Defunct Casino Princesa sold
Casino Princesa, which operated from Miamis Bayfront Park for nearly seven years, was sold last month to a Georgia company after the offshore gaming operation closed.
Casino Princesa has quietly departed Miamis Bayfront Park for good, the latest casualty in South Floridas ailing offshore gaming industry.
Casino Princesa is the third gaming vessel to cease operations this year, following the demise of Port Everglades St. Tropez Casino Cruises in May and SunCruz Casinos Hollywood-based boat in April.
A Brunswick, Ga., company bought the 600-passenger Casino Princesa last month and plans to operate it off the Georgia coast beginning next month.
Its been rough sailing for South Floridas cruise-to-nowhere businesses. The industry was hurt by last years hyperactive hurricane season, and has suffered higher fuel costs and competition from the Seminole Hard Rock Hotel & Casino in Hollywood.
DIFFICULT BUSINESS
Casino Princesa was fairing well, but not extraordinarily well, said Jacques Teze, a former official involved in Casino Princesas operation. ``It is a business that is difficult, even in Miami.
Casino Princesas traffic fell 11 percent to 161,972 passengers in the fiscal year ending Sept. 30, 2004. It began sailing from Bayfront Park in 1998.
The cruise lines abrupt exit put more than 150 people out of work. A group of 82 former employees has sued in Miami federal court to collect wages they claim they are owed. The total could exceed $1 million, according to their lawyer, Melanie Damian of Miami.
Casino Princesas former owner, Concorde Cruises of South Dakota, remains on the hook for another two years on an agreement to dock the vessel at Bayfront Park. Its searching for another gambling-boat operator to assume the obligation. Bayfront Park Management Trust has collected more than $600,000 a year in fees from Casino Princesa.
Casino Princesa was operated by New York merchant bank Vanquish Acquisition Partners and Casinos Austria International of Vienna. When they decided not to exercise an option to buy the vessel, Concorde sold Casino Princesa to Golden Isles Cruise Lines in Georgia for an undisclosed price.
Vanquish and Casinos Austrias other South Florida offshore gaming operation, Atlantic Casino, flopped.
After they defaulted on a lease at the Miami Beach Marina, marina owner Robert Christoph said he foreclosed on the vessels mortgage and bought the 650-passenger boat at a courthouse auction earlier this year. Christoph, who claimed more than $3.6 million in damages in a lawsuit, plans to sell the vessel.
Vanquish and Casinos Austria officials didnt respond to calls. They only operated Atlantic Casino for a few weeks, Teze said.
`POOR INVESTMENT
The ship was in very poor condition, Teze said. ``It was a poor investment.
Other day-cruise operators are trying to avoid financial hardship. Discovery Cruise Line last week obtained a 50 percent reduction in the minimum amount it must pay to operate out of Port Everglades. SeaEscape Entertainment is seeking a similar deal at the port.
Meanwhile, Dania Beachs SunCruz is attempting to launch a gaming operation at the port. Its scheduled to make a presentation to county staff and commissioners on Tuesday.
2005-08-12
