Detroit Revenue Sees 42% Drop In Reopening First Month

Detroit’s three casinos posted monthly gross revenue of $69.3 m in August, after the properties reopened after a four-and-a-half month closure due to COVID-19’s rapid expansion.

The net revenue of the casinos for slots and table games has decreased by 42 percent compared to the results of August 2019, and has dropped by 62 percent compared to last year.

In 2019, revenue dropped 46 percent to $28.6 m at MGM Grand Detroit Casino, 37.5 percent to $25 m at MotorCity Casino, and 41.5 percent to $15.7 m at Greektown Casino Hotel compared to the results at the comparable month. Market shares were 41 percent, 36 percent and 23 percent respectively during the month.

This comes after Michigan Governor Gretchen Whitmer has given the properties the green light to reopen from Wednesday 5 August in accordance with strict guidelines on health and safety.

MotorCity Casino and Greektown Casino subsequently reopened on the first day required, while MGM Grand resumed operation two days later on August 7.

The three Detroit casinos have paid the state of Michigan $5.6 m in taxes during August, compared to $9.7 m for the same month last year.

The trio also posted $1.97 m in eligible gross adjusted receipts, led by $932,601 from the MGM Grand Detroit Casino, ahead of $551,176 from the Greektown Casino Hotel, and $493,275 from the MotorCity Casino.

For the month of August, the state collected $74,733 in retail sports betting taxes from the Detroit casinos, with facilities sending $91,340 in retail sports betting taxes to Detroit.

On a year-to-date basis, net eligible adjusted gross receipts for retail sports betting are $1,017,297 from MGM, $498,224 from MotorCity and $567,080 from Greektown.

Operators of fantasy contests posted overall adjusted July sales of $881,204 and charged Wolverine State taxes of $74,021.