Maryland Live Prepares For New Challenge From MGM’s New Casino

Maryland Live Prepares For New Challenge From MGM’s New Casino June 28, 2016 June 28, 2016 Paul Butcher
 General June 28, 2016 by Paul Butcher

Maryland Live Casino BaltimoreMaryland’s largest casino, Maryland Live is preparing to face some stiff competition from the upcoming MGM National Harbor casino being built in the nearby Prince George’s County.

The casino is scheduled for a 2019 opening and will pose the biggest threat to Maryland Live.

Maryland Live which is located in Anne Arundel County offers around 4,000 slot machines and over 200 gambling tables in addition to dining and entertainment amenities. It generated gross gambling revenue of around $100 million last month according to latest records.

In a bid to retain its customers which currently numbers around 10 million on an annual basis, the casino is building a range of new facilities. Cordish Company, the parent company of Maryland Live is investing $200 million to construct a 17-story hotel and conference centre along with a day spa, dining facilities and a concert theatre.

CBS Baltimore

In a statement, Rob Norton, president of Maryland Live casino said,

In business, if you don’t adjust, you wither away. Our brand loves competition. Competition makes everybody better, so we look forward to MGM coming. We think that we will have to operate even better than we have before.

He added that he fully anticipates that Maryland Live customers will go and try the new MGM casino when it opens but expects them to come back to Maryland Live due to its exceptional service.

Experts are undecided on the impact of MGM’s new casino on Maryland Live. A fairly large share of the casino’s current customer base is from Maryland suburbs, the Washington, D.C., area and Northern Virginia. Some analysts believe that this market segment may find the new MGM casino more convenient.

According to a study carried out on behalf of the state gaming commission by Cummings Associates, a consulting company in December 2013, Maryland Live is expected to lose around 16 percent of its revenue in 2019. James Karmel, a casino analyst and professor at Harford Community College has however cautioned saying that it is hard to quantify how many customers may prefer to go to MGM’s new facility.

MGM has been projecting its complex as entertainment hub rather than just a casino. The company has invested $1.3 billion to develop a casino resort situated on the banks of the Potomac River. The casino will offer luxury suites at a 24-storied hotel, a day spa, 3000-seater concert hall, and restaurants with celebrity chefs among other attractions. Projected revenues for MGM National Harbor are in the range of $713 million and $719 million in the fiscal 2019.

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