MGM Growth Properties interested in MGM Grand
MGM Growth Properties is interested in working with an unaffiliated third party to acquire the real estate of MGM Grand.
US.- According to a filing with the Securities and Exchange Commission, MGM Resorts International is in talks with the investment trust MGM Growth Properties to sell MGM Grand and Mandalay Bay.
MGM Growth would work with MGM Resorts International and an unaffiliated third party. They would create a joint venture to acquire the real estate assets of MGM Grand and Mandalay bay, Las Vegas Review-Journal reported.
If the joint venture is successful, one or more of MGM’s subsidiaries would lease the properties from the joint venture. The group would then assume a portion of MGM Growth’s indebtedness, according to the papers obtained by the news outlet.
Earlier this month, it was reported that MGM Resorts International and MGM Growth were looking for investors to own the two Las Vegas properties.
Back in 2016, MGM Resorts created the real estate investment trust MGM Growth and sold a minority interest to the public.
MGM Grand is likely to be sold at the end of the year, according to the company, and the transaction would be part of its goal to become an asset-light casino operator. Moreover, MGM agreed to sell the Bellagio to Blackstone last month in a US$4.25 billion deal.
