MGM Growth Properties
From Wikipedia, the free encyclopedia
 | |
| Founded | October 23, 2015 |
|---|---|
| Defunct | April 29, 2022 |
| Fate | Acquired by Vici Properties |
| Headquarters | , United States |
| Revenue |  $881 million (2019) |
| $275 million (2019) | |
| Total assets | $11.9 billion (2019) |
| Total equity | $6.9 billion (2019) |
| Footnotes / references [1] | |
MGM Growth Properties, LLC (MGP) was a real estate investment trust (REIT) based in Summerlin South, Nevada, that invested in large-scale casino properties. The company had whole or majority ownership of 15 properties, all operated by MGM Resorts International, from which the REIT was spun out in 2015.[2] Vici Properties leases the properties to MGM Resorts via triple-net leases,[1] since the REIT was acquired by Vici — a 2017 REIT spin-off from Caesars Entertainment Corporation[3] — in April 2022, for $17.2 billion.
The company was formed on October 23, 2015.[1]
On April 25, 2016, the company became a public company via an initial public offering and acquired The Mirage, Mandalay Bay, Luxor Las Vegas, New York-New York Hotel and Casino, Monte Carlo Resort and Casino, Excalibur Hotel and Casino, The Park, Gold Strike Tunica, MGM Grand Detroit, and Beau Rivage from MGM Resorts International.[4][2]
On August 1, 2016, the company acquired the real estate assets related to the Borgata Hotel Casino and Spa from MGM.[5]
In September 2017, the company acquired MGM National Harbor for $1.2 billion.[6][7][8]
In July 2018, MGP bought Northfield Park, a racino in Ohio, for $1.02 billion. Hard Rock International remained as the property's manager.[9] In January 2019, the company bought another racino, Yonkers Raceway & Empire City Casino, for $625 million, and leased it to MGM Resorts.[10][11] In April 2019, MGM Resorts bought Northfield's operating business from MGM Growth for $275 million in stock, assumed control from Hard Rock, and rebranded the property as MGM Northfield Park.[12][13] MGM Resorts leased the property from MGM Growth for initial rent of $60 million per year.[14]
In February 2020, MGP formed a joint venture with the Blackstone Real Estate Income Trust to own the real estate of Mandalay Bay and MGM Grand Las Vegas. The joint venture paid $2.1 billion to MGP for Mandalay Bay, and $2.4 billion to MGM Resorts for the MGM Grand. MGP took 50.1 percent ownership of the joint venture.[15][16][17]
In May 2021, MGP agreed to buy the real estate of MGM Springfield from MGM Resorts for $400 million. The property would be leased back to MGM Resorts for initial rent of $30 million per year.[18]
In August 2021, MGP agreed to be acquired by Vici Properties for $17.2 billion (consisting of $4.4 billion of cash, $5.7 billion of assumed debt, and the remainder in stock).[19][20] The sale was completed on April 29, 2022.[21]