Friday, October 23, 2009

KC-KS' Casino Planned Revenue Doesn't Add Up



S
ome casino consultant says a new Kansas casino located at the Kansas Speedway will bring in almost a third of a billion dollars annually- according to this story from the KANSAS CITY (KS)KANSAN.


Also- according to the KANSAN piece- KC-MO has acquired 2 more Missouri casinos- Argosy and Harrah's- located in Riverside and NORTH KC-MO respectively.

KC-MO's TWO casinos remain as the Ameristar (not even listed in The KANSAN story) and the Isle of Capri.

First of all- we have historically found that 'consultant's estimates' of damn-near ANYTHING a consultant estimates is way- way 'pie-in-the-sky' too high.

Secondly- these 'estimates' apparently take into account the American economy recovers- which isn't going to happen anytime soon (2 years or more).

Thirdly- people- especially gamblers- are creatures of habit. Sure- Missouri gamblers will probably check-out a new Kansas casino- but whether those gamblers RETURN on a regular basis is another huge question.

Developers are notorious for pushing what they see as positive aspects of a development while the after-facts don't in any way shape or form resemble the original rosy outlook.

These days- the American taxpayer is increasingly on-the-hook when the rosy forecasts don't pan out.

Watch your wallets Wyandotte County!!!

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