Article Tag: has_thumbnail

Constructing Community

The mention of art typically brings to mind images of sophisticated galleries and museums. But with KHS&S Contractors, art is created at the most unlikely of places-construction job sites across the United States.

As one of the nation’s largest interior/exterior specialty contractors and the country’s leading theme contractor, KHS&S turns to its in-house artists and craftsmen to fulfill developers’ visions for large-scale projects, from casinos to resorts to high-end retail and lifestyle centers.

Using paints to replicate everything from wood to marble to upholstery, and plasters to reproduce wood, bricks, rock and aged surfaces, KHS&S craftsmen have amassed a portfolio of projects that are a virtual showcase of building creativity and originality.

Through a water feature and rockwork group, KHS&S even continues the artistry outside-or brings the outdoors in-by integrating artificial and authentic rock formations with synchronized fountains, water walls or perimeter landscaping.

What’s more, since 1984, KHS&S has combined this creativity with the experience and knowledge of traditional wall and ceiling construction, offering a one-stop shop that can provide nearly every aspect of a project, from structural to ornamental elements.

For most projects, KHS&S in-house design-assist teams collaborate with architects and designers who want to make a statement with their projects. They use challenging designs and unique features and finishes. KHS&S staff takes these architectural concepts to finished construction drawings, providing assistance in material selection, value engineering and “constructability” along the way.

The company is evolving from a construction firm to a conglomerate of companies that serve the construction and architectural industries. KHS&S is able to serve owners, architects and general contractors in various capacities. The company is using technology to diversify its offerings, and will continue to apply various technological advances to projects to stay in sync with how the industry progresses in the next decade.

KHS&S operates 10 domestic offices in California, Florida, Nevada, Washington, Texas and New Jersey. It is also expanded into offices in Dubai, Bangkok, Singapore and Hong Kong. New projects include Aliante Station and CityCenter, both in Las Vegas.

For more information, visit www.khss.com.

Encore! Encore!

The measure of a great casino company is the gaming projects upon which it is known. For Wynn Resorts, that legacy extends far beyond the properties it currently owns-Wynn Las Vegas, Wynn Macau and Encore Las Vegas. Steve Wynn and his companies will forever be known for transforming Las Vegas-and indeed the entire casino industry-with seminal casino resorts that became icons the minute they opened.

Wynn discovered his love for development when he bought the Golden Nugget in Downtown Las Vegas in the early 1970s. What was a serviceable “grind joint” became a luxury hotel in the span of several years as Wynn transformed the property into a  must-see attraction in one of the grittier areas of town.

His move to Atlantic City in 1978 really created the basis for the company. From design, to human resources, to operations, to advertising… the Golden Nugget Atlantic City was where Wynn began to put together the team that would create a mold that he broke and reformed over and over again through the years.

After selling the Golden Nugget in Atlantic City in 1986 to Bally’s for a then-unheard-of price of $440 million, Wynn embarked on the Mirage, the first new project on the Las Vegas Strip in more than a decade when it opened in 1989. It was at the Mirage where his love for design and drama became evident-and his impact on the gaming industry became apparent.

Subsequent properties only improved on the design, the construction, the amenities, the public spaces, the rooms… and the all-important “wow factor.” Whether it was Treasure Island, the Beau Rivage in Mississippi or his ultimate gem, the Bellagio, Wynn kept getting better.

The sale of Mirage Resorts to MGM in 2000 left Wynn property-less for the first time in almost 30 years, but it wasn’t long before he got back in the game. On April 27, 2000, he bought the Desert Inn and its 215 acres of Strip land as a “birthday present” for his wife Elaine. The property has given him a palette upon which he would create his greatest legacy, a mini-city that would be appreciated and loved long after he was gone.

Wynn Las Vegas became its initial tenant. It quickly achieved AAA five-diamond, Mobil five-star, and Michelin five-star status. Although it clearly qualifies as a “mega-resort” with more than 2,700 rooms and suites, Wynn Las Vegas had a boutique feel, with the Wynn design team rising to the challenge once again. Innovative features include a vertically stacked tower that dramatically reduces the vast distances guests need to travel between amenities.

Like Bellagio, Wynn Las Vegas sports a lake and a water show, but unlike Bellagio, it can only be enjoyed from inside the property. And the concept of integrating the inside of the hotel with the outside environment begun at Bellagio was enhanced and improved.

 

Wynn Double Take
So what to do for the “encore” to Wynn Las Vegas? (Elaine Wynn coined the name, by the way.) Like all other Wynn properties, Encore was a product of much reflection and evolution.

Two longtime members of Wynn Design and Development say that Encore was never supposed to be just an addition to Wynn Las Vegas.

“The talk in the very beginning was ‘Should Encore be more Wynn?'” says Roger Thomas, executive vice president of design for the company. “I held out from the very beginning that Encore should be its own place. It should have its own sense of place. It should have its own menu of all the services we want a guest to have. You should never have to leave Encore to go to Wynn to get something and vice versa. You should want to leave Encore to go to Wynn to get something but you should never have to leave.”

DeRuyter Butler, head of architecture for Wynn Design and Development, agrees.

“We wanted Encore to have its own personality,” he says. “In order to be successful, it had to be perceived as an upgrade to Wynn. We again emphasized reduction of scale and integration of the indoor-outdoor component, which are really principal design theories we employ today when building a successful project.”

Thomas says the personality he envisioned for Encore was very specific.

“Encore is Wynn’s stylish younger sister,” he laughs. “Wynn was an invention of vocabulary and alphabet. We added new letters to the alphabet and a lot of new vocabulary. We added several new conspirators, like Victor Drai, who did not have the same role at Wynn.”

To achieve that personality, Butler says the same improvements that were implemented with previous Wynn properties were also made here.

“If we had just tried to build another Wynn, it would have been considered just a step child,” he says. “So we wanted Encore to be special and be considered at least equal to or better than Wynn. We made the rooms bigger. We used bolder colors. It’s a little more contemporary. We incorporated a greater sense of indoor-outdoor. We used a special glass made in Germany that has non-reflective properties so it truly brings the outdoors in at any time of day or night.”

Like Wynn, the concept of a “boutique” feel in a larger hotel was crucial.

“We felt very much that we succeeded with Wynn,” says Thomas. “By comparison with the marketplace, it was by far a more intimate and upgraded experience. Once we started doing Encore we wondered what we could do better. And we usually find ways to make it better.”

Butler says the vertical stacking of the hotel tower solved a lot of the travel-distance issues at Wynn, but it was done even better at Encore. For example, while the arrival and VIP registration atrium at Wynn was conveniently located near the elevators, the check-in area for regular guests still required a trek across the casino floor.

“At Encore, we took a different tack,” says Butler. “We figured out how to put the tower, the check-in and the elevators all within 100-200 feet of each other. At the same time, the registration lobby looks out onto the pool at Encore so it also has a view, as does the Wynn registration area of the lake. It also is next to the lobby bar café, so it’s that next level of sophistication where we make things ultra-convenient for the guest.”


Rooms to Move
The rooms at Encore were a work in progress almost up until the day it opened.

“We already planned the rooms to be larger than the Wynn rooms,” explains Butler. “The right-to-left dimensions are identical but the dimensions from the door to the window are increased by six feet.”

But a standard room wasn’t going to be good enough for Steve Wynn, especially when he saw what his designers were working on for his Macau property that was also in development at the time.

“By that time we were well into construction-we were probably on the 25th floor,” says Butler. “In Macau, we had decided we wanted to develop a suite in a typical room bay. What we had was the bed facing the window separated by a partition at the foot of the bed. The balance of the space became the sitting area. In this partition, we put a large flat-screen TV that you could swivel and watch from both sides of the partition.”

After Wynn and the rest of the team saw the mockup of the Macau suite, they decided it had to be implemented in Encore as well.

“We got such a great response from our executives and people we brought in to show what we had come up with, we decided we had to incorporate it into Encore, as well,” he says.

But the space changes weren’t over yet. Two-story suites also planned for Macau caught Wynn’s attention and more changes were ordered.

“This was Todd Lenihan’s fault!” laughs Thomas. “Todd and Avery Brooks did all the rooms and suites at Encore. I think it was truly one of the most remarkable designs in hospitality design history. Everybody loved the first model of the suites that Todd did.

“But Steve decided that it didn’t have the warmth and softness he was looking for. It had all the drama and caché, but Steve wanted something warmer. So when Todd added the warmth and the embracing feeling to his design, it was so wildly popular with the board and all the executives that everybody said ‘it’s a shame you’re only going to have 10 of these.’ The problem was it was too beautiful.”

So the directive was given to make it happen, and again, the conundrum of re-designing during construction was brought to bear.

“We had originally planned 48 single-story two-bedroom suites,” says Butler. “Again, we were developing a two-story suite for Macau with a balcony that looked over the living room. In Las Vegas, it would have been really dramatic and offered a great view of the west valley and the Spring Mountain range.

“The problem was, we had just poured the 15th floor. We didn’t want to stop construction unless we had made a major mistake. We immediately jumped on expediting engineering drawings and had to go back to the county for approvals. We calculated the time it would take to draw, get permits, and where the construction would be when we needed to make the changes, which turned out to be on the 21st floor. So we let construction continue. We wanted to have as many two-story structures as we could but we didn’t want to delay construction, so the question became when can we implement this without impacting our schedule.”

Thomas says a traditional operation with independent architects, designers and builders would not have been able to pull this off in the short amount of time that it took at Wynn.

“The advantage of having an in-house design and development group steeped in the culture is that you can make last-minute changes,” he says. “So when we asked John Littell, who runs Wynn Design and Development, if we could have more suites, he didn’t have to ask someone. He just figured out how to get it done. Within hours, we knew we could do it. We had to give up some insignificant things, they would be the last rooms built out and we couldn’t see one furnished until about month before opening. But we knew we could do it. We have a very elastic operation here. With an independent design group, I suspect it wouldn’t be hours. It would be days and weeks.”

Another last-minute change was the casino floor, which was also influenced by the Macau design.

“The way the casino was laid out was a concept that Hersh Bedner from Los Angeles achieved in our Macau property,” says Thomas. “They were challenged with a casino that had never been designed before. In Macau, it’s almost entirely baccarat-at least it was when we were designing it. So instead of having acres of baccarat tables, we decided to segment it into small rooms. And how do you get a bunch of small rooms, yet enjoy the energy of a large casino? They took the lift canopies we have at Wynn Las Vegas, made them into friezes, added tie-back drapery to soften the corners and create passages. It was very successful in Macau and I think it works well at Encore.”

Because the concept worked well in Macau, with players enjoying the experience and the ambiance, the team decided to duplicate it at Encore, although the size wasn’t identical.

“During the initial design of Encore, we designed a casino like every other casino we’ve designed here in Las Vegas,” explains Butler. “But the learning process in Macau taught us that the customer responded very favorably to the modules. By the time we learned that, the design process on Encore was well along. The steel was all up and the spa up above was already under way. We had to live with the columns that existed but we re-designed the casino to address this modular approach. It’s not quite as small and compact as Macau, but it’s certainly broken up more than it is at Wynn or Bellagio or any other U.S. casino.”


Restaurant & Retail
Like all modern mega-resorts, the retail, dining and entertainment experience is crucial. Because some of the operators of the restaurants weren’t decided at opening, Thomas says he relied on previous  experience to flesh out the designs.

“Sometimes the chef is there for me to conspire with, sometimes not,” he says. “Sometimes I’m operating on the last discussion I had with the chef and then I’m on my own. With Sinatra, Theo Shoneker was not on board when we first started to design the room. At one point, Alex Stratta agreed to act the role as the operating chef. He looked over the room and told us where he needed all the serving stations, etc. We were basically done with the plan and our pencils were down. So we picked them up again and accommodated all his suggestions. When Theo came into the picture, things were far along. Drywall was flying. But we were able to make the changes he requested and now it’s one of our most successful restaurants.”

Switch is a unique restaurant that combines dining with drama. The walls literally transform three times an hour, changing the atmosphere and the very look of the restaurant.

“We had interaction with (Switch chef) Mark Podevin from the first day. We always knew it was going to be him. It’s always better to work with the chef from the beginning.

“With Botero, we worked with Victor Drai right away. We didn’t know who the chef was going to be right away, but Victor was very involved and hands-on. We made accommodations early on, and everything was smooth.

“The nightclub, XS, works because, like Tryst (the nightclub at Wynn), Victor was in every meeting, as was Steve, DeRuyter and myself. We talked about every little detail.”

High-end retail has been a part of the Wynn experience since the Bellagio. But Butler says even that was a last-minute change.

“The original concept was changed late in the design process,” he says. “We didn’t have that retail component that you see now. Originally, it was all supposed to be part of the lakes. We added that entire retail mall probably about one-third into the project. Vegas has evolved and the high-end retail coming to the town was the reason we added this component. Vegas is now a mecca for fine dining and fine retail.”


The Team Approach
Even though Thomas and Butler play crucial roles in the design and construction of every Wynn project, they both concede that it begins and ends with Steve Wynn.

“Steve is the conductor,” says Thomas. “In many cases he’s the conductor and the composer. The idea that Encore was going to have much more sunlight; the entrance for the Strip directly into the atrium; the concept for Switch being about theater and drama… those are all Steve, 100 percent. The way the master plan relates to the building in the large sense is Steve and DeRuyter. They move the big bubbles around and I come in and move around the bubbles, to give them an axial alignment and a more friendly shape so that they take on a better presence.Thomas says he rarely considers trends in the casino industry or even contemplates what competitors are doing.

“I don’t follow trends,” he insists. “I don’t ever go to other casino properties unless I have to go to a function. I don’t consider trends. I notice what’s going on in fashion because I love to be inspired by the color and movement of fashion. I’m somewhat inspired by the marketplace, but I custom-create things that you don’t see anywhere else. So I use the marketplace for my raw materials.”

Butler says he trusts Wynn to let him know what the customers want and then he designs with that guidance.

“We believe that Steve’s insights are common to our clientele,” he says. “We don’t target any specific group, but if you build something of the highest quality and discriminating design, you tend to attract a certain clientele-those who can tell the difference. And those are people who are possibly of higher intelligence, better financial means, those who have traveled the world, been to many places and experienced the best out there. They come to us and we try to meet and exceed their expectations.”

For Thomas, Encore has been the company’s highest achievement so far. But while he’s happy with the results, he’s never content.

“Encore has succeeded in ways Wynn did not,” he says. “And I suspect our next one will succeed even more because we’re already talking about what are the good things at Encore and what we can do better. You’d think we’d be satisfied but that’s not our job. Our job is to always move forward and to make things better.”

Room for Growth

Pala Casino Resort
San Diego, California 

ARCHITECT: JCJ Architecture
INTERIOR DESIGNERS: Tandem and Ralph Gentile Architects
CASINO: Added poker room and high-limit area
DINING:  Three restaurants added, including a 20,000-sq-foot buffet
COST: $100 million


The Pala Band of Mission Indians opened its $100 million expansion of the Pala Casino Spa and Resort over Memorial Day weekend in the U.S. The expansion brings a number of new amenities to the casino floor and surrounding area.

On the floor, a 15-table poker room and a new high limit area were added. The poker room features table-side dining and runs a number of tournaments. It has its own cage, and the location off the casino floor makes the environment calmer, quieter and more inviting. The high limit area is a “casino within the casino” featuring three redesigned, feng shui-inspired rooms that raise the bar for the property’s high rollers. The three areas—a slot room, table game room and lounge—are all accessible through a separate entrance.

Off the casino floor is where things really took off. The buffet was expanded to 20,000 square feet, making it the largest casino buffet in Southern California. It was also renamed, going from the Terrace Buffet to simply Choices. With eight live-action cooking stations, an exhibition kitchen staffed by 12 chefs, more than 200 food items and spectacular views of the surrounding mountains, the buffet is expected to become a huge draw. The buffet also features three LCD TVs above the foot line as well as six more TVs in the entrance area. The room was also given a new look with water features that bring it to life.

Joining Choices are Pala’s, a Mexican restaurant with views of the Palomar Mountains; and Sushi Sake, a full-service sushi bar.

The expansion rounds out what is already a successful property with 507 rooms—82 of them suites—more than 2,000 video machines, 87 table games, four entertainment venues and now, 10 restaurants. The property is a AAA Four Diamond award winner, and its 10,000-square-foot spa was voted the 2009 Best Casino Spa by Spas of America.

The Shrinking Mega-Resorts

Just a few years ago, there was no limit to the size or cost of casino projects being proposed throughout the world. It was very clear that bigger was definitely better. It wasn’t just a case of big for the sake of big; economic conditions essentially mandated it. Real estate prices were spiraling upwards and the only way to make good financial use of the land was to pack it with thousands of rooms and thousands of square feet of meeting, convention and retail space.

Out of that specific economic condition arose projects that are still moving forward like CityCenter and Echelon in Las Vegas, Marina Bay Sands in Singapore, and the City of Dreams and the Cotai Strip in Macau. There were also a number of other proposals that now seem to be in limbo, like CityCenter North, El Ad’s proposed $5 billion Plaza on the Strip, and Station Casinos’ proposed mega-resort Viva! just off the Strip.

The number of projects that have been completely abandoned is simply too long to list.

Some projects never had a chance, and that became painfully obvious when even gaming giants like Las Vegas Sands Corp., MGM Mirage and Boyd Gaming struggled in their efforts. Only MGM Mirage has been able to continue construction on CityCenter. Work on the Cotai Strip was stopped for a time due to financial pressures, and Echelon has sat in the early stage of construction since August 2008.

There are lessons to be learned from the difficulties these companies encountered, but just what those lessons are may take some time to discern. For the most part, the problem was not that any of the operators were aiming too high; it was that their lofty ambitions crashed to reality as the global economy went into the tank. The glory days of month-after-month revenue increases, a seemingly endless line of people willing to pay increasingly higher prices for everything from rooms to shows to meals to drinks, and easy access to credit are largely gone.

It hasn’t been a complete meltdown. In Nevada, for example, despite the continual stories about the death of the industry as double-digit revenue drops were reported month after month, 2008 was not a particularly bad year (2009 has been much worse). The demand remained, and even as people spent less or cut vacations shorter, the gaming industry realized its second-best year in terms of revenue.

On the financial side, credit all but disappeared. Companies struggled to obtain financing to finish projects. There were a few shaky weeks where it looked like CityCenter might join Echelon and Cotai on the list of stalled, but not canceled, projects. (It should be noted that Boyd wasn’t forced to suspend work on Echelon, but elected to do so in the face of rising costs for materials and labor.) It took some strategic maneuvering to lock down the money needed to finish CityCenter, some design changes were necessary, and it won’t open in one big bang as originally planned, but it will still be completed and open by the end of 2009.

Watching these companies struggle has prompted some to question whether this idea of the mega-resort was actually sound, and whether this is something that the industry will ever see again. The answer is quite simple: It depends.


Drawing Conclusions
Until projects like CityCenter and Cotai are completed, it will be difficult to assess whether the mega-resort idea is dead, according to Dick Rizzo, vice chairman of Perini Building Company, which is building CityCenter.

“It’s a big experiment,” he says. “It’s hard to make a judgement call until it actually opens.”

Rizzo and others say similar projects could be built in the future, provided the circumstances are right. If there is enough traffic and enough demand, a project similar in scope to CityCenter is by no means out of the question.

Terry Dougall of the interior design firm Dougall Design Associates agrees that until the industry has had a chance to see how well the mega-resort works, it might be a while before someone dares to attempt a similar project.

“I think everyone will look to see what happens at CityCenter over the next two or three years,” he says. “I think people will sit back-well, they might not have a choice-and they’ll watch CityCenter and see what happens before I think anybody gets too crazy about emulating what they’ve done there.”

He noted, like others, that probably the single biggest obstacle to projects of this scope in the future will be the difficulty in obtaining funding. It is that difficulty itself-the problem of financing-that plagued these projects; it was never the case that the projects suffered from some sort of conceptual flaw.

“If the economy hadn’t taken the pause that it has taken, I don’t think anyone would be asking questions like this,” says Brad Friedmutter of the Friedmutter Group. “The concepts were sound, the approach was sound and had we not faced what we did, they would have just opened and things would be moving on.”

Bergman Walls vice president George Bergman agrees. He feels that ultimately the projects that have already started will be completed. Operators really have no other choice.

“I think all these things will get completed. I think Las Vegas will adapt. These owners are very intelligent people and they’ll find ways to make their assets work,” Bergman says.


Short-Term Outlooks
Everyone expects that Las Vegas and the other jurisdictions will ultimately enjoy success with the mega-resorts that will be introduced soon. The financial troubles that plagued builders also hit consumers, and many were forced to cut back on their spending. As the economy recovers and people resume spending, these resorts will see the traffic they expect.

“There is a huge amount of pent-up demand for entertainment facilities,” says Lee Cagley of the interior design firm Cagley & Tanner. “People have gone without for a couple of years, and anybody who is poised with a beautiful new facility like CityCenter will probably do very well. On a similar note, some of the older properties on the Strip, if they aren’t appropriately spruced up, won’t be doing so well.”

The consensus among the designers and architects is that between the difficulty in obtaining financing and the increased pressure from the few new casinos that are set to open over the next year or so, there will be a larger focus on renovation work, which can be financed through cash flow alone.

“I think there will be a slowdown for sure,” says Bergman. “In the next three to five years, there won’t be a building boom, but I think there will be a lot of renovation work. I think Las Vegas will adapt. People are still coming here. Everyone still wants to come to Las Vegas.”

“I think a lot of regional work will start to pick up, too.”

Friedmutter adds that new ownership of casinos will lead to additional remodeling work as the new regime looks to put its brand on a property.

And Cagley points out an additional benefit of remodeling, suggesting that it might be the new trend in the industry. Rather than requiring a large amount of energy to produce materials and erect a building, renovation and remodeling work takes an existing resource and improves upon it. It is a more sustainable approach, he says.

“There are so many existing resources in terms of casinos and gaming facilities,” he says. “You’ve already paid for the floor and the walls and the ceiling. All you’ve got to do is make the inside box appealing and you’ve got all the basics already handled.

“All I need is a better mousetrap. I don’t need a better house to put it in.”


The Long Haul
It is extremely difficult for even the brightest of the gaming and hospitality industry to say with any certainty just what will happen in the long run. And there is a good amount of divergence of opinion. While some think that big is here to stay, others predict dramatic changes in energy sources could bring about major changes in how operators approach casino design.

Cagley agrees, in a sense, with the sentiments mentioned earlier by Bergman: Regional casino work will start to take on greater importance. He bases this on the prediction that as the world’s oil supply dwindles, transportation will become increasingly difficult, and similarly, increased governmental regulations will make it difficult to build this kind of project in the future.

“People are not going to be traveling as far, and if they do travel a long distance, the result had better be spectacular,” Cagley says. “That’s why I believe there will always be a Las Vegas.

“The existing casinos will be remodeled and perfected, but increasingly, in the long run, a mega-resort doesn’t make much sense. As more and more regulations are in place for energy conservation and energy-efficient building, it becomes less and less feasible to build a new one. It’s not impossible, but it’s really hard.”

Tom Hoskens of Cunningham Group doesn’t completely agree. He thinks that bigger will remain a drawing point on its own, although he cautions that building big for the simple sake of building big will never work.

“The reality of entertainment and entertainment resorts is that one is continually looking for what is the next big attraction, what is the thing that will draw guests to you,” he says. “Mega-resorts have been continuing to grow and create that ‘wow’ attraction. I don’t think that will ever go out of style. I think the bigger, better attractions will always draw people.”


Planning to Succeed
One thing that will likely change is that operators will generally be forced to look at better planning models for their properties, even if they don’t have the desire to build a mega-resort.

“Certainly, I think past experience has shown that if you’ve got a lot of acreage, even if you’re not planning a huge development, you’ll lay out the property in a way that will allow it to grow,” Dougall says.

Additionally, operators might look at a more protracted method of introducing new product to market by phasing in new additions. In essence, that is the more traditional approach. As Hoskens points out, a property like Caesars Palace in Las Vegas has grown in an almost organic way into a mega-resort, with thousands of rooms and the entertainment options and the retail component. But that issue ultimately comes down to a decision by the developer, as each approach has its advantage.

“There are pros and cons to the one big bang,” Friedmutter explains. “That gets a big wow. There are challenges in how you get tens of thousands of employees trained, get the bugs worked out; it’s mind-boggling how complicated that is, but the industry certainly has the people with the expertise to do it.

“On the other hand, there is a benefit, for example, to having a master-planned project built in phases so you get multiple wows and the multiple bang of openings every six months or every year.”

And the uncertainty of future demand looms, too. No one can really say whether demand for Las Vegas will continue to increase, but there is some belief that the major emerging market of Asia poses the best location and the best possibility to see future mega-resort development.

“Asian gaming is growing by 15 percent a year, and I think you’ll see mega-resorts in Asia grow quicker than other areas,” Hoskens says. “I think in Vegas they’ll come back by the phasing approach. You’ll get Echelon and those to come back, but they’ll be phased.

“I think Asia will continue to develop big resorts, but remember, you can’t just do mega-resorts for mega-resorts’ sake. You can’t just make it big; you really have to have content and planning. Our future, I think, involves a much more sophisticated planning and more sophisticated phasing, and a much more sophisticated experience for the guest. Once we pull those three things together, that will give more legs to the mega-resorts.”

While the future may remain uncertain, if there is one lesson that remains constant in the gaming and hospitality industry, it is the one espoused by Dougall when asked whether mega-resorts will continue to be a viable design trend in the future.

“It depends on what your neighbor is going to do,” Dougall says. “If your neighbor is going to try to do something, then you’ve got to keep up with them. You simply have to.”

Border’s Best

Choctaw Casino Resort
Durant, Oklahoma

OWNER: Choctaw Nation
ARCHITECT: WorthGroup ArchitectS
GENERAL CONTRACTOR: Flintco Constructive Solutions
SIZE: 300,000 sq feet
ROOMS & SUITES: 350
CASINO FLOOR: 3,143 slots, 48 table games & 600 bingo seats
AMENITIES: Six restaurants and one lounge


When it opens in the first quarter of 2010, the new Choctaw Casino Resort in Durant, Oklahoma, will be a world-class destination resort. The 300,000-square-foot facility will be one of the largest casinos in the state.

The project includes a new casino and a new luxury hotel. The casino will house 3,143 slot machines, 48 table games and 600 bingo seats. It also features a 30-table poker room as well as a designated high-limit gaming area.

A number of new dining options are also part of the project, including a 400-seat buffet, a 140-seat cafe and a 120-seat steakhouse. There also will be a smaller Tex-Mex restaurant, a coffee house, a food court and the Diamondback Lounge.

The 10-story luxury hotel will have 330 rooms, including 12 executive suites and one specialty suite. It also will include a number of amenities like an indoor/outdoor pool, a fitness center and a spa.

The expansion allows the tribe to continue to target the Texas market, according to Janie Dillard, director of gaming. Of the estimated 300,000 annual visitors the existing casino attracts, nearly 80 percent are from Texas. And with 700 acres on which to expand in the future, nothing has been ruled out for additional development.

The casino will be designed in a way that focuses on the tribe’s history and culture.

“The design showcases the rich culture and heritage of the Choctaw Nation through interpretive design and tribal influences,” says Bryan Hamlin, vice president of design for WorthGroup Architects.

For the people of Durant, perhaps the most exciting thing about this project is the employment opportunities it will provide. There are currently 1,300 people working at the existing casino, and the tribe hopes to more than double that number to 3,000 when the new facility opens.

Diet or Die

The American Gaming Association just released its annual the “State of States” report, formalizing many of the trend specifics the industry has been expecting: 2008 gaming revenues across the country showed a notable 4.7 percent decline from the record-setting year of 2007, with further decreases ongoing this year.

Although this information should not surprise anyone who has been monitoring the gaming industry of late, it is somewhat alarming that many operators and developers are just now realizing that their food and beverage programs must be realigned to respond to these shifts. The good news is that it’s not too late to make significant improvements to the bottom line.

When consumer spending and gaming revenues decline, ancillary and amenity earnings fall as well. The Innovation Group has seen spending on food and beverage programs drop over the past year an average of 8 percent to 12 percent, a result of consumer downgrades to both restaurant and general beverage dollars. The spending decrease has been felt most by the upscale segment of F&B programs as current gamers and patrons to casino resorts are spending more in the midscale and casual dining segments.

Unfortunately, capture rates are mirroring these declines as well. The F&B capture rate is defined as the number of food and beverage customers divided by the number of total patrons to the property. In existing casinos, including both large-scale resorts and smaller local facilities, the Innovation Group has tracked an average 4 percent drop in food and beverage facility capture rates this year, bringing the overall rate to the low 30s. Comparatively, since 2003, previous capture rates within urban casinos had been steadily climbing toward 37 percent, and even up to 43 percent for resort-style properties. For existing and future owners alike, the potential impact on seat demand should be obvious.

The most successful operators understand the importance of flexibility and responsiveness in such an environment. With that in mind, below are various operational strategies and development goals that your property can apply to capitalize on the changing spending patterns that impact casino F&B.


The Price-Value Relationship
Along with the drop in spending, gamer habits and expectations have shifted. The current gamer and resort patron is more mindful of the dollar, and expects the price-value relationship to be very high. In fact, in some cases, the patron actually wants that value relationship to be higher than before the decrease in spending.

Accordingly, any current F&B assessment must consider such responses as the introduction of value-conscious menu items, closing down certain restaurants during off-peak days and times and focusing on service and training to increase consistency. In addition, developers of new casinos need to pay particular attention to sizing parameters, capture rate declines and consumer desires, and create plans that allow for phased expansions within the F&B program.


How About A Free Lunch?
It’s interesting to note that players’ expectations for comps have (reasonably) been lowered, with patrons demonstrating that they are more accepting of fewer comps or a lower value thereof. This means there’s an opportunity for those properties that can afford it to maintain an aggressive comp strategy.

It also means that since consumer expectations have changed, food comps have taken on a greater significance. Until recently, buffet comps were taken for granted. Now buffet and other casual food comps represent an opportunity to grow market share through an aggressive comp strategy. It will be important to analyze the costs associated with the comp program to make sure it is financially viable before implementing this strategy.


Maximize Hours of Operation
For existing operators in particular, it’s important to analyze and potentially alter several key aspects within their respective food and beverage programs.

One of the first and easiest “fixes” is to analyze performance in order to identify opportunities to close certain restaurants during off-peak dining days and times. The main goal is to reduce the labor burden. For example, a reduced demand within the casino may allow for an upscale restaurant or fine dining restaurant to go dark Sundays, Mondays and Tuesdays. By closing or reducing the hours of the restaurant during these typically low-volume evenings, a potential operator can utilize a smaller staff while still maintaining full-time status for the employees.

Certain caveats are important to consider when closing a restaurant for off-peak meal periods. It’s important to make sure that the segment mix within the casino remains balanced. If the steakhouse or fine dining outlet is closed on specific days, it will be necessary to offer a dining experience for the potential steakhouse customer in another outlet during that time frame. In large programs, this goal can be accomplished by staggering the closing days for the fine dining and upscale restaurants. This will create the balance needed within the overall program so that potential high-spend gamers and patrons have an outlet to dine in, all while allowing the operator to reduce labor spending.

In smaller operations-often defined as those with only two to three outlets-menu modification can be made in the midscale or casual restaurant in order to offer certain menu items from the closed restaurant. The MonteLago Casino in Lake Las Vegas, a resort with three restaurants, recently achieved an example of this. The operators chose to close the Portofino Steakhouse during off-peak days and broaden the menu at the midscale restaurant with popular steakhouse items. This allowed frequent patrons of the steakhouse and higher-spend gamers to have a fine dining experience outside the steakhouse. Also, by closing Portofino’s, MonteLago at Lake Las Vegas was able to decrease labor and food costs and position itself better to weather the downturn in spending.


Continue to Emphasize Value
Another core aspect is to offer more price-conscious or higher-price value relationship items on menus. In order to capture the widest assortment of customers, it’s imperative for higher-end outlets to add more cost-sensitive menu items. This could include cheaper cuts of meat or lower-priced seafood items, although it’s important to not lose overall quality while utilizing lower-cost products on the menu. Remember, consumers are hypersensitive to quality and value at this juncture.

By broadening the menu options, upscale restaurants should be able to lower prices on certain menu items. While this could reduce overall check averages, it could also increase revenues through higher volume sales.

 

Think Out of the Box
Operators should also consider expanding venues that highlight cost-effectiveness and convenience, including the successful grab-and-go concept. Grab-and-go typically entails pre-made sandwiches and salads offered at a lower price point. As check averages within casinos decline, there’s an opportunity to expand grab-and-go offerings to capture the “spending less” market.

Traditionally, grab-and-go outlets have not included high-profile brands, but with the shifts in consumer spending, more and more casinos are attracting lower-spend consumers with higher-profile value brands and concepts. While branding opportunities have been associated primarily with upscale and steakhouse segments until now, operators now have greater options for service brands related to the grab-and-go segment. On top of retaining existing customers, the new grab-and-go branding opportunities will attract new customers looking to spend less but still get a quality product.

On top of branding opportunities, operators now have the ability to lease out grab-and-go space to outside quick-service operators. Additionally, the property can form joint ventures and purchase franchises with successful concepts to help grow the expanding market and reach a higher market share potential.


Train the Staff You Rely On
Perhaps most importantly, as business and demand slows, existing operators can expand server training. Consumers are looking for a higher price-value relationship, so it’s important to maintain high customer service standards and consistency in both the front and back of house. During these reduced demand times, operators should focus on customer satisfaction training, employee cross-functionality and product education. This is a prime tool to utilize to enhance the guest experience and build morale within the employee base.

One important tool for owners to consider is internal educational and training activities on F&B products and sales techniques. These activities can range from specific alcohol classes with on-site vendors to sales psychology classes with a local college professor. By providing free on-site education to the employee, he or she gets the chance to learn in an environment that will directly affect check averages and tips.

As restaurants trim labor costs because of shrinking revenues, cross-functionality training becomes even more prevalent. Because operating volumes are down, the slower pace of the restaurant may allow an operator to cross-train a bus person to become a server, or a cashier to become a buffet attendant. Creating multi-purpose food and beverage employees will allow operators to be flexible with staffing. In turn, this will allow a large multi-unit outlet facility to utilize employees across all the outlets, thus reducing overalls staffing needs and numbers.

One potential downside is negative employee motivation. Operators must walk a fine line to keep employees happy and motivated as they work in different restaurant environments. For example, it might be difficult to cross-train a fine dining captain to work in the midscale restaurant, but a bus boy in the midscale restaurant might be easily trained to be a back waiter in the fine dining location.


The Beverage Department
Interestingly, beverage sales have not seen the same decreases as food. Revenues are down 3 percent to 5 percent over the same period that food sales have decreased close to 10 percent. This is partially due to the fact that consumers tend to drink more during recessionary times.

Even so, consumers are trading down on beverage choices, spending more proportionally on beer and less expensive alcohols and ordering more well and call brand liquors than premium and super-premium brands.

Traditionally, the margin on the call and well brands is higher that premium alcohols-a blessing in disguise for F&B operators. In restaurants, wine sales have shifted from high-priced bottles from traditional wine-producing areas to value plays in the non-traditional, new-world wine regions. Additionally, operators are showing a trend to more wine-by-the- glass sales. For both restaurants and beverage-centric outlets, this shift has changed the way beverage revenues are coming into the property.

The midscale and upper-midscale segments of the F&B plan are positioned well to capitalize on this shift in beverage spending. These styles of restaurants have the ability to expand their wine-by-the-glass offerings and also modify the wine lists to include value wines from regions such as Chile, Argentina, South Africa and New Zealand/Australia. By increasing these areas of the wine list and properly training the staff on sales techniques, these outlets should see an increase in wine sales.

Of all the changes listed above for both the restaurant and beverage departments, the beverage changes will be the easiest and cheapest strategies to employ. Also, because margins are traditionally higher within the beverage department, these changes will have quick and direct affects to the bottom line of the department.


On the Boards: Rules for Projects Not Yet in Operation
Prior to the downturn, the operator’s strategy was: build it big, make it famous, charge a lot and the people will come. The current trend is to build more midscale and casual offerings with a high price-value relationship. For developers, the key for any food and beverage program is right-sizing. Just as casinos create a master plan for expansion, there needs to be a food and beverage master plan. As amenity and ancillary spending decreases, the food and beverage outlets will be used less. Developers must modify forecasts and create a value-sensitive F&B experience.


Be Ready
A corollary to that strategy is the ability to phase in new products quickly. Once spending increases, it will be important to integrate new outlets into the existing plan without a long development or lag time. It’s important to constantly monitor the program and be ready to adjust to changing spending habits. Your F&B master plan should be built around the ability to expand or repurpose food and beverage venues quickly as amenity and ancillary spending increases.

This is an important consideration for existing operators, but it applies to planned facilities as well. One way for properties under construction to achieve this is to consider shelling out planned F&B areas and applying final finishes at a later date (when demand increases). Whether the building program includes a shelled-out space or leaves room for development is up to the individual developers and their resources. There are some inherent capital costs and risks associated with this approach, but as spending increases, the casino will be at a distinct time advantage to capitalize on the increased spending habits.

In either case, the current trend is toward midscale and casual seats and away from more elaborate fine dining options. The past 6 to 12 months have clearly shown that gamers are spending less on meals in casinos, but still demand a high quality food and beverage experience. By building more midscale yet still high quality seats, the casino will be able to capture a higher percentage of gamers within the food and beverage program. Appropriate size and positioning is the key.


Looking Forward
Industry-wide, F&B venues have taken a hit. But it doesn’t have to continue. Every property should aim to minimize the potential loss and capitalize on both the current trends and potential upside, including a focus on midscale and casual offerings sized appropriately for lower capture rates. By creating a higher price-value relationship, training and educating staff, and analyzing potential operational hours, existing casino operators will be better positioned to weather the current downturn.

Improvement You Can Believe In

It’s true-the sky is falling. Our political leaders are making sure of it. Wall Street, Madoff and gaming are the poster children for all that’s wrong in the world. The stock market and my 401K are in full retreat. So we must fight back by retreating to our core values (gaming, personalized service and value).  

Gaming started out as a value-oriented experience with 99-cent shrimp cocktails, free drinks and cheap rooms; it’s time to get back to our roots. Six-star hotels, Zen spas and $500 bottles of vodka have gone the way of capitalism and Sarah Palin’s wardrobe.

“If you build it, they will come.” Well, “they” have tightened the purse strings and you need to adjust. Since the government won’t bail us out, we must take a more realistic approach to problem solving. We’re on our own-just like we wanted it. Forget about change (it has no meaning); it’s about improvement. It’s time to show our leaders how to lead.

The casino industry must refine, rethink, refresh and revitalize its amenities. Every space should be evaluated to maximize revenue potential. Remodels or repositioning cost money, but not as much as a stale property that loses its brand, its reputation and its core customers (think Republican Party during the last election).

How do we do it? Well, here are a few tips.

Never give core experiences away for free; people will never pay for them when times return to normal. Instead, add value to those experiences. Stay current and relevant in people’s daily lives. Become an irreplaceable experience. As the only group that can offer them gaming, you’re halfway there.

Gaming. It’s at the core of your success and can lead people to your door. Communal gaming machines, interactive employees and updated interiors all add to the energy that defines a successful gaming visit. It could be the only form of entertainment some people enjoy on a given day, so make it special enough for them to come back. I’m working on a new ad campaign touting the virtues of slot machines over voter machines, and how you have a better chance to win in a casino than on Election Day.
Food & Beverage. People have multiple options-and one of them is staying home. Unique food concepts, refreshed interiors, memorable, personalized service and educational beverage programs can invigorate your offerings. Make sure you’re giving people what they want. If nobody wants sushi, don’t offer it. This is about the customer’s desires, not yours.

Marketing. Reinforce your brand with core customers, and fine-tune your offerings to better focus on their needs. Then introduce your unique form of entertainment to new customers. Pursue them, show them love, spend money on them, and you might be surprised by the results. The Democrats won the election using this theory. We must all broaden our appeal.

Hotel Rooms. With gas prices rising and jobs at risk, traditional extended vacations will be limited for the next few years. This works to our advantage. Casinos within driving distances of major metropolitan areas must create “stay-cation” packages. Don’t limit yourself to the local-market casino; draw from cities far beyond the immediate region by working on your message and offering value-oriented, short-trip packages. Put on your Clintonian thinking cap and reinvent yourself!

Service.
It’s your biggest marketing tool. Times are tough, but your front-line interaction with the customer is all-important. If your employees are depressed, make sure they are not transferring that negativity to the customer. Your customer wants to have fun, so make sure your employees are providing it.  It’s similar to the illusion Congress has created all these years.

The answers to our current crisis aren’t in a book they hand out at fancy schools. We have to go into the street and battle every day. There’s a future out there. We’ve got to work harder and be more creative to find it.

History repeats itself. One day the good times will return.

“Don’t follow leaders, and watch your parking meters.”  –Bob Dylan

Cool in California

Red Hawk Casino
Placerville, California

OWNER: Shingle Springs Band of Miwok Indians
DESIGN ARCHITECT: Cuningham Group Architecture
INTERIOR DESIGNER: Baker Barrios Architects
GENERAL CONTRACTOR: Rudolph & Sletten, Inc.
TOTAL INVESTMENT: $132 million
CASINO FLOOR: 88,000 SQ FEET


The recently opened Red Hawk Casino evokes the rich history of its owner, the Shingle Springs Band of Miwok Indians. The property, which opened its doors in January, tells a visual story, one that was inspired by interviews that design firms Cuningham Group and Baker Barrios Architects conducted with tribal elders.

“Three main cultural references were used,” says Cuningham Group Vice President Thomas Hoskens. “The curved structure in the entry porte cochere and entry roof is representative of the typical round form of the Miwok historic Winter House; the porte cochere waterfall is symbolic of the confluence of the Sacramento and American rivers where the tribe lived for many years; and the native basket-weaving patterns in the shape of a ‘V,’ which symbolizes a basket full of blessings.”

The result is a beautiful, culturally significant property that draws visitors for both its design qualities and its gaming offerings. Red Hawk Casino features an 88,000-square-foot gaming floor. With more than 2,000 slot machines, 75 table games and a high-stakes section, it is the source of all the gaming action in its neck of the woods.

The property also offers plenty of amenities, including a buffet, five restaurants (including a high-end steakhouse), four bars, an arcade and a child care center for traveling parents.

Azores Gem

Hotel Casino Principe do Monaco
Azores

PROJECT OWNER: ASTA-Atlantida
HOTEL ARCHITECT: Arch. Francisco Gomes de Menezes
CASINO ARCHITECT: Atelier Fernando Jorge Correia
TOTAL INVESTMENT: €32 million


The Hotel Casino Principe do Monaco will introduce the first five-star hotel to the Azores lodging mix. A project from a local partnership, ASTA-Atlantida, Principe do Monaco will also be the first casino on any of the islands comprising this Atlantic archipelago.

The Azores’ location—930 miles from Lisbon, Portugal and 2,400 miles from the Chesapeake Bay area of the U.S.—has long made the islands a meeting place for yachtsmen crossing the Atlantic. The hotel is being built on the main island of San Miguel, opposite the harbor at Ponta Delgada.

Accommodations will consist of 94 rooms and five suites, plus one room specifically designed for use by handicapped guests.

Seven meeting rooms of various sizes will be able to host seminars from 25 to 250 attendees, receptions for up to 500 and banquets for 300.

The hotel will have a full spa complete with sauna, Turkish bath, massage center, cardio fitness area, swimming pool with removable roof, Jacuzzi, solarium, a bar and a deck.

The casino is 1,600 square meters and cost €12 million. It holds seven gaming tables and 170 slot machines. Also planned for within the casino is a restaurant and performance room, a bar and a multimedia area.

The developers of the project are anticipating completion in December 2009.

Sweet Spot

SugarHouse Casino
Philadelphia, Pennsylvania

OWNER:  HSP Gaming, Inc.
PRINCIPAL ARCHITECT:
Cope Linder Architects

OTHER DESIGNER: 
Floss Barber Interiors

CONSTRUCTION CONTRACTOR: 
Keating Building Corporation

TOTAL INVESTMENT: 
$550 million


The SugarHouse Casino will be the only slot casino on the waterfront of the Delaware River in Philadelphia. (Philadelphia’s other casino, Foxwoods, was moved downtown.) As such, its design will be built to emphasize that fact, according to Ian Cope, one of the principals of project architect Cope Linder.

According to Cope, the first phase of the project-a 100,000-square-foot building to house 1,700 slots in an interim casino-has been simplified to satisfy the desire of state officials to begin generating revenue quickly, after two years of project delays.

However, he says the initial building will still be a cornerstone of the much larger permanent development, which will accommodate up to 5,000 machines and table games-which most observers expect to be legalized in Pennsylvania sooner or later.

Cope says his team designed the project with “two fronts and a couple of sides, but no back door.” One “front” faces Delaware Avenue and Interstate 95, which will provide egress to the property, but another “front” is the river itself. “Food and beverage embraces the river,” he says. “There will be seasonal concerts on the river’s edge. This will be one of the only improved pieces of land on the waterfront where people will be able to walk, jog, ride bicycles. That’s always been part of our project.”

Cope adds that the “sides” of the project will provide paths from the city to the river. “We will be able to expand on all sides,” he says. “There are elements of the layout we’ve had to plan in a number of expansion phases.”

As far as the style of the casino itself, Cope says it is “contemporary.” “Philadelphia is steeped in history, but we didn’t want this to be historical,” he says. “This is really an industrial area, with no historical aspects to address, so we really have a blank slate.”

What will fill that blank will be a sleek, contemporary casino open to the river that will house slots, restaurants and bars on a single level (modified from a previous two-level design), surrounded by surface parking initially. The larger permanent project will include seven restaurants, an entertainment/lounge venue, a 3,300-space parking garage and, eventually, a hotel in addition to the expanded casino area.

The entire site spans 22 acres. The character of what will go on that acreage reflects the river, with a park-like setting surrounding the facility to allow locals to enjoy the waterfront as they never have.


Dream Time

City of Dreams
Cotai Strip, Macau

OWNER: Melco Crown Entertainment
DESIGN ARCHITECT: Arquitectonica
INTERIOR DESIGNER: Peter Remedios, Gettys
GENERAL CONTRACTORS: Leighton Asia and John Holland, in conjunction with China State Construction Engineering
TOTAL INVESTMENT: $2.4 Billion


One of the last of the first wave of mega-resorts in Macau opened in mid 2009 when Melco Crown’s City of Dreams debuted on the Cotai Strip across from the equally massive Venetian, owned by Las Vegas Sands.

City of Dreams is the brainchild of the talented Lawrence Ho, who envisioned a resort that would appeal to the Asian clientele that flocks to Macau. While there have been massive changes since first visualized, City of Dreams took less than one month to draw 1 million visitors to witness its splendor.

Designed by the U.S.-based architects Arquitectonica, City of Dreams consists of three separate hotels—Crown Towers, Hard Rock and Hyatt—a 175,000-square-foot retail space, the Boulevard; and an iconic entertainment experience, the “Bubble,” which features a 360-degree video show designed by the innovative company Falcon’s Treehouse.

The name of the resort, lightly themed with a water experience to reflect the surrounding bays and tributaries, is an allegory, says Ho.

“There’s a deep meaning behind the name,” he says. “Rather than us trying to force our customers to live our dreams by building a heavily themed property, we’re going to try to fulfill their dreams.”

Starting from the massive 420,000-square-foot casino in the heart of the property and radiating out, the designers used feng shui principles to escort the players with luck from any point.

The casino arrival features a huge video screen that mimics an underwater scene with turtles, whales, sharks and a mermaid. The video is meant to welcome guests to the casino and point the way to the Boulevard, which surrounds the property and serves as a conduit to the various elements. Unlike other Macau resorts where the retail is set apart from the hotel, the guest is forced to travel by the shops and restaurants to get from one point to another.

The Bubble is a 10-minute interactive video presentation for which the audience stands inside the huge dome. “Dragon’s Treasure,” the first of the venue’s presentations (shows will change every six months, according to Ho) has viewers marveling at the water creatures and visual fantasies. The arrival of the dragon is dramatic and even a little scary.

Later this year, a theater will open with a show crafted by the Dragone Group, headed by Franco Dragone, one of the founders of Cirque du Soleil.

But it’s the massive nature of mega-resorts that Ho tried to minimize, as well.

“The original idea for City of Dreams came to me five years ago,” he explains. “At that time, I visited Las Vegas and other international resorts to visit the casinos and the hotels. One of the things I disliked was gigantic, 3,000-room hotels. If you have to wait 45 minutes for a cup of coffee or an hour and a half for a steak, that’s not good service. When you’re talking about the leisure business, it’s really about the total experience. Rather than make the design and construction of these resorts easier, we should really try to accommodate the customer the best that we can.”

Hard Hit

The past year in the gaming industry has been unlike anything any of us have ever seen. I know it has for me. I’ve been in and observing the gaming industry for 30 years and never seen anything like this. Yes, we’ve had our ups and downs, but this economic downturn has been brutal on everyone.

Unfortunately, much of the brunt of this bad economy has been felt by the people who read this magazine: architects, designers, builders, developers, development executives and anyone interested in the world of creating unique spaces where customers enjoy themselves that present opportunities for operators to win their loyalty.

But in most cases, when a bad economy hits, the first target for cost-cutting is the capital budget. And those budget cuts impact new casinos, expansions and renovations. It’s an understandable reaction to a bad economy, but one we don’t like to see.

One of the responses we got from a participant in the “Survival of the Fittest” Q&A on page 34 was very interesting. While suggesting that his company had to reinvent itself during this downturn, he said, “If you always do what you always did, you will always get what you always got.”

I think this applies to all companies, design and operators alike. Particularly in the destination jurisdictions like Las Vegas and Atlantic City, things have changed forever. No longer can these cities believe that gaming is the edge that will make the difference when people decide where to go for business or pleasure.

Today, there are casinos within an hour’s drive of more than half the country. And when you add another hour to the trip, almost everyone has a “locals” casino nearby.

That’s why gaming is a great amenity, but it will no longer be the be-all and end-all for decision makers. Since virtually all business and tourism destinations have some form of gaming close by, everyone must offer something above and beyond gaming to survive and thrive.

Designers need to play a role in this new paradigm, too. We already see operators and designers trying to design “flex” space that can be used for two purposes at different times of the day. That can be accomplished with something as simple as lighting or as complex as movable walls.

Despite the downturn, every casino must put aside money to maintain the public spaces. Some of that money can be dedicated to upgrades, if a design company is willing to work with the casino executives.

Creative methods to finance capital expenditures can also help. Many builders and designers have longstanding relationships with lenders. Yes, times are tough and credit is tight, but leveraging those relationships can help everyone involved when everyone is hurting.

Another participant told us that his company was not reinventing itself, just focusing on what they do best and doing it better.

I think this is an important point. Diversity is a great thing when times are good. It’s nice to be able to do many things and assist your clients by narrowing the scope of contractors. But every company has a core competency. Focusing on what your company does best, and maybe bringing in another company that does something else better than you, not only helps your client but also keeps the entire industry healthy.

No, I’m not saying we should all join hands and sing “Kumbaya” and we’ll get through this thing together. I’m just saying that sometimes it helps everyone when we all work together.

It’s called collaboration, and it is often a misunderstood element of any casino design project. In all construction projects, you have contractors and subcontractors. It’s a normal element of that process.

Casino design, at least for the smaller projects, has become something of a solitary pursuit, and rightly so. With the bargain-hunting that operators are pursuing these days, it’s often difficult to share work on a project given the narrow profit margins. But operators are becoming increasingly savvy, and understand that bringing in more than one design team-even for a small project-can pay dividends in the long run.

Yes, times are tough and likely to get tougher in the short term. But quality always wins out. As Paul Heretakis says in his design column on page 18, change is overrated but improvement is the gold standard. Let’s all strive for that. I know we have in this, our seventh annual edition of Casino Design magazine. Thanks for your support!

Water World

The Rivers Casino
Pittsburgh, Pennsylvania

OWNER: Holdings Acquisition Co., L.P.
PRINCIPAL ARCHITECT: Bergman Walls & Associates, Ltd.
OTHER DESIGNER: Floss Barber Interiors
CONSTRUCTION CONTRACTORS: Keating Building Corporation & Smoot Construction
TOTAL INVESTMENT: $300 million


Slated to open in August, the sole slot casino in Pittsburgh will be a reflection of the beauty that is the cityscape near the confluence of the Monongahela, Allegheny and Ohio rivers.

According to Scott Walls, a principal of project architect Bergman Walls & Associates, the firm “started with a fresh piece of paper” when approaching the exterior design, because of how proud the locals are of their city and its existing architecture. “We needed to create a beautiful piece of architecture that would be another icon to the city,” Walls says.

The way to do that was to make the project blend into its surroundings. “We took the contour of the rivers, the fluid lines of the water, and incorporated it into the concept of the building,” says Walls. “You’ll see the curves in the facade along the river, which has a flowing motion to its shape, as well as subtle lighting that will move across the facade to simulate the flowing waters.”

The river-friendly design carries on inside the 100,000-square-foot casino, which will house 3,000 slots and five restaurants, plus two bars that have been tailored especially for Pittsburgh, and for native Pittsburghers. For the sports-happy locals, the Wheelhouse sports bar will feature food, TV and an outdoor terrace that overlooks the river and Heinz Field, the stadium of the world-champion Pittsburgh Steelers.

Walls says his team added the sports bar only after contemplating the casino’s local audience. “We’ve got a sports town here, and we needed to create something for them,” he says. “We know the Wheelhouse is going to be a huge party element on game days, and every weekend.”

Another distinctive spot is the Drum Bar, a two-and-a-half-story bar overlooking the river that is basically a glass drum with a bar at the bottom. Legendary signage vendor Yesco was brought in to build a chandelier light column that grows out of the center of the bar to simulate falling water. “It’s a fascinating piece of sculpture,” says Walls, “which can be seen from the river.”

In the end, the Rivers Casino will blend perfectly in with the Pittsburgh skyline on the outside, and will reflect the beauty of the three rivers on the inside.

Reserve Space

The Reserve at Bally’s
Atlantic City

OWNER: Harrah’s Entertainment
ARCHITECT: Westar Architects
GENERAL CONTRACTOR: Weatherby Construction
TOTAL INVESTMENT: $1.7 million


With striking views of the Atlantic Ocean, it’s no surprise that The Reserve, the newest restaurant at Bally’s Atlantic City, takes its color cues from the surf.

Throughout the contemporary space, designers emphasized deep electric blues and shimmering aquamarines against a sand-beige backdrop, then introduced a counterpoint of warm woods and copper tiles. The restaurant’s suede-covered walls are imbedded with a slight twinkle accent suggesting subtle movement.

Private booths line one wall at the new restaurant; wine and seafood displays flank the entryway to tantalize incoming diners. An open kitchen area “speaks to the fresh preparation of the food and the attention to detail that makes The Reserve one of the most sought-after seats in town,” says Paul Heretakis, vice president of Westar Architects, which transformed the former steakhouse into a luxe dining establishment serving equal measures of steak and seafood.

The $1.7 million renovation was part of an overall restaurant renaissance at Bally’s. It included a new bar that can serve as a pre-function space for private parties and after-conference happy hours, and can also host breakfast and lunch crowds. The Reserve has become a popular meeting place for diners and conventioneers alike. 

At 4,500 square feet, The Reserve occupies the same space that once housed Prime Place, a day-one eatery that closed after 28 years in February 2008. The renovation closed the restaurant for 12 weeks; it reopened as The Reserve last summer.

In addition to its ocean view, The Reserve overlooks formal gardens with fountains that front the historic Dennis Hotel, also owned by Harrah’s Entertainment, located on the Atlantic City Boardwalk.

Of course, the window seats are the most coveted in the house.

Live! And Kicking

Indiana Live! Casino
Shelbyville, Indiana

OWNER: Indiana Downs LLC
DEVELOPER: The Cordish Company
ARCHITECT, DESIGN AND PROJECT: Klai Juba Architects, Las Vegas; Browning Day Mullins Dierdorf Architects, Indianapolis; Cleo Design, Las Vegas; and Westar Architectural Group, Las Vegas
TOTAL INVESTMENT: $200 million


Indiana Live! Casino, central Indiana’s premier entertainment destination, opened its 233,000-square-foot facility March 13, offering 2,000 slots.

Owned by Indianapolis Downs, LLC, the new $200 million resort was developed by Power Plant Entertainment Casino Resorts Indiana, LLC, an affiliate of the Cordish Company of Baltimore.

At Indiana Live!, guests will find both a complete selection of the newest slots and a wide selection of electronic table games including blackjack, roulette and three-card poker. There also is an expansive state-of-the art poker room.

Complementing the slots and live poker are six dining and entertainment venues under one roof, with elegant and casual dining, a nightclub, live entertainment and more.

Located 20 minutes from downtown Indianapolis on Interstate 74 in Shelbyville, Indiana Live! Casino is adjacent to Indiana Downs racetrack, a 200-acre venue that conducts live racing and simulcasting for standardbreds, thoroughbreds and quarter horses throughout the year.

But it’s the non-gaming amenities that set Indiana Live! apart from its competitors. The Maker’s Mark-themed steakhouse caters to the VIPs, while the NASCAR Sports Grill is designed for the mid-level dining experience and provides a perfect atmosphere for watching sports.

The Live! Market, the property’s buffet, combines entertainment with dining as guests pick and choose from various fares in a Mediterranean setting, creating a truly unique experience.

Towering Inspiration

Marina Bay Sands
Singapore

OWNER: Marina Bay Sands Pte Ltd
CONCEPT DESIGN ARCHITECT: Moshe Safdie AssociateS
LOCAL ARCHITECT: Aedas Pte Ltd
STRUCTURAL ENGINEER: Arup Pte Ltd
TOTAL INVESTMENT: $5.4 billion


The design of Marina Bay Sands is dramatic and daring. Three independent towers curve gracefully skyward, linked at their summits by a wooded wing 55 stories in the air. An atrium connects the towers at their bases, its roof rising from 10 stories at one end to 23 stories at the other. Designed by visionary architect Moshe Safdie, Marina Bay Sands is out to wow leisure and business travelers from around the world.

The three towers will house 2,600 luxury rooms and suites and provide access to the complex’s restaurants, bars, entertainment lounges and 1,000-table casino.

The Expo & Convention Centre spread before the towers totals more than 120,000 square meters—1.3 million square feet. The space can accommodate 2,000 exhibition booths, 250 meeting rooms and over 45,000 delegates. A grand ballroom of more than 8,000 square meters can seat 6,600 for a banquet, 7,000 for a stage performance or 11,000 for a lecture.

Retail and dining will occupy a total of 75,000 square meters. A mix of cutting-edge, emerging labels and international luxury brands will be joined by entertainment options that include boat rides along the mall canal and indoor ice skating.

The ArtScience Museum, with a lotus-inspired design and rooftop seating for viewing events on the bay, will present exhibits from around the world.

Two state-of-the-art theaters with a total of 4,000 seats will showcase Broadway musicals, Bollywood extravaganzas, live concerts and gala events. An outdoor Event Plaza along the promenade will hold 10,000 people.

But the signature feature of Marina Bay Sands is the Sands SkyPark. Spanning the tops of all three towers with a length of 340 meters, it is longer than the Eiffel Tower is tall. With an area of 12,400 square meters and holding three swimming pools, restaurants, bars and landscaped gardens, the Sands SkyPark can host 3,900 people at the same time.

The casino and one hotel tower are expected to open by early 2010.

Modern Marvel

M Resort
Henderson, Nevada

ARCHITECT/DESIGNER: Marnell Corrao Associates
CASINO FLOOR: 92,000 sq feet
ROOMS AND SUITES: 390 ROOMS
MEETING SPACE: 60,000 sq feet
TOTAL INVESTMENT: $1 billion


M Resort opened in March in what originally looked to be a prime location in Henderson, just south of Las Vegas. A nearby real estate development was poised to provide a built-in customer base of thousands, but that development fizzled out. It didn’t phase resort developer Anthony Marnell III, however. He knew his property would be able to compete regardless of the problems with the nearby development-and any other economic problem phasing the valley.

First, his property took advantage of its unique location. M Resort is 10 miles south of the Strip and sits a couple hundred feet higher, offering a commanding view of the valley. That view is a major component of the a majority of the 390 hotel rooms, including the suites, which offer 270-degree views of the Strip and the surrounding mountains. Even the porte cochere is designed to offer a view through the building and out toward the Strip. The 92,000-square-foot casino floor itself is extremely modern in design and offerings, and features 64 table games and 1,800 machines. The 23,000-square-foot sports book, with its offering of wireless wagering, is a particularly strong draw.

The F&B outlets were another area of intense focus. From Veloce Cibo on the roof to the half TV studio/half buffet in the center of the property, everything is built to impress.

The design of the $1 billion resort is a progressive style of architecture combining rich colors with subtle lines that are designed to create a sense of direction and purpose. There are also elements of earth, fire, water and light that help blur the boundaries between indoor and outdoor spaces.

As exciting as the design is, Marnell’s approach to running the casino is what will really set this property apart. He is focusing on customer service more than anything else, something he thinks other operators have lost sight of. The approach seems to be working well, and a month after opening, the property announced it would not lay off workers, but was actually hiring more.

Perhaps the single most impressive thing about the property is that it was built both on time and on budget, something of a rarity these days.

Jewel of the South

Wind Creek Hotel & Casino
Atmore, Alabama

OWNER: Poarch Band of Creek Indians
DESIGN ARCHITECT: Hnedak Bobo Group
INTERIOR DESIGNER: Cagley & Tanner
ARCHITECTS OF RECORD: Brown Chambless Architects
TOTAL INVESTMENT: $245 million
HOTEL: 236 ROOMS
CASINO FLOOR:  57,000 SQ FEET


Poarch Creek Indian Gaming opened Wind Creek Casino & Hotel in January, adding to its family of Alabama properties that already includes Riverside Casino and Tallapoosa Casino.

The $245 million resort in Atmore is designed around the Poarch Band of Creek Indians’ cultural and environmental heritage. A nature theme ties together the décor, which was designed by Las Vegas-based Cagley & Tanner.

“Our design work at Wind Creek Casino & Hotel has changed the paradigm for regional gaming design and feels every bit as energetic and engaging as the best resorts in Las Vegas, without in any way losing its local focus,” said Lee Cagley, a principal of Cagley & Tanner. “The result is a casino and hotel environment that is unique to the location and provides an authentic and friendly guest experience.”

More than 1,600 electronic bingo machines reside on Wind Creek’s 57,000-square-foot casino floor. Electronic bingo is the only style of gaming allowed by Alabama law. Though Wind Creek may not be able to offer Las Vegas-style gaming, the resort still attracts guests from all over the country. Its close proximity to Florida and the Gulf of Mexico are huge selling points, though Wind Creek’s amenities are huge draws in and of themselves.

In the next few months, PCI Gaming officials plan to unveil Wind Creek’s next phase. Additions will include a 2,000-seat amphitheater, a spa, a lake and a cooking studio headed by Executive Chef Stafford DeCambra.

In addition to the culinary studio, which will unite famous guest chefs with eager learners, Wind Creek also satisfies culinary cravings with its four restaurants, Fire, Grill, Taste and Brew.

Light Source

Lumière Place Casino and Hotels
St. Louis, Missouri

OWNER: Casino One Corp., a subsidiary of Pinnacle Entertainment
ARCHITECT OF RECORD: Hellmuth, Obata + Kassabaum
DESIGN ARCHITECT: Marnell Architecture
GENERAL CONTRACTOR: McCarthy Contractors
COST: $507 million

With its dramatic contemporary exterior, Lumière Place Casino and Hotels in St. Louis, a resort owned by Pinnacle Entertainment, was designed to reflect the geometry of its monumental neighbor, the iconic Gateway Arch, where east meets west in the continental United States.

Featuring a 289-foot “illuminated lightbox” rising out of the city skyline, the $507 million resort includes a floating casino with more than 70,000 square feet of gaming space flanked by an elegant VIP lounge. The gaming area is adjoined by a 19-story Four Seasons hotel with 200 five-star guest rooms, as well as a second hotel, the HoteLumière (formerly the Embassy Suites).

As its name suggests, Lumière Place emphasizes the interplay of light, shadow and color in every corner of its design. After dark, the Four Seasons hotel tower lights up in an arc reminiscent of the 630-foot Arch, creating a shimmering new landmark along the banks of the Mississippi River. Inside the casino, the high-limit area includes a waterfall of crystal and light.

Inspired by the sleek modernism of Frank Lloyd Wright, the resort gains warmth from the use of natural materials and a warm color palette that effectively bridge the gap between historic and contemporary.

Lumière Place was built on 7.3 acres in downtown St. Louis, literally in the shadow of the 630-foot Arch. Construction began in September 2005; the resort opened in phases, starting in December 2007.
The single-level gaming floor includes 2,000 slot machines and more than 40 table games along with a 12-table poker room.

Dining facilities include a high-end restaurant and quality buffet; the resort also includes retail shops, 22,000 square feet of convention space, a swimming pool with a view of the commanding Gateway Arch, and a pedestrian connection to St. Louis’ Central Business District, the Edward Jones Dome and America’s Centre. 

Asian Appeal

While most casino executives would like to think we have moved beyond the “build it and they will come” mentality, it still exists in many jurisdictions. New markets starved for gaming usually use refurbished buildings not originally meant for casinos, or erect temporary facilities that soon get replaced by more permanent-and more attractive-buildings.

The level of detail and destiny are most often controlled by outside forces: tax rates, infrastructure realities, customer acceptance and more. But the fact is, gaming can provide much more than simply taxes, jobs and entertainment. It can truly transform a community.

In Asia, gaming is on a roll-maybe the last and biggest roll it will ever experience.

Macau is the prime example of what gaming can do for a region. While gambling has been legal in Macau for generations, it only recently has been able to truly impact the former Portuguese enclave the way it has in other jurisdictions. By opening up Macau to international development-rather than the former monopoly status afforded to SJM for many years-the Chinese government has given the community a second bite at the apple. And the region has grasped it firmly.

A tremendous building boom has resulted in many spectacular properties in the last several years. The Sands Macau was the first departure from the norm, with a truly different and dramatic design that has created huge loyalty among its customers. Wynn Resorts downsized its Las Vegas facility with special Asian touches and spectacular results. SJM, the former monopoly holder, created a fantasy with the Grand Lisboa that speaks to its customers like no other casino.

Crown Macau is a business-like facility that has proven its worth in the gaming wars. The Venetian is more than simply a bigger version of the Las Vegas property of the same name-it has truly raised the bar. MGM Grand Macau presents an elegance that can’t be appreciated at first glance.

And under-construction and planned developments like the City of Dreams, Studio City and the rest of the Las Vegas Sands’ Cotai Strip developments-the Four Seasons, Shangri-la, St. Regis, Sheraton and more-will truly make Macau “Asia’s Las Vegas” (with apologies to Sheldon Adelson, who trademarked the phrase).

And we still haven’t discussed the massive developments in Singapore. The Sands Marina Bay project by LV Sands (is it just me, or are they everywhere!?) will present a business and meeting climate like no other integrated resort in the world. And the Genting Group’s Resorts World on Sentosa Island is a sprawling mixed-use development for the entire family and includes a Universal Studio theme park.

The Philippines’ Pagcor City in Manila Bay will include four integrated resorts, including the world’s largest shopping mall. South Korea continues to grow its gaming industry incrementally. And if gaming is legalized in Taiwan, Thailand and Japan, as expected, the Asian agenda in casino design will be deep and long lasting.

So pay attention! Starting with our excellent cover story on the role of feng shui in Asian and other developments, this issue provides information on the latest trends, the most interesting techniques and cutting-edge projects that have emerged over the last year.

It was a year of changes and challenges in the gaming industry when it comes to new developments and future projects. 

In this issue, learn why financing these projects is more difficult, and how to get around some of the hurdles. Decide whether your next restaurant should feature a celebrity chef. Design your retail space to suit your market. Learn about bringing the “natural” environment indoors, and how to “build green.” Understand why a small casino can often have the same attraction and appeal of one of the gaming giants. And finally, hear from a collection of architects, builders, designers and others on the challenges and opportunities coming up in the next year.

This is our sixth annual edition of Casino Design. We would like to thank our sponsors and our readers for making this magazine the “bible” of the design and construction field in the gaming industry. We could not do this without your great faith and support in our effort. It’s a labor of love for all involved.