Rumors in early September that James Packer’s Alon project on the Las Vegas Strip will throw in the towel are not accurate, according to CEO Andrew Pascal.
“The project hasn’t been suspended and the financing is complicated because it’s a multi-billion-dollar greenfield development,” he said in a release.
Packer secured the site of the former New Frontier hotel, across from Wynn Las Vegas for $260 million. But he has been unable to raise the $1 billion he needs for the first phase of the project. Pascal also denied that Packer’s recent sale of stock in his company, Crown Entertainment, had anything to do with Alon. Packer says the planning and design process is ongoing.
Pascal says that the project has slowed because of weak market conditions, and that Packer’s plan to spin off the various divisions of Crown into separate companies have had any impact.
Sources told GGB News, however, that the company has virtually exhausted all potential sources of investment, and can only be saved by an “angel” investor who will swoop in at the last moment.
