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New Jersey's Revel Casino asks court to let sale go through | Reuters

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New Jersey's Revel Casino asks court to let sale go through | Reuters

Tue Feb 3, 2015 6:56pm EST

Feb 3 (Reuters) - New Jersey's shuttered Revel Casino on Tuesday asked a federal judge to lift a stay on its pending sale to a Florida investor, arguing in a filing that creditors will be harmed if the deal does not go through soon.

IDEA Boardwalk LLC, which operated a bar and a nightclub at Revel - one of four Atlantic City casinos that closed down last year - has sued to block the sale, saying it will lose $16 million in investments under the deal.

On Friday, 3rd U.S. Circuit Court of Appeals Judge Thomas Ambro ordered the sale delayed while he studies legal challenges.

Revel Casino said in the Tuesday filing that the deal must close by Feb. 9 or it could collapse. That would be "catastrophic," the filing said, because it would destroy $100 million of creditor value, based on the sale price plus additional costs to liquidate assets.

Revel, which cost $2.4 billion to build and opened just two years ago, closed on Sept. 2 after filing for bankruptcy three months earlier. The bankruptcy court later approved a sale to Florida developer Glenn Straub for $95.4 million.

IDEA Boardwalk, along with several restaurants that had also leased space inside the casino, in January lost a federal court challenge to the sale. The nightclub then appealed.

Revel was conceived as a Las Vegas-style resort that emphasized high-end dining and eye-catching design.

The nightclub and restaurants were a popular aspect of the otherwise unsuccessful casino, and they were often full as the gaming floor and hotel rooms stood empty. (Reporting by Fiona Ortiz in Chicago; Editing by Eric Beech)

Read more http://news.google.com/news/url?sa=t&fd=R&ct2=us&usg=AFQjCNG25Z4L8IMFNNbI202I9wsHb2Esrg&clid=c3a7d30bb8a4878e06b80cf16b898331&cid=52778730158990&ei=FFDSVLi9HYrUgQeqj4CYCw&url=http://www.reuters.com/article/2015/02/03/usa-new-jersey-revel-idUSL6N0VD5BU20150203

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