The struggling Lucky Dragon Hotel and Casino officially closed a few weeks ago, but it’ll soon be back on the market.
The property, located near Sahara Avenue and Las Vegas Boulevard, is up for auction which will take place at the end of the month.
Commercial real estate expert Kevin Buckley says it’s not surprising the hotel shut down after its casino and restaurants closed earlier this year.
“It’s got a great name — the Lucky Dragon,” said Buckley. “From what I understand, they were losing about $200,000 a month. So if you lose six months, that’s $1.2 million.”
The Lucky Dragon opened to much fanfare in December 2016 when it was meant to be the go-to place for an authentic Asian experience in Las Vegas.
“They thought if they had a property that was dedicated only to Chinese investors, which is why the signs inside were Chinese first and English second, they thought that they would get a percentage of that market, but they didn’t. They never did,” according to Buckley.
The Lucky Dragon was open for less than two years, so now the question at hand is with such a troubled past who would be interested in buying it?
“Never underestimate Stations Casinos,” Buckley said. “They’re up the street, they’re well capitalized; the Stratosphere, he’s right around the corner with the Stratosphere.”
Buckley says the Lucky Dragon struggled to draw big crowds because Asian tourists were already staying at properties like the Wynn and Aria.
“The competition for that market is so significant,” Buckley said.
So with the property up for auction at the end of this month… who could buy it?
When Toen Tran was asked what they’d like to see from a new hotel, the tourist visiting from California said, “it’s the welcoming service. It’s the attitude, the characteristic of the place that makes a big difference.”
“Maybe a low range price, that facilitates to food, also,” said Gaitee Beuchou, visiting from Quebec.
Buckley says whatever’s on the horizon will be a major change from the original, Asian-inspired concept.
“They’ll have to start from scratch,” Buckley said. “The theme didn’t work.”
Experts say they expect whatever company buys the Lucky Dragon to drop food prices and drop room rates, to attract potential customers.
The auction is set for Oct. 30.
WEB EXTRA: The history of the Lucky Dragon