The former owner of the Revel casino in Atlantic City, New Jersey, which aimed to complete its bankruptcy in a few months, won approval of its bankruptcy plan after more than a year of court fights and failed sales.
“It’s a Kumbaya hearing today,” Revel AC Inc. attorney Michael Viscount told a judge at a hearing Monday in Trenton, New Jersey.
U.S. Bankruptcy Judge Michael Kaplan approved Revel’s bankruptcy liquidation plan and settlements reached last week that resolved the last remaining creditor opposition.
“The Revel needs to be buried -- I do not intend to leave a carcass out there to be gnawed at and picked at,” and putting it to rest will allow Atlantic City to begin healing, Kaplan said. “This is the best outcome I can conceive,” he said.
Revel reached a deal last week with its main antagonist, ACR Energy Partners LLC, which supplied energy to the casino, giving it a claim of $3.3 million.
ACR had claimed it was owed more than $20 million for utility service and sought to have the bankruptcy converted to a Chapter 7 liquidation, which would strip the company of control over its case.
After opening at a cost of $2.4 billion in 2012, Revel sought bankruptcy protection last June for the second time in as many years. It closed in September after failing to draw interest for a quick sale. The casino was one of four in Atlantic City to fold last year as competition from surrounding states lured away customers.
Brookfield Property Partners LP eventually won the first auction for the company in October for $110 million but backed out of the deal after it was unable to come to terms with ACR.
Ultimately, Polo North Country Club Inc., owned by Florida real estate developer Glenn Straub, bought the property for $82 million in April, after multiple previous deals with Straub fell through.
The bankruptcy is In re Revel AC Inc., 14-bk-22654, U.S. Bankruptcy Court, District of New Jersey (Trenton).