American casino operator Tropicana Entertainment Incorporated has signed a deal to acquire The Chelsea Hotel in Atlantic City and revealed that it soon plans to connect the property to its neighboring Tropicana Atlantic City property via a skyway bridge.
Tropicana Entertainment Incorporated completed a $40 million renovation of the Tropicana Atlantic City just last year and explained that the purchase of The Chelsea Hotel, which was carried out by its Tropicana Atlantic City Corporation subsidiary, is set to increase its Boardwalk rooms offering to around 2,730.
The Las Vegas-based operator additionally stated that it will be re-branding the 20-story The Chelsea Hotel as The Chelsea Tower at Tropicana Atlantic City with guests able to access the oceanfront hotel via a pedestrian bridge over Morris Avenue from as early as next month.
“We are pleased with this acquisition and the opportunity to offer our guests more hotel room options on The Boardwalk,” read a statement from Tony Rodio, President and Chief Executive Officer for Tropicana Entertainment Incorporated. “The Chelsea [Hotel] is a great addition to our four existing hotel towers at the Tropicana Atlantic City. Guests will be able to enjoy a boutique hotel feel while having full access to all resort options at the Tropicana Atlantic City.”
Opened in 2008, The Chelsea Hotel has been closed since December and was acquired two months ago from local operator Cape Resorts Incorporated for an undisclosed amount by IEP Morris, which is a subsidiary of Icahn Enterprises. The 331-room venue boasts ocean and bay views alongside a pool and cabana bar while Tropicana Entertainment Incorporated also declared that it plans to make “additional capital improvements” to the venue’s food and beverage offerings and spa and meeting facilities.
Icahn Enterprises, which is controlled by American business magnate Carl Icahn, moreover controls 68% of the stock of Tropicana Entertainment Incorporated and its intervention and subsequent reorganization of the struggling casino-operating firm helped save the company from oblivion in 2010.
“Since emerging from bankruptcy in 2010, Tropicana [Entertainment Incorporated] has been a great success story,” read the statement from Rodio. “The capital and support of Icahn Enterprises, our controlling shareholder, has been instrumental in our success and I appreciate Carl Icahn’s continued support in the execution of our strategy.”