Goldman Sachs’ Whitehall Real Estate Funds has agreed to buy four Nevada casinos from investor Carl Icahn for $1.3bn. FT.com
One of the properties, the Stratosphere Casino Hotel and Tower, is on the Las Vegas Strip and includes 11 acres of undeveloped land.
Robert LaFleur, gaming analyst at Susquehanna Financial Group, said Goldman may want to redevelop the site. 'That property may ultimately have more value down the road as something other than what it is right now,' he said.
American investment banks are taking an increasing interest in casinos. Goldman already owns a stake in the Las Vegas Hilton.
Last year Morgan Stanley paid $74m for a beach-front casino site in Atlantic City, New Jersey. It also has an 17% stake in Trump Entertainment Resorts.
Icahn's vehicle American Real Estate Properties, which sold the casinos, said it would book a $1bn gain on the sale.