Stockton University is going to have to find another place to expand in Atlantic City.
According to the Press of Atlantic City, negotiations between the school and the shuttered Atlantic Club Casino Hotel have irreparably broken down.
Stockton had been moving forward with a deal to purchase the defunct casino hotel since early August. However, the sale ran into a roadblock after TJM Properties, the Atlantic Club’s current owner, balked at concessions the university wanted.
Specifically, Stockton wanted the demolition of the hotel tower to come as part of the sale. Since beginning its due diligence, the college had maintained that the tower would come down once Stockton owned the property.
However, presumably due to the great expense of demolishing a building that size, TJM chose to stand pat on its final offer. Terence McCarthy, President of TJM, told the Press:
“Stockton University negotiated a very good deal to purchase the property, but the university needed far more time then we were willing to provide to them without any assurances.”
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Had the deal gone through, Stockton would have become the Atlantic Club property’s third owner in five years. Unfortunately, the former casino has been a frequent subject of sale discussions in recent times.
TJM purchased the shuttered casino hotel in 2014 from Caesars. Caesars, in turn, had only picked up the property a few months earlier.
The last company to accept bets at the Atlantic Club was Hilton. The casino shut its doors as a New Jersey gaming facility in January 2014.
That particular year was perhaps the worst in Atlantic City casino history. Four of its casinos shut their doors for good.
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However, Atlantic City has been slowly regaining its footing. In fact, this past summer was likely the best on record, with Atlantic City casino revenue hitting just under $750 million in June, July, and August combined.
So, it’s something of an oddity that Atlantic Club remains dark and unused. Two of the other 2014 closures have already reopened under new names and identities (Hard Rock Atlantic City and Ocean Resort Casino).
However, as we reported back in July, Atlantic City may not have the ability to sustain an unlimited number of casino properties. The introduction of gambling into the town was a bit of a legislative lark back in 1976.
So, it’s unlikely that we’ll see another casino pop up at the old Atlantic Club. And for now, with Stockton out of the picture, Atlantic Club will remain shuttered and unused.