MGM MASS. CHANGES LIFTS COSTS TO $950 MILLION
(Bloomberg) — MGM Resorts International said enhancements to its planned casino in Springfield, Massachusetts, will increase the projected cost to $950 million from $860 million previously.
The changes include a child-care facility and expanded retail space, the Las Vegas-based company said Wednesday in a statement. Plans for a redesign were announced earlier, when MGM Springfield said it was moving a 250-room hotel and apartments off site.
The Springfield project has proven problematic for the largest owner of casinos on the Las Vegas Strip. MGM Resorts won a hotly-contested competition to build a casino in the western part of the state last year. Since then, the company announced a delay due to highway construction and changes to the design, which caught local leaders by surprise. When proposed in 2012, the casino’s cost was put at $800 million.
Connecticut legislators also passed a bill that could result in a new tribal casino near Hartford. It would compete for customers with MGM’s Springfield project. The Las Vegas- based company has sued to reverse the legislation.
MGM Resorts rose 2.1 percent to $22.72 at the close in New York on Wednesday. The shares are up 6.3 percent this year.