LAS VEGAS and NEW YORK, Feb. 14,
2020 /PRNewswire/ -- MGM Resorts International ("MGM
Resorts") (NYSE: MGM), MGM Growth Properties LLC ("MGP") (NYSE:
MGP) and Blackstone Real Estate Income Trust ("BREIT") today
announced the closing of the previously announced transaction for a
joint venture formed between MGP and BREIT to acquire the
Las Vegas real estate assets of
the MGM Grand and Mandalay Bay for $4.6
billion. In addition, BREIT has purchased approximately 4.9
million MGP Class A shares at a price of $30.67 per share.
In connection with the completion of the transaction, MGM
Resorts has entered into a long-term triple net master lease for
both properties, and will continue to manage, operate and be
responsible for all aspects of the properties on a day-to-day
basis, with the joint venture owning the properties and receiving
rent payments. MGM has also provided a full corporate guarantee of
rent payments.
The transaction was announced on January
14, 2020.
About MGM Resorts International
MGM Resorts
International (NYSE: MGM) is an S&P 500® global entertainment
company with national and international locations featuring
best-in-class hotels and casinos, state-of-the-art meetings and
conference spaces, incredible live and theatrical entertainment
experiences, and an extensive array of restaurant, nightlife and
retail offerings. MGM Resorts creates immersive, iconic experiences
through its suite of Las
Vegas-inspired brands. The MGM Resorts portfolio encompasses
29 unique hotel and destination gaming offerings including some of
the most recognizable resort brands in the industry. Expanding
throughout the U.S. and around the world, the company recently
acquired the operations of Empire City Casino in New York and Hard Rock Rocksino in
Ohio, which was rebranded as MGM
Northfield Park. In 2018, MGM Resorts opened MGM Springfield in
Massachusetts, MGM COTAI in
Macau, and the first
Bellagio-branded hotel in Shanghai. The over 80,000 global employees of
MGM Resorts are proud of their company for being recognized as one
of FORTUNE® Magazine's World's Most Admired Companies®. For more
information visit us at www.mgmresorts.com.
About MGM Growth Properties LLC
MGM Growth Properties
LLC (NYSE:MGP) is one of the leading publicly traded real estate
investment trusts engaged in the acquisition, ownership and leasing
of large-scale destination entertainment and leisure resorts, whose
diverse amenities include casino gaming, hotel, convention, dining,
entertainment and retail offerings. MGP currently owns a portfolio
of properties, consisting of 11 premier destination resorts in
Las Vegas and elsewhere across
the United States, MGM Northfield
Park in Northfield, OH, Empire
Resort Casino in Yonkers, NY, as
well as a retail and entertainment district, The Park in
Las Vegas. As of December 31, 2018, our destination resorts, the
Park, and MGM Northfield Park collectively comprise approximately
27,400 hotel rooms, 2.7 million convention square footage, 150
retail outlets, 300 food and beverage outlets and 20 entertainment
venues. As a growth-oriented public real estate entity, MGP expects
its relationship with MGM Resorts and other entertainment providers
to attractively position MGP for the acquisition of additional
properties across the entertainment, hospitality and leisure
industries. For more information about MGP, visit the Company's
website at http://www.mgmgrowthproperties.com.
About Blackstone Real Estate Income Trust
Blackstone
Real Estate Income Trust, Inc. ("BREIT") is a perpetual-life,
institutional quality real estate investment platform that brings
private real estate to income focused investors. BREIT
invests in stabilized, income-generating U.S. commercial real
estate across the key property types and to a lesser extent in real
estate-related securities. BREIT is externally managed by a
subsidiary of Blackstone (NYSE:
BX), a global leader in real estate investing. Blackstone's real estate business was founded
in 1991 and has approximately $163
billion in investor capital under management. Further
information is available at www.breit.com.
Forward-Looking Statements
Certain information
contained in this press release constitutes "forward-looking
statements" within the meaning of the federal securities laws and
the Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by the use of
forward-looking terminology or the negatives thereof. These may
include BREIT's, MGM Resorts' or MGP's financial projections and
estimates and their underlying assumptions, statements about plans,
objectives and expectations with respect to future operations, and
statements regarding future performance. Such forward-looking
statements are inherently uncertain and there are or may be
important factors that could cause actual outcomes or results to
differ materially from those indicated in such statements. BREIT,
MGM Resorts and MGP believe such factors include the continuation
of operations at the joint venture under the new arrangement.
BREIT, MGM Resorts and MGP believe these factors also include but
are not limited to those described under the section entitled "Risk
Factors" in their respective prospectuses and annual reports for
the most recent fiscal year, and any such updated factors included
in their periodic filings with the Securities and Exchange
Commission (the "SEC"), which are accessible on the SEC's website
at www.sec.gov. These factors should not be construed as exhaustive
and should be read in conjunction with the other cautionary
statements that are included in this press release (or BREIT's, MGM
Resorts' or MGP's prospectuses and other filings). Except as
otherwise required by federal securities laws, none of BREIT, MGM
Resorts or MGP undertakes an obligation to publicly update or
revise any forward-looking statements, whether as a result of new
information, future developments or otherwise.
Contacts
MGM Resorts
Investment
Community
Aaron Fischer,
Chief Strategy Officer
(702) 693-7152 or afischer@mgmresorts.com
Media
Brian Ahern,
Director of Media Relations
media@mgmresorts.com
MGM Growth Properties
Investment
Community
Andy H. Chien,
Chief Financial Officer
(702) 669-1470
Media
(702) 669-1480 or media@mgpreit.com
Blackstone
Jennifer Friedman
Jennifer.Friedman@blackstone.com
(212) 583-5122
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SOURCE MGM Resorts International; MGM Growth Properties LLC