MGM Grand, Mandalay Bay Sold to Investment Group for $4.6 Billion

MGM Resorts continues to sell off property, this time putting the MGM Grand and Mandalay Bay on the market. Private-equity and real estate company Blackstone Group and MGM Growth Properties LLC announced plans to purchase the two resorts and casinos for around $4.6 billion, according to ABC News. MGM Growth Properties will own 50.1 percent of the joint venture while Blackstone takes the other 49.9 percent. Both properties will be run by MGM Resorts for an initial rent of $292 million. The sale brings cash proceeds of about $2.4 billion.

Last October, MGM Resorts sold the real estate of the Bellagio to a joint venture with Blackstone for about $4.25 billion. Last month, MGM Resort said it closed on the sale of Circus Circus and 37 neighboring acres for $825 million to Treasure Island’s Phil Ruffin.

MGM Resorts plans to close the deal by the end of March.

MGM Grand features restaurants such as Hakkasan, two from Joel Robuchon, Emeril’s New Orleans Fish House, Tom Colicchio’s Craftsteak, Morimoto, and newcomers Ambra Italian Kitchen + Bar and the just opened International Smoke from Michael Mina and Ayesha Curry. Mandalay Bay’s restaurants include Border Grill from Mary Sue Milliken and Susan Feniger, Aureole from Charlie Palmer, Libertine Social from Shawn McClain, Fleur by Hubert Keller, Kumi from Akira Back, and Wolfgang Puck’s Lupo.

• MGM Resorts selling MGM Grand, Mandalay Bay for about $2.5B [ABC News]

• Cosmopolitan Owner Buys the Bellagio in a Leaseback Deal [ELV]

• The Rio and Circus Circus Sold in Two Blockbuster Deals [ELV]

• AM Intel [ELV]