As Evidence Mounts Straub No Longer Owns Revel, He Insists He Still Does

Posted By Eric Ramsey on December 14, 2017 - Last Updated on April 8, 2020

[toc]Revel owner Glenn Straub continues to deny the rumored sale of his property in Atlantic City. But Colorado businessman Bruce Deifik keeps taking steps to indicate he’s buying it.

Associated Press reports that Deifik’s group, AC Ocean Walk LLC, applied for a New Jersey casino license in October. The Division of Gaming Enforcement disclosed the information on Tuesday.

Deifik moves forward

The rumors of the sale arose from a court hearing about the license of Revel/TEN. During the hearing, there was a disclosure regarding a mortgage obtained by proposed buyers.

On August 31, an agreement of sale was filed with the clerk’s office. On October 31, a notice of real estate settlement was filed, as well. The terms of the sale were not detailed, but AC Ocean Walk LLC was listed as the purchaser in the most recent document.

Last week, Moody’s Investors Service published a report on the company’s plans. The report detailed a $200 million sale price, with another $175 million used to prepare the property for a May 2018 reopening. The Service assigned the group a B3 credit rating with a stable outlook.

Now, most recently, the DGE confirmed that the group has applied for its NJ casino license. The application process requires a $100,000 non-refundable fee, so it’s another serious step forward for the rumored buyers.

AC Ocean Walk LLC was originally registered in New Jersey on Aug. 1, listing Revel’s address as its primary place of business.

Straub continues to deny

So far, Deifik’s group is keeping quiet about the rumors. Straub is not keeping quiet, but rather, vehemently denying all suggestions of a sale.

“Categorically, there is no deal,” he told AP. “If someone has a check, I do sell assets. We’re not stopping anybody from bringing a check in. If you want to buy it, come in and we’ll check you out. But nobody has.”

It appears, at least from the paper trail, that someone has come in with a check. Even amid amid mounting evidence, though, Straub is standing his ground.

“I can file anything — it doesn’t mean it’s true,” he said of the real estate documents. “I can file that I’m the king of Arabia at the clerk’s office,” he told The Inquirer.

It’s not the first time the property’s sale has been rumored, and it’s not the first time Straub has denied them, either.

Quick history of Revel

Revel is technically named TEN. Nobody really calls it TEN, though, as it’s never done business under that name.

The $2.4 billion Revel Casino Hotel Atlantic City opened its doors in April 2012. It had the potential to be a glorious gambling palace, with 150,000 square feet of casino space, more than 1,300 guest rooms, and a full range of ultra-modern amenities.

The construction period was marred by financial troubles, though, and those issues carried over beyond the ribbon cutting.

The property lost more than $70 million in its first two quarters of business. Its owners filed for Chapter 11 bankruptcy less than a year after it opened. The proceedings allowed for the restructuring of more than $1.5 billion in debt, but it wasn’t enough to keep the business afloat.

In 2014, it filed for Chapter 11 again, this time warning that a closure was imminent without help. No help came, and Revel locked its doors in September of that year.

In 2015, Straub bought the property out of bankruptcy court for just $82 million. He renamed the resort TEN and made aggressive plans to reopen throughout 2016 and 2017. Those plans have yet to come to fruition.

Straub remains locked up in a licensing battle in the courts, the source of the first evidence in these sales rumors.

Photo by GillianVann / Shutterstock.com

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Eric Ramsey

Eric is a reporter and writer covering the NJ gambling industry, online poker, sports betting regulation, and DFS. He comes from a poker background, formerly on staff at PokerNews and the World Poker Tour.

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