Despite losing its license, the Tropicana Hotela and Casino continues to operate, and suitors looking to buy the property have started lining up.
Any assumptions that Columbia-Sussex and William Yung losing the license fight Thursday was a statement that the Tropicana and Atlantic City are in decline seem to have been negated by immediate response from the market.
Several bidders have already appeared, and more will certainly show as the hotel and casino complex moves toward a sale date.
The Cordish Company has said it is interested in the Tropicana, looking to add to its holdings in The Walk, a $110 million area of retail shops, entertainment, and restaurants built by the company to connect the Atlantic City Convention Center and Atlantic City casinos.
Other names include Pinnnacle Entertainment, which is already building a $1.5 billion casino in the area; Dennis Gomes, who was CEO of the Tropicana under previous owner Aztar Corporation; and Penn National Gaming.
The quickness of the response to the potential sale shows a surety that business is still good in Atlantic City, and that the problems of the Tropicana were not inherent but due to mismanagement.
Meanwhile, Linda Kassekert, the acting head of the New Jersey Casino Control Commission, assured workers they would get paid; and Tropicana President Mark Giannantonio, who will continue day-to-day operations until the sale, foresaw a smooth transition, declared the hotel “open, vibrant, and ready for business.”
Although Columbia-Sussex is expected to appeal the refusal of license, the appeal is seen as a long shot, and the company may be forced into bankruptcy as its loans may now be due at an accelerated rate without the Tropicana to back them.