Venetian Resort renovations are set to be funded by VICI Properties Inc., who are willing to provide up to $700Million. The popular Las Vegas hotel and casino is set to receive extensive upgrades in the latter part of 2024.
The investment will be provided via VICI’s Partner Property Growth Fund strategy, the Venetian Capital Investment. They are set to fund several projects.
These include hotel room product renovations, gaming floor optimization and entertainment and convention center enhancements.
Enhancing the property value and overall guest experience is the main idea behind the upgrades and renovations. The $700m will be allocated in three segments.
At the time of publication, it has been proposed that $100m will be given in Q2 2024, $150m in Q3 2024 and $150m in Q4 2024. The remaining $300m is under no obligation to be used, but the resort draw in whole or in part until November 1, 2026.
Venetian Resort Renovation
John Payne, President and COO of VICI Properties, said: “We are thrilled to continue to grow our partnership with The Venetian Resort by funding impactful expansion projects through our Partner Property Growth Fund.
“Since we acquired this marquee Las Vegas asset alongside funds managed by Apollo Global Management, Inc. in 2022, The Venetian Resort operating team has driven impressive performance at the property, and we are excited to be a partner in their innovative efforts to maximize the economic productivity of this iconic asset,” he added.
CFO of VICI, David Kieske, said: “We continue to believe that our Partner Property Growth Fund strategy can provide us with attractive capital deployment opportunities given the scale and quality of our real estate assets, and the operating dynamism that exists within each of our properties.
“Our capital is well-suited to serve our operating partners who are energetically and creatively looking for ways to continuously enhance the profitability and operations of our assets.”
The investment is expected to be funded with a combination of cash and the partial settlement of outstanding forward equity sale agreements.