Published on: October 29, 2024, 05:36h.

Last updated on: October 29, 2024, 05:36h.

Caesars Entertainment (NASDAQ: CZR) has announced the sale of the LINQ Promenade on the Las Vegas Strip for $275 million as part of their debt reduction strategy.

A joint partnership between TPG Real Estate and Acadia Realty Trust is acquiring the collection of retail and boutiques near the LINQ Hotel operated by Caesars. The casino resort itself is not part of the deal, which is expected to close in the current quarter.

The sale of the LINQ Promenade is a strategic move to accelerate our debt reduction goals. CEO Tom Reeg expressed gratitude to the team members and tenants at the LINQ Promenade for their support and wished them continued success,” said Caesars CEO Tom Reeg in a statement.

Tenants at LINQ Promenade include O’Sheas Pub Las Vegas, I Love Sugar, Virgil’s Real BBQ, and the Tilted Kilt Pub, among others.

Caesars LINQ Sale Strategy

Recent reports suggested that Caesars could sell LINQ Promenade as part of its financial strategies, making the announcement not surprising, especially considering its status as a non-gaming asset.

In addition to the LINQ Promenade sale, Caesars finalized the sale of the World Series of Poker (WSOP) intellectual property rights to NSUS Group Inc. for $500 million in August.

“Caesars retains certain rights from NSUS, including hosting WSOP live tournaments in Las Vegas for the next 20 years and operating the WSOP Online poker business in select states,” said a Caesars statement.

Impact of LINQ Sale on Debt

The proceeds from the WSOP and LINQ Promenade sales will significantly contribute to Caesars’ debt reduction efforts. Despite increasing liabilities, Caesars remains focused on managing and reducing its debt.

With a sizable cash reserve and ongoing initiatives, Caesars is well-positioned to achieve its financial goals in the coming years.