MGM Resorts to sell MGM Grand and Mandalay Bay resorts and casinos for about $2.5 billion
MGM Resorts International is selling the MGM Grand and Mandalay Bay resorts and casinos on the Las Vegas Strip to a joint venture for about $2.5 billion.
The joint venture includes private-equity and real estate company Blackstone Group and MGM Growth Properties LLC. The joint venture will be owned 50.1% by MGM Growth Properties and 49.9% by Blackstone. It will also acquire the real estate assets of Mandalay Bay from MGM Growth Properties and lease both properties to MGM Resorts for an initial rent of $292 million.
The total value of the two transactions is $4.6 billion. MGM Resorts anticipates cash proceeds of approximately $2.4 billion.
MGM Resorts announced in October that it was selling the real estate of Bellagio to a joint venture with Blackstone for about $4.25 billion. Last month MGM Resorts said it closed on the sale of Circus Circus Las Vegas and 37 adjacent acres for $825 million.
The deal, announced Tuesday, is targeted to close in the first quarter.
The Mandalay Bay was the site of a 2017 shooting that left 58 people dead. It is the deadliest mass shooting in modern U.S. history.
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