Casino companies are enjoying a heady boom in Las Vegas. Visits and convention attendance continue to increase, and the local economy is growing briskly, driven in part by an influx of new residents.
The Las Vegas Convention and Visitors Authority said visitor volume increased 5.2% to 37.4 million last year. Convention attendance grew 1.2% to 5.7 million.
The number of rooms in the city grew by 1,021, or 0.8%, last year, according to the LVCVA. Wynn's grand opening will obviously bring a much greater increase this year.
But observers said with the casino business doing well, Las Vegas has a long way to go before it overbuilds."You see these great occupancy rates of 90-plus percent," said Matt Quinn, senior lodging and gaming analyst at Zack's Investment Research. "As long as rates are outstanding, there's a compelling reason why they should be building more capacity." (Zack's neither does nor seeks to do business with companies it covers, and Quinn owns no shares of companies he covers.)