The owners of ACH, formerly the Atlantic City Hilton, have reached a deal to keep the casino from going into foreclosure and agreed to put $15 million into the property in order to keep it afloat.
Last Thursday, the New Jersey Division of Gaming Enforcement confirmed that the deal will allow lenders to foreclose on two casinos in Mississippi that are owned by the Los Angeles hedge fund Colony Capital, ACH’s parent company. The lenders will assume ownership of both Resorts Tunica and Bally’s Tunica and will wipe out the mortgage debt for ACH.
“This agreement culminates a long period of uncertainty for ACH employees and the City of Atlantic City,” said acting director of the New Jersey Division of Gaming Enforcement, David Rebuck. “We are pleased with the efforts of all the parties in reaching this agreement aimed at allowing the casino to sustain its high level of operations while maintaining the hundreds of jobs of persons employed by ACH.”
The owners of the ACH are asking the state Casino Control Commission to declare that the casino now has the financial integrity, stability and resources to keep operating through the next year. The request will be heard at the commission’s meeting on November 16 .
The casino is also seeking the refund of some state-mandated payments to the Casino Reinvestment Development Authority, but there was no specified amount given.