Internet poker also up
Nevada casinos saw a decided boost in March, with gaming revenues up 7.6 percent following two consecutive months of decline. Visitation also was up, due in part to special events including the ConExpo-Con/Agg construction trade show at; the opening of the Linq attraction on the Strip; the annual NASCAR Sprint Cup; and several college basketball tournaments.
The Nevada Gaming Control Board said Strip revenues increased 10.9 percent to $560.7 million. The increases were welcome following statewide dips of 13.7 percent in February and 2.7 percent in January.
Clark County saw gaming revenue increase 9.5 percent overall with the exception of Mesquite, reported the Las Vegas Review-Journal. North Las Vegas casinos saw the highest percentage spike in the county, up 15 percent. The state’s three internet poker websites won $926,000 in gaming revenue, an increase of 12.2 percent over February’s results.
Tourism is also booming. A record number of visitors came to Southern Nevada in March, ending the quarter on a positive note. The Las Vegas Convention and Visitors Authority reports that 3.7 million people visited the city in March, up 4.3 percent over March 2013, and the highest total ever for one month. The LVCVA notched a 20.7 percent increase in the average daily room and a 20.5 percent increase in convention attendance for the month.
“This is a big year for Las Vegas and you can feel the energy and excitement,” said Rossi Ralenkotter, president and CEO of the authority. “We’re off to a strong start with a record-setting March and very encouraged that 2014 will be the year we break the 40 million visitor mark. The new resorts and attractions opening this year will continue to drive demand and visitation as people seek out new and unique experiences found only in Las Vegas.”
Baccarat play drove some of the good news, rising 39.9 percent in March over last year. But blackjack revenue also was up by 6.1 percent, craps revenue increased by 36 percent, and slot machine revenue grew by 3.8 percent.
“The Las Vegas Strip numbers were pretty solid,” Union Gaming Group analyst Robert Shore told investors. “Historically, March has been one of the strongest months for Las Vegas demand.”
As of March, first-time claims for unemployment insurance in Nevada were down 14 percent from this time in 2013. The month’s results represent the 16th consecutive month of lower year-over-year initial jobless claims, reports Union Gaming.
Before the recession hit, the company reported, the number of average monthly initial claims was less than 12,500. During the recession, initial claims reached as high as 36,414; that was in December 2008.
“The current level of claims is reflective of what we would expect in a stable job market,” the company reported, and is “another positive data point for the Las Vegas economy.”
“The economic fundamentals of the locals market continue to point in the right direction,” Union Gaming wrote. With about $8 billion in capital set aside for new investment in Las Vegas, construction should be strong. The locals market is expected to rally.
“Admittedly, we have been perplexed by the clear disconnect recently between improving economic conditions and stagnant gaming growth,” Union Gaming reported. “The upcoming confluence of a Strip recovery, new construction jobs, and improving economic fundamentals lead us to be optimistic in a recovery.”
