MGM Sells Mandarin Oriental at City Center

Just as MGM Chairman and CEO James Murren said during last week’s earnings call, the company is dedicated to reducing debt. And the next day, MGM announced it had sold the Mandarin Oriental at the CityCenter development.

MGM Resorts last week announced it had sold the Mandarin Oriental in Las Vegas in the CityCenter project. CityCenter Holdings, LLC, the 50-50 joint venture between MGM Resorts International and Infinity World Development Corp, a subsidiary of Dubai World, will receive $214 million for the luxury hotel. MGM Resorts said it will apply its portion of the proceeds to reducing debt. A buyer was not announced.

CityCenter costs approximately $9.2 billion when it opened in 2009, at the time the most expensive private project ever developed in the United States. Mandarin includes 392 hotel rooms and 227 condos.

The “CityCenter’ moniker has largely been dropped to focus on the Aria Casino Resort. The project also includes the Vdara Condominium hotel with 1,495 suites and the Veer Towers with 669 condos. The former Harman Tower was demolished in 2016 after it was determined that construction problems made it uninhabitable.