguments with Chinese lenders.The precise terms of the deal with seller Stockbridge Capital Group were not disclosed.However, according to a claim filed by the Chinese lenders in November, the had about$585 million of debt, including$185 million senior debt to Mesa West and$400 million of junior financial obligation to Chinese investors. Meruelo is not a celebration to the lawsuit.Meruelo would handle the entire Mesa West financial obligation and pay the Chinese financiers a quantity based on the equity worth of the SLS residential or commercial property in 5 years, inning accordance with court documents.Meruelo stated Thursday the Mesa West debt is now about$140 million.Former Sahara The SLS, formerly understood as the Sahara Hotel and Casino, had actually had a hard time since opening to big fanfare in late 2014 at the deserted north end of the Strip.Investor Sam Nazarian and Stockbridge Capital Group bought the Sahara in 2007 for about $400 million. The hotel-casino was best understood as the hangout for Rat Pack members Frank Sinatra, Dean Martin and Sammy David Jr.The Sahara was closed in 2011 for restorations and rebranding to the SLS
. The new owners invested $415 million to turn the property into a stylish hangout for
a younger crowd.However, the task failed in big part due to the empty lots and mothballed structures that surrounded it. Nazarian later on sold his minority stake to Stockbridge.The SLS had been losing cash given that opening
and was on the verge of personal bankruptcy, according to the November court filings.Contact Todd Prince at [email protected]!.?.! or 702-383-0386. Follow @toddprincetv on Twitter.