In terms of development, expansion, and relevance, Las Vegas has significantly surpassed Reno since Nevada legalized casino gaming in 1931. The growth of tribal casinos in neighbouring northern California has increased competition for the gaming business in the Biggest Little City in recent years.
Projects worth more than $1 billion are becoming more and more prevalent in California and Las Vegas, but until recently, Reno had never seen such a level of investment.
After billionaire Alex Meruelo saved Grand Sierra Resort (GSR) from bankruptcy in 2011, it started a multi-phase development project that included a new hotel tower, a sports and entertainment arena, and other amenities. At least $1 billion would be needed to complete the project, making it the first in Reno’s history to surpass the 10-digit mark.
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A crucial concern in the development of gaming in both Nevada and California is whether sports and entertainment can spur casino and local economic growth in the same way that they have for ten years in Las Vegas.
In terms of revenue, Reno lags considerably behind California and Las Vegas.
Now that construction is under way, GSR hopes the arena will emerge as a new mainstay for an area that mostly faces competition from tribal casinos in northern California, though it also faces some competition from Las Vegas. When California tribes were awarded exclusivity for Class III gaming in the state in 2000, it was arguably the largest recent turning point for the Reno gaming industry.
Since then, the gaming sector in the Biggest Little City has failed to expand, while northern California has grown into a significant market. According to the Nevada Gaming Control Board, Reno reported gross gaming revenue of $754 million in fiscal year 2024, down from $834 million in fiscal year 2000.
Despite being statewide, California tribal casinos reported GGR of $12.1 billion in FY24, according to the most recent figures from the National Indian Gaming Commission. Of the eight geographical areas the commission monitored, that number was unquestionably the highest. Reno’s second main rival, the Las Vegas region (Strip, downtown, and locals), had a combined GGR of over $12 billion in FY24.
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