Wynn fielding calls on adjacent land

Maddox on arena, other proposal: ‘We’re not in a rush’

THE CEO OF WYNN RESORTS said on Tuesday that his company has been approached by firms looking to partner on an arena or boutique entertainment ventures on land the company has purchased across the street from the Encore Boston Harbor casino.

Matt Maddox said just before the opening of the casino in June that he was looking to build an entertainment district next to the Everett casino, but he didn’t indicate he had received any actual proposals.

On a call with financial analysts following the company’s second-quarter earnings report, Maddox said Wynn has not developed a formal proposal yet for the land. “We’re not in a rush, but we really think that we’ll add to the area and the revenues of Encore Boston Harbor over the long term,” Maddox said.

The company had previously reported to state regulators that it took in $16.8 million in gaming revenues during its first eight days of operations. In the earnings report, the company said it received another $2 million over that eight-day period in non-gaming revenue from its hotel, restaurant, spa, and leasing operations. The company reported a fairly modest $100,000 in earnings before interest, tax, depreciation, and amortization.

Maddox said the Everett casino property has done well so far on table games (they accounted for 45 percent of gambling revenues during the first eight days) but is still ramping up its slots and hotel business. He said the slots business could take a year to fully establish as the company builds a database of customers and learns what type of promotions work best on them. He said he wanted to avoid a promotions war with the casino’s competitors, “who are quite nervous about Encore Boston Harbor.”

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Bruce Mohl is the editor of CommonWealth magazine. Bruce came to CommonWealth from the Boston Globe, where he spent nearly 30 years in a wide variety of positions covering business and politics. He covered the Massachusetts State House and served as the Globe’s State House bureau chief in the late 1980s. He also reported for the Globe’s Spotlight Team, winning a Loeb award in 1992 for coverage of conflicts of interest in the state’s pension system. He served as the Globe’s political editor in 1994 and went on to cover consumer issues for the newspaper. At CommonWealth, Bruce helped launch the magazine’s website and has written about a wide range of issues with a special focus on politics, tax policy, energy, and gambling. Bruce is a graduate of Ohio Wesleyan University and the Fletcher School of Law and Diplomacy at Tufts University. He lives in Dorchester.

About Bruce Mohl

Bruce Mohl is the editor of CommonWealth magazine. Bruce came to CommonWealth from the Boston Globe, where he spent nearly 30 years in a wide variety of positions covering business and politics. He covered the Massachusetts State House and served as the Globe’s State House bureau chief in the late 1980s. He also reported for the Globe’s Spotlight Team, winning a Loeb award in 1992 for coverage of conflicts of interest in the state’s pension system. He served as the Globe’s political editor in 1994 and went on to cover consumer issues for the newspaper. At CommonWealth, Bruce helped launch the magazine’s website and has written about a wide range of issues with a special focus on politics, tax policy, energy, and gambling. Bruce is a graduate of Ohio Wesleyan University and the Fletcher School of Law and Diplomacy at Tufts University. He lives in Dorchester.

The Wynn CEO said he doesn’t plan for Encore Boston Harbor to begin targeting the company’s regular VIP customers for another 90 days – until service levels at the Everett resort reach “Wynn standards.”

On an earnings call that was dominated with talk of the company’s operations in China and Las Vegas, Maddox sounded an optimistic tone about the firm’s relatively small $2.6 billion Boston venture. “We’re going to ramp Encore Boston Harbor to be the top grossing casino in the northeast,” he said.