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Atlantic City New Jersey had a monopoly in the North Eastern US on casino gambling for well over 30 years, but that monopoly no longer exists. Neighboring states have their own legal casino gambling now, and Atlantic City has begun "right sizing" its number of casinos to make up for the gamblers staying closet to home...The Revel, the newest AC Casino, and by far the most opulent, never really got off the ground. It is a very impressive $2.4 BILLION landmark which had closed and then re-opened has  few gamblers and no potential buyers. It closes for good September 1.

 The Showboat celebrates it's last working day today, August 31.The Trump Plaza and 2 others are going or gone this year, leaving an estimated 8,000 workers jobless by mid September. Some of these workers have been casino workers for decades. Atlantic City had a dozen major hotel casinos, and will have 8 remaining.

http://articles.philly.com/...

Donald Trump has ordered that the TRUMP name be removed from the Plaza pending its closure, but not to worry - the OWNERS of these huge gambling hotels are the very same people who own those other gambling hotels in various other states, including here in PA...where there are a dozen or so statewide. The big guys are fine, thank you, but  the workers are left behind although a few hundred will be offered positions if they will relocate.
There are now so many casinos in the North East that half of all residents from West Virginia north live within 25 miles of a gambling "resort"...all, of course owned by the  same corporations who are closing the AC casinos.

http://online.wsj.com/...

Atlantic City's mayor, Don Guardian, their first republican mayor in years, has asked NJ's republican governor Chris Christie for millions in state funds to help offset the loss of tax revenue...

Christie's response is still pending.

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Comment Preferences

  •  Tip Jar (15+ / 0-)

    Just because you take no interest in politics does not mean politics will take no interest in you..." Pericles

    by old mark on Sun Aug 31, 2014 at 04:51:01 AM PDT

  •  The difference between Here and AC has always (4+ / 0-)

    been the people who built them. Gangsters vs. bankers.

    I've lived under both their rules and I'll take the gangsters every time.

    "Those who can make you believe absurdities can make you commit atrocities." - Voltaire

    by Greyhound on Sun Aug 31, 2014 at 05:05:12 AM PDT

  •  "unprecedented economic collapse" philly.com (3+ / 0-)
    Recommended by:
    peacestpete, akeitz, Sandino

    Atlantic City facing unprecedented economic collapse

    "This is a massive economic body blow to Atlantic City on par with the hit to the national economy during the Great Recession," said Mark Zandi, chief economist at Moody's Analytics in West Chester.
    Ouch.
    •  Any casino economic benefit to Atlantic City (4+ / 0-)
      Recommended by:
      eyo, peacestpete, penguins4peace, Sandino

      ...never extended much beyond the boardwalk, and certainly no farther back than Atlantic Ave. An argument could be made that AC would be economically much better off today had casino development never taken place.

      It will not get easier before it gets harder. But the harder it gets, the easier it will be.

      by Richard Cranium on Sun Aug 31, 2014 at 05:44:35 AM PDT

      [ Parent ]

      •  Make it. (0+ / 0-)
        An argument could be made that AC would be economically much better off today had casino development never taken place.
        What would have happened in it's place?

        New Republic: So are the left-wing blogs as bad as the Tea Party ones in this case? -------------------------Chuck Schumer: Left-wing blogs are the mirror image. They just have less credibility and less clout.

        by AlexDrew on Sun Aug 31, 2014 at 06:31:37 AM PDT

        [ Parent ]

        •  The same as every other beach community (6+ / 0-)

          in South Jersey.

          You don't see these problems in Wildwood, Ocean City, LBI Cape May or any of the other communities on the Jersey Shore.  None of those communities are crime riddled with rampant poverty.  AC is and always was all about the casinos, but you go one block away from them and all you have is liquor stores, check cashing centers and pawn shops.  Basically businesses who prey on the petty gamblers.  You go two blocks away from that and it's like a different world where poor have lived for generations under the bright lights of the casinos with no future and no hope.  

          If it was up to me I'd blow them all up and start all over.  AC has some of the nicest beaches around.  That's their asset and that's what they should focus on.  

          This is your world These are your people You can live for yourself today Or help build tomorrow for everyone -8.75, -8.00

          by DisNoir36 on Sun Aug 31, 2014 at 06:58:15 AM PDT

          [ Parent ]

          •  It wasn't always about the casinos (3+ / 0-)
            Recommended by:
            Lily O Lady, Richard Cranium, eyo

            Casinos came to A.C. in 1976. as a way to save a sad sack town that never revived its glory days from the 1920s.  The city was founded as a railroad resort town, so when cars became ubiquitous, folks could and did go elsewhere and when jets got you to Miami Beach, the rich went there instead.

            It's like those broken down rust belt towns with no future. Heck it's going to be like Camden, NJ soon but without the advantage of being on the Delaware River across from Philly.

            I think it's a symptom of a larger problem -- New Jersey is broken.  New Jersey has been living off the largess that comes from being right next door to NYC.  The Food and Pharmacy businesses have mostly moved away or greatly downsized and there's way too many dinky townships that should have been consolidated years ago.

            What's the answer? If I knew I'd be rich! But my gut tells me we need to fix New Jersey not just A.C.

        •  Non Gambling resort development maybe? (2+ / 0-)
          Recommended by:
          penguins4peace, eyo

          My parents were originally from New Jersey so growing up in Northern VA, we vacationed on the Jersey shore and visited relatives a lot.  Grandma loved to take the gambling buses from Newark to Atlantic city for fun.  But Grandma's flapper generation is long gone.  Grandma passed in 1986.

          When the casinos were still a new novelty, we'd take a night of our shore vacations to drive over to wander over to the casinos to gawk at the spectacle, but it was clear to see that if you stepped one foot outside a casino you were in a dicey neighborhood.

          Sandy probably killed the A.C. casinos -- hardcore gamblers don't care about being at the beach whereas longer term property owners at the beach have to contend with coastal storms causing damage every so often.  

          I'd say build high speed rail to connect up Atlantic City with Philly, Wilmington, DE and NYC to make it a bedroom community but Philly and Wilmington aren't exactly booming.  I can see a demand for beach vacation condos in a nice area, but is that enough to rebuild a city?

  •  28 years ago (4+ / 0-)

    The excellent Bill Moyers had a documentary called "Big Gamble in Atlantic City" on CBS in 1986.  It addressed many of the issues that now, sadly, have come to fruition.

    In a review of the show, the New York Times quotes one merchant:

    ''We were a bunch of third-rate merchants and politicians playing for big stakes,'' a former store owner declares. ''It was our obligation to take the money and not run. And we didn't. We took the money and ran.''
    In one story about the doc, it was pointed out that the merchants really pushed to bring the casinos in, and that by 1986, half of those merchants had gone belly up.
  •  They just opened a casino in Baktimore (2+ / 0-)
    Recommended by:
    sandbox, peacestpete

    and they are opening another one very close to DC (Inner Harbor).  It seems like there is a fairly limited pool of gamblers they are all competing to attract so how can they all do well?  Although I suppose I would go a few times if it was closer.  Maybe they are counting on attracting the occasional gambler.  I just have a picture in my mind of little old ladies with walkers putting their last dimes in one armed bandits.

  •  What happens to these vacant (0+ / 0-)

    opulent casino structures--do they just sit there forever? Why are private banks financing these failures? It's weird.

  •  The whole city is gonna become "Baltic" and... (6+ / 0-)

    "Mediterranean"...

    "Boardwalk" and "Park Place" are gonna look like black and white film images of Dust Bowl Oklahoma in 1936....

    There's science fiction stories about urban dystopias with clans of surviving unfortunates living in devastated high-rises...they'll be LIVING them in A.C.

    The AC cops are gonna hafta deal with squatters and teen-aged malcontents occupying empty casinos, occasionally setting them on fire and other "fun" mayhem....

    "Mad Max" right here in NJ, who'dathunk?

    "THANKS, CHRIS CHRISTIE!"

    "Ronald Reagan is DEAD! His policies live on but we're doing something about THAT!"

    by leftykook on Sun Aug 31, 2014 at 06:14:13 AM PDT

    •  SMH. (6+ / 0-)

      This started well before Christie took office four years ago.

      New Republic: So are the left-wing blogs as bad as the Tea Party ones in this case? -------------------------Chuck Schumer: Left-wing blogs are the mirror image. They just have less credibility and less clout.

      by AlexDrew on Sun Aug 31, 2014 at 06:34:15 AM PDT

      [ Parent ]

      •  Yebbut.... (0+ / 0-)

        It's fun to blame him for EVERYTHING!

        "Ronald Reagan is DEAD! His policies live on but we're doing something about THAT!"

        by leftykook on Sun Aug 31, 2014 at 06:43:19 AM PDT

        [ Parent ]

      •  This diary (3+ / 0-)
        Recommended by:
        akeitz, Lily O Lady, old mark

        eXtina's diary from Feb 21, 2013, pretty much lays out how Christie (R-Bully) bought into the now failed Revol casino.

        And according to the Courier-Post from August 12, 2014:

        Atlantic City's beleaguered Revel Casino & Hotel has lost millions from the start, but that hasn't stopped New Jersey's pension system from placing a $300 million bet with the largest owner of the oceanfront resort.

        The state agency that oversees the multibillion-dollar employee pension funds voted late last year to invest $300 million with Chatham Asset Management, the hedge fund that owns 28 percent in the troubled casino property.

        Which ties into another emerging Christie (R-Future Indictee) scandal, the over-emphasis on hedge funds in the NJ Pension system which has increased costs and resulted in lower-than-average returns, costing the system millions.
        •  No one has ever accused NJ pols of being (1+ / 0-)
          Recommended by:
          tcdup

          overly smart, especially the republican types...but many of the casino OWNERS knew this was going to happen...in fact they are the ones who began over ten years ago to pressure other states to allow casino gambling. They already knew the future of the AC casinos would be in jeopardy, but they could just lay off all the workers and move elsewhere...meanwhile collecting profits till the last minute because of tax incentives from NJ.

          Christie, for all his legal education and background as US attorney is a dumbass with a massive ego, not unlike Donald Trump.

          Just because you take no interest in politics does not mean politics will take no interest in you..." Pericles

          by old mark on Sun Aug 31, 2014 at 02:40:58 PM PDT

          [ Parent ]

          •  Were the Casino Owners the cause or casualties? (0+ / 0-)

            Was A.C. going down the tubes for the Casinos even if enough of them stayed or did they pull the plug on A.C. by their leaving en masse?

            I'd argue that the Casinos never saved A.C. --  they did bring jobs to south New Jersey but the workers lived outside of the city and even in the 80s you step one foot outside of the casinos and it was the same sad sack city.

            I suppose you are arguing that folks were already poo-pooing A.C. as a gambling destination and going elsewhere so the owners calculated that moving closer to their gamblers in the big east coast cities was in order?

            It does make me sad as I have emotional ties to New Jersey as my family was in New Jersey going back to the mid 19th Century when they fled Bavaria.  Most have left, maybe only a few distant cousins left at this point.

            •  Same story as ever in NJ. Too many hands in (1+ / 0-)
              Recommended by:
              akeitz

              too small a pie. Too many thieves from the kleptocracy on down. Nobody ever had the interests of AC as their priority and the results were immediately obvious.

              What is this, the third or fourth time?

              "Those who can make you believe absurdities can make you commit atrocities." - Voltaire

              by Greyhound on Sun Aug 31, 2014 at 06:50:40 PM PDT

              [ Parent ]

            •  The same people who own the AC casinos own (0+ / 0-)

              the casinos in other states that brought them down. I remember when the city government was very enthusiastic about the big casinos coming to AC, and there were NO other choices...

              I think the problem - as always - is greed winning out over good sense. I am sorry for the people who worked there and for those who live in AC...there are still 8 operating casinos, and they seem to be pretty stable, but the revenue from gambling is down between 30 and 40% depending on who is telling the story.

              Just because you take no interest in politics does not mean politics will take no interest in you..." Pericles

              by old mark on Tue Sep 02, 2014 at 03:12:16 AM PDT

              [ Parent ]

  •  The Revel hotel Casino has closed its doors (0+ / 0-)

    as of 6 am, Tuesday, September 2nd. The 2 year old high end casino went through it's second bankruptcy after it never really took off. It cost $2.4 billion and there are no potential buyers evident at this time...

    http://www.philly.com/...

    Trump's Plaza will also close in about 10 days.

    Just because you take no interest in politics does not mean politics will take no interest in you..." Pericles

    by old mark on Tue Sep 02, 2014 at 03:15:47 AM PDT

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