Trump Plaza closed its doors on Tuesday, the fourth Atlantic City casino to go out of business this year.
The struggling seaside resort, which has failed to stay competitive in a saturated Northeast market, started 2014 with 12 casinos. But with gaming revenues continuing to fall—they’ve plummeted by nearly 45% over the last eight years—Atlantic Club, Showboat, and most recently the new $2.4 billion Revel, have all closed.
Trump Plaza, once the centerpiece of the Boardwalk, has consistently been the city’s worst performer, and with its ownership group failing to find a buyer—the last potential deal, a bargain-basement $20 million sale, fell through when Carl Icahn, a principal investor, rejected it as too low—it was left to go to seed. Its demise was not unexpected. The owners, Trump Entertainment Resorts, filed for federal bankruptcy protection this month, its second trip into reorganization.
Trump Plaza opened in May 1984 as a joint venture between Donald Trump and Harrah’s at a prime location at the foot of the Atlantic City Expressway. Harrah’s exited early on and focused its efforts on a successful mid-market casino in the Marina section of town, while Trump Plaza secured a reputation as one of the city’s most luxurious casinos, a favored destination for high rollers, known in its heyday in the ’80s and early ’90s for star-studded Las Vegas-style after-parties when a major event like a Rolling Stones concert or a Mike Tyson prize fight was held next door at Boardwalk Hall.
Mr Trump, who went to court last month to try to get his name removed from the Plaza and Trump Taj Mahal — another struggling behemoth and it’s slated to close in November — still owns a 9% stake in Trump Entertainment Resorts and said he “will be taking a very serious look” at buying back the company. He said he would have to determine whether the Plaza is “viable” and worth reopening. The decision, he said, will come down to price.
“I got out years ago, the timing was good, but I feel really badly about the people,” he said. “I’ll take a good strong look at it.”
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