Penn National Gaming
offered $50 million for the Fontainebleau Las Vegas casino-resort.
The development is currently under bankruptcy, and Penn's offer would serve as the opening bid at a bankruptcy auction.
Developers filed for bankruptcy on the project, which was about 70% complete, in June. Fontainebleau was originally projected to cost $3 billion.
Penn said it also offered another $51.5 million to resume construction and would get some back if the federal bankruptcy court in Miami approves a competing bid.
The auction is expected to be held in January.
-- Reported by Jeanine Poggi in New York
Follow TheStreet.com on
and become a fan on
Copyright 2009 TheStreet.com Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.