Caesars Entertainment plans to invest $90 million to upgrade the Flamingo Las Vegas hotel as part of a wide-ranging refurbishment of its Las Vegas properties.
Caesars will begin revamping 1,270 rooms at the Flamingo in late August with the first rooms completed by November. All rooms will be completed in the second quarter of 2018, the company said in a statement for release Thursday.
The Las Vegas-based hospitality company is investing hundreds of millions of dollars to upgrade its key assets as its main operating unit, Caesars Entertainment Operating Co., exits bankruptcy later this year and as Las Vegas tourism industry thrives.
Caesars has upgraded more than 4,800 rooms at four of its Las Vegas resorts, including Caesars Palace, Planet Hollywood, Paris Las Vegas and Harrah’s Las Vegas. The company will finish upgrading 2,000 rooms at Planet Hollywood by summer. By the end of the year, Caesars will have upgraded more than 50 percent of its rooms since 2014.
That will enable Caesars to capture higher room prices. Renovated room can fetch $20-$40 more per night, Wells Fargo said in a note last week after meeting Caesars management in Las Vegas.
The Strip’s average daily room rate increased 9 percent in the first quarter to $152.30 compared with the prior-year period as the city’s convention business remained strong at the start of the year. Las Vegas visitation increased 1.5 percent last year to a record 42.9 million. The city expects to surpass that record this year.
Caesars competitors are also pouring money into upgrading their Las Vegas rooms. Station Casinos parent company Red Rock Resorts Inc. will revamp the Palms.
The Flamingo’s renovated rooms will feature contemporary and retro-chic designs with elements that recall the Flamingo’s 71-year history, such as “vibrant hues of gold and bright pops of flamingo pink,” the company said in its statement. The rooms are being redesigned by Forrest Perkins.
“The renovated rooms pay homage to the property’s past, while also giving it a fresh and modern new look,” said Bob Morse, president of Hospitality for Caesars Entertainment, in the statement.