Las Vegas NowAging Tropicana Could Get $1.2 Billion Overhaul

Casino operator Aztar Corp. spelled out detailed plans for a $1.2 billion casino resort to replace its aging Tropicana resort on the Las Vegas Strip but said costs may impede its decision to go ahead.

The Phoenix-based company said it had almost finished plans for a 2,725-room resort on the northern half of its 34-acre site on a corner of Las Vegas Boulevard and Tropicana Avenue, across from the MGM Grand hotel-casino.

"We are eager to proceed with the project and we are working hard to make it happen," Aztar chief executive Bob Haddock said in a Wednesday conference call. "But ultimately, the determinant in that decision will be the final outcome of construction price negotiations."

Construction would take 30 months and the projected cost is higher than the company estimated several years ago, he said.

The design would be "superior to the mid-market properties which exist today" and include a 100,000-square-foot casino, a 4-acre rooftop pool and recreation deck and 200,000 square feet of dining, entertainment and retail space, he said.

Haddock said a decision would come "in the not-too-distant future."

Meanwhile, the company reported fourth quarter net profit leapt to $11.2 million, or 29 cents per share, from $2.3 million, or 5 cents a share, a year earlier.

Revenue rose 18.7 percent to $222.8 million from $187.7 million.

Aztar shares were down $2.29 or 7.2 percent to $29.76 in Thursday trading on the New York Stock Exchange.

(Copyright 2006 by The Associated Press. All Rights Reserved.)