Tuesday, October 19, 2010

Harrah's will finish Octavius Tower - Build Project LINQ

Harrah's will be issuing an IPO that could raise up to $575 million. The cash will then be used to finish the mothballed Octavius Tower at Caesars Palace and to build the LINQ retail and entertainment area between Flamingo and O'Sheas.

Both of these projects are long overdue and it's nice to see that they will be completed. Octavius Tower was scheduled to open in the summer of 2009 before it was put on hold in January of that year. Project LINQ was first envisioned in 2006. Since then there have been a few different ideas for the properties between Harrah's and Bill's. With the economy crashing, the more extravagant plans were scratched and LINQ was brought back to life.

Along with the two Vegas projects, Harrah's will also use some of the IPO money to invest in and run some Ohio casinos with Dan Gilbert.

Source: Bloomberg.

UPDATE: August 3, 2011.
Although the IPO fell though, Caesars Entertainment (formerly Harrah's Entertainment) was able to secure financing and Project Linq will be built. Clark County has approved the project and new renderings have been revealed. See them here.