The Newmark Grubb Knight Frank Global Gaming Group's 2013 Las Vegas Strip
Forecast & Investment Guide Now Available
LAS VEGAS, Nov. 15, 2012
LAS VEGAS, Nov. 15, 2012 /PRNewswire/ -- Positive momentum in U.S. household
net worth and improved pricing power with convention business will boost the
Las Vegas Strip's outlook, according to the 2013 Las Vegas Strip Forecast &
Investment Guide produced by Newmark Grubb Knight Frank's Global Gaming Group.
This fourth annual report, which explores current and long-term trends on the
Strip and what the competitive landscape is expected to look like in 2013, was
released today during a luncheon for casino and resort executives and members
of the local business community.
(Logo: http://photos.prnewswire.com/prnh/20121115/NY14588LOGO )
The forecast projects total revenue on the Las Vegas Strip to increase between
1.5% and 5.3% in 2013, taking into account various economic and operational
"Improvements in U.S household net worth, an important leading indicator for
Strip revenue performance, should provide baseline support for 2013," said
Brent Pirosch, director of Gaming Consulting for NGKF's Global Gaming Group
and co-author of the report. Mr. Pirosch noted, however, that "softness in the
U.S. housing market, a fragile recovery and ongoing economic uncertainty in
the U.S. and abroad will keep 2013 revenue growth on the Las Vegas Strip at
Key highlights of the report include:
oGaming revenue excluding Baccarat is expected to increase 1.9% to 4.9% in
2013 for properties on the Las Vegas Strip.
oAs a result of stronger pricing dynamics, hotel rates and non-gaming
revenue are expected to grow at a faster rate than gaming at between 2.3%
oPrimarily due to slowing wealth metrics in China, the Baccarat market is
projected to experience between a 5% decline and 5% growth in 2013.
oChanging demographic and competitive dynamics has put gaming volume per
available room at historic lows.
Se Oei, director of Gaming Research and Analysis for NGKF's Global Gaming
Group and co-author of the report noted that, "Development strategy on the
Strip continues to focus on renovating and invigorating existing spaces.
Development trends are clearly focused on maintaining or increasing market
share of customer spend through non-gaming outlets over a full 24-hour cycle."
To obtain a copy of the report or speak with a Newmark Knight Frank Global
Gaming Group expert, please contact Mira Matic at firstname.lastname@example.org.
About Newmark Grubb Knight Frank
A part of BGC Partners, Inc. (NASDAQ:BGCP), Newmark Grubb Knight Frank is one
of the largest commercial real estate service firms in the U.S. It brings
together the strategic consultative approach to creating value for clients and
leading position in the New York market that are hallmarks of Newmark Knight
Frank; the complementary strengths of Grubb & Ellis in leasing and management,
investment sales, valuation and capital markets services; and BGC's financial
strength, proprietary technology, expertise in global capital markets and deep
relationships with many of the world's leading financial institutions.
Newmark Grubb Knight Frank, together with its affiliates and London-based
partner Knight Frank, employs more than 11,000 professionals, operating from
more than 300 offices in established and emerging property markets on five
continents. This major force in real estate is meeting the local and global
needs of tenants, owners, investors and developers worldwide.
SOURCE Newmark Grubb Knight Frank
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