LAS VEGAS (KTNV) — MGM Resorts International and Hard Rock International have reached an agreement regarding rights to operate The Mirage, the companies announced on Monday.
Hard Rock will acquire operations of the hotel casino for $1.075 billion cash, according to MGM, and will enter into a separate long-term lease agreement for the real estate property with VICI Properties, Inc.
MGM will retain The Mirage name and brand but license it to Hard Rock royalty-free for three years "while it finalizes its plans to rebrand the property," the company stated. MGM expects to profit $815 million from the deal.
The acquisition is part of Hard Rock International's long-term plans to "build an iconic Guitar-shaped Hotel which will be located on the famous Las Vegas Strip," the company stated.
HRI chairman Jim Allen said the company is "honored to welcome the Mirage's 3,500 team members to the Hard Rock family."
"When complete, Hard Rock Las Vegas will be a fully integrated resort welcoming meetings, groups, tourists and casino guests from around the world to its nearly 80 acre center-Strip location," Allen added.
The Mirage opened in 1989 and has been operated by MGM Resorts since 2000.
"This transaction is a significant milestone for MGM Resorts, and for Las Vegas," Bill Hornbuckle, CEO & president of MGM Resorts International, stated in the prepared release. "As part of the team that opened The Mirage in 1989, I know firsthand how special it is, and what a great opportunity it presents to the Hard Rock team. I want to thank all of our Mirage employees who have consistently delivered world-class gaming and entertainment experiences to our guests for more than three decades."
The transaction is expected to be complete in the latter half of 2022.
Hard Rock International had no previous involvement with the Hard Rock Hotel & Casino in Las Vegas, HRI stated in its press release announcing the transaction. The company purchased rights for Hard Rock Hotel & Casino in Las Vegas in May of 2020 and "vowed to bring the iconic brand to the Las Vegas Strip when the right opportunity presented itself."
