The Atlantic City casino industry is about to suffer another huge blow with another casino ready to cash out. According to the Press of Atlantic City, the Trump Plaza casino may be closing its doors for good in mid-September.
State Senator Jim Whelan, D-Atlantic, first reported on the rumor on Friday and called the closing a “disaster.” He stated, “This is going to impact all sectors of the economy, from big stores to real estate values and on and on.”
Over 1000 casino employees will be notified of the pending closure next week and the total number of jobs lost could exceed 7,000 according to Local 54 President Bob McDevitt. That figure would equate to one in four casino workers in the city losing their jobs.
The announcement couldn’t come at a worse time for the Atlantic City casino market. The Atlantic Club shut down in January and was purchased by Caesars Entertainment and the Tropicana. Showboat will shut down in August, effectively shutting down a quarter of the city’s casino industry. Worse still, should Revel not find a buyer in bankruptcy court, they may also be forced to shut down.
The casino shutdowns affect all areas of business in Atlantic City. Tom Woodruff, Jitney Association President, said that the business is down 40 percent in the last two years. This forced the company to expand service outside the city in order to keep the company in business. Woodruff claims that the company is in “panic mode” due to the closures.
Trump Plaza’s shutdown is also bad news for Betfair as they are the casino’s online gaming partner. The site is currently in last place in terms of online poker revenue but has earned nearly $3.2 million in online revenue in 2014. It is unknown at this time what will happen with Betfair once Trump Plaza shuts down.
Trump Entertainment Resorts told the Associated Press earlier today that a final decision has not been reached on the closure but the closure may happen on September 16.