It seems like every few weeks, Glen Straub—owner of the closed Revel casino in Atlantic City—and ACR Energy which owns the building’s power plant reach a temporary deal to keep power flowing at the property.
But any long-term solution for the property remains elusive.
The latest deal—approved by a bankruptcy judge—requires ACR to provide up to two megawatts of electricity at any time and keep one backup diesel generator in service until a long-term agreement is reached or a court allows ACR to stop providing service or Polo North—Straub’s company—finds another energy provider.
Polo North will pay for the cost of electricity, as well as an operation and maintenance fee that includes a fixed portion of $25,000 a week and a variable portion at 15 percent of usage, according to ACR attorney Stuart Brown.
The state has ordered that power be kept on at the building for safety reasons. The new deal can also be terminated if that order changes.
Straub had hoped to have part of the building open this summer, but has since said nothing at the building will open while the power issue drags on.
Straub bought Revel out of bankruptcy for $82 million in April.
ACR is seeking payment for construction of its $160 million plant and back electrical fees, but Straub maintains that he now owns the plant and wants to find an alternate energy provider.
