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Detroit casino revenue halves in November amid latest Covid-19 closures

News

Revenue from the three commercial casinos in Detroit, Michigan more than halved in November following a temporary order closure issued by Governor Gretchen Whitmer in relation to the novel coronavirus (Covid-19) pandemic.

Total revenue for the month – from table games, slots and sports wagering – amounted to $50.4m, 50.3% from $101.4m generated by the properties in October.

However, last month’s performance was severely impacted by new closure orders placed on the casinos, as the three facilities were forced to shut on 15 November and are not due to reopen until later this month.

Table games and slots revenue for the period in which the casinos were open in November amounted to $48.1m, down 61.3% on the same month last year and also 48.7% lower than in October 2020.

MGM Grand Detroit led the Detroit market in terms of table games and slots, with revenue here reaching $20.5m. MotorCity Casino ranked second with $17.5m in revenue, then Greektown on $10.1m.

The three casinos paid $3.9m in gaming taxes to the State of Michigan during the month, as well as a further $5.7m in wagering taxes and development agreement payments to the City of Detroit.

In terms of sports betting, qualified adjusted gross receipts for – gross receipts minus the monetary value of free-play incentives provided to and wagered by players – reached $2.3m, down 69.7% from $7.6m in October.

MotorCity claimed top spot in this area of the market with $1.1m in adjusted gross receipts, ahead of Greektown on $645,310 and the MGM with $561,372.

Players wagered a total of $25.1m on sports across the three casino properties in November, while the venues paid $88,363 in state taxes and $107,999 in retail sports betting taxes to the City of Detroit.

Elsewhere, fantasy contest operators reported total adjusted revenues of $2.2m for the month – down 26.7% from October – paying $183,236 in taxes in the process.

For the year to date, through to the end of November, table games and slots revenue stood at $598.1m

Sports betting, which was went live in March but was suspended until August 5 due to Covid-19, has so far generated $16.4m in qualified adjusted gross receipts during the opening period of regulation.