Koch Industries is set to buy a 75% stake in an in-development resort and casino on the Las Vegas Strip. However, no financial terms of the acquisition were released. The company expects to see a rebound in the city’s tourism after the pandemic, but no further plans for the property were disclosed.
“We believe strongly in the Las Vegas market and see the property as a great opportunity to contribute to the long-term success and positive trajectory of this vibrant and innovative region,” said the president of Koch Real Estate Investments Jake Francis
The venue is located at 2777 S. Las Vegas Blvd. and was supposed to be part of a $3.1 billion three-hotel project called the Drew. According to BNN Bloomberg, the long-stalled casino was acquired by Steven Witkoff in 2017 and opening was forecasted in 2022. But due to a drop in business during the Covid-19 pandemic, those plans were readjusted.
With the acquisition, Koch hopes to partner with Fontainebleau Development, a company that had its eye on the venue since 2005, where it planned to open Fontainebleau Las Vegas resort before Witkoff took over the property and renamed it.
“We’re currently evaluating all of our options and looking forward to being part of the advancement of the world-class Las Vegas entertainment industry,” said Brett Mufson, president of Fontainebleau Development.