Dealmaker: Sands to Sell Las Vegas Properties for $6.25B

Las Vegas Sands Corp. agreed to sell its Las Vegas real property and operations including The Venetian Resort Las Vegas and the Sands Expo and Convention Center for $6.25 billion.

An affiliate of funds managed by Apollo Global Management, New York, will acquire operating assets and liabilities of the Las Vegas business for just over $1 billion in cash and $1.2 billion in seller financing. Real estate investment trust VICI Properties Inc., Las Vegas, will acquire subsidiaries that hold The Venetian’s real estate and real estate-related assets for $4.0 billion in cash.

The Venetian photo courtesy of Scott Webb

Goldman Sachs & Co. LLC served as Las Vegas Sands’ financial advisor. Skadden, Arps, Slate, Meagher & Flom LLP provided legal counsel.

Las Vegas Sands Chairman and Chief Executive Officer Robert Goldstein said the company see opportunities elsewhere. “Asia remains the backbone of this company and our developments in Macao and Singapore are the center of our attention,” he said. “There are also potential development opportunities domestically, where we believe significant capital investment will provide a substantial benefit to those jurisdictions while also producing very strong returns for the company.”

Goldstein formerly served as President and COO of The Venetian and the connected Palazzo Resort. He said additions such as the MSG Sphere, a live performance venue being developed by Madison Square Garden, represent new growth opportunities for the property.

The COVID-19 pandemic hit Las Vegas particularly hard. The city’s unemployment rate exceeded 33 percent in April 2020. That rate fell to just over 10 percent by year-end but remained above the national average.