Although MGM Mirage was able to make a payment to continue construction of the CityCenter, they needed to raise more capital. The Wall Street Journal is reporting that the company is considering selling the MGM Grand Detroit in Michigan and the Biloxi Beau Rivage in Mississippi, and that the properties could fetch up to $2 billion combined.
But MGM Mirage said that it was all “based on a rumor, and that the company ‘continues to work with lenders to improve our financial situation.
The Journal also reported that Australian billionaire James Packer, who owns several casinos in Australia, is considering buying a stake in the CityCenter. His company, Crown, postponed a $1.75 billion acquisition of Cannery Casino Resorts. Had the deal gone through, he would have owned three Nevada casinos and a racetrack in Pennsylvania.
Because of tight credit markets, Crown scrapped a plan in March 2008 to build a $5 billion hotel-casino on the Las Vegas strip.
