July 2022 Snapshots

 

LIGHT Snapshots

 
July 2022
 

In LIGHT of the data.

July 2022 showed indications of a strong summer season fueled by a return to normal operations and consumer behavior.  At $299 million, July 2022 brick and mortar gaming revenues for Atlantic City’s nine casinos exceeded July 2021 by 8%. Unlike last summer, Atlantic City casinos in 2022 are operating without official public health restrictions, which were still in place at the start of summer 2021. There also isn’t the “COVID-19 drag” of persisting public health concerns that kept some visitors from returning to pre-pandemic behaviors even after an end to the COVID-19 public health emergency in New Jersey.

Meetings, conventions and trade shows are back in full swing this summer. Data provided by Meet AC show some of the clearest indicators of an end to the COVID-19 drag and a return to pre-pandemic (or better) levels of activity. In the six months ended June 2019, Meet AC facilitated 134 conventions, trade shows and meetings, and welcomed 345,000. In the same period ended 2022, Meet AC facilitated 138 conventions, trade shows and meetings, and welcomed 453,000 – this represented a 316% and 1377% increase respectively over the same period in 2021. In 2021, Meet AC facilitated just 33 conventions, trade shows and meetings, and welcomed only 30,700 attendees.

Further, July’s 2022 brick and mortar gaming revenues also exceeding July 2019 ($277.2 million) by 8% is a hopeful indication that the growth trend that we saw before the pandemic may be back on track. Seven months in, 2022 leads 2019 for total brick and mortar casino revenue by 4.4% and, for the first time since the start of the pandemic, there seems to be a real chance that 2022 year-end brick and mortar casino revenue will exceed 2019.

Consistent with an emerging trend, internet gaming revenue for the month shows signs of plateauing, likely due to a seasonally driven shift in gambling behavior or a potential preference for in-person gaming activities during the summer.

But this did not prevent July 2022 from turning in the strongest total casino industry revenue performance (excluding racetracks) in recent history (since 2011). At $453.1 million, July 2022 beat out July 2021 ($416.3 million) to set a new near-term record for single month industry total gaming revenue. Year to date 2022 total industry gaming revenue exceeds 2021 by 8.9% and, with another 40% at least of revenue still to be earned in 2022, indications seem to favor another year-end revenue total of over $4 billion.

Data from the South Jersey Transportation Authority suggests a promising, but still incomplete recovery for visitation to the city. Traffic through the Pleasantville Toll Plaza of the Atlantic City Expressway has increased 6.3% in the first half of 2022 compared to the same period in 2021, however, counts for the six months ended June 2022 still haven’t recovered fully to pre-pandemic levels. At 8.1 million, vehicle counts at the plaza lag the 2019 total from the same period (9.4 million) by almost 15%.

It is unclear if a portion of the lower vehicle counts may be attributable to less trips by locals who may be working from home or car-pooling to combat high gas prices, or drivers opting not to use the expressway due to a recent increase in the price of tolls. With brick-and-mortar revenue exceeding pre-pandemic levels the lower vehicle counts do not seem to be influencing economic activity at the casinos.

 

Atlantic City Gaming Win & Total Casino Revenue

Source: N.J. Division of Gaming Enforcement

Monthly Revenue (Casino Licensees, $ In Thousands)

July 2022

% Change from Prior Year July 2021 YTD July 2022 % Change from Prior Year YTD July 2021
Total Gaming Win (includes Internet & Sports Wagering) 453,140 8.9%  416,281 2,687,179 16.9% 2,298,682
Sports Wagering Revenue 17,448 -15.7% 20,695 126,839 -20.0% 158,470
Internet Gaming Win 136,701 15.2% 118,685 951,221 26.3% 752,899
Casino Gaming Win 298,991 8.0% 276,900 1,609,119 16.0% 1,387,313

 

Quarterly Revenue (Industry, $ In Thousands)** Q1 2022 % Change from Prior Year Q1 2021 YTD March 31, 2022 % Change from Prior Year YTD March 31, 2021
Casino

$444,943

18.0% $377,151 $444,943 18.0% $377,151
Rooms $119,399 32.3% $90,224 $119,399 32.3% $90,224
Food & Beverage $103,714 62.8% $63,720 $103,714 62.8% $63,720
Entertainment & Other $51,729 53.5% $33,693 $51,729 53.5% $33,693
Casino Licensees Total Revenue $719,785 27.4% $564,788 $719,785 27.4% $564,788
** Data agregated from New Jersey Division of Gaming Enforcement Quarterly Financial Reports for individual properties, includes amended totals as of April 12, 2022. May not match totals from Quarterly Press Releases and Statistical Summaries, which represent a 'snapshot' of data at the time of publication and are not retroactively updated. 

Atlantic City Hotel Lodging

Source: N.J. Division of Gaming Enforcement

Casino Hotel Lodging Statistics
For the Period Ended
March 31, 2022 & 2021
Q1 2022 Q1 2021 YTD 2022 YTD 2021
Occupancy percentage 63.05% 52.41% 63.05% 52.41%
Average Daily Room Rate (ADR) $152.20 $130.74 $152.20 $130.74
Revenue Per Available Room (RevPAR)* $95.96 $68.52 $95.96 $68.52

* RevPAR= ADR X Occupancy Percentage


Atlantic City Statistical Transportation Data

Source: South Jersey Transportation Authority

Travel Mode June
2022
Change
from Prior
Year
June
2021
YTD
June
2022
Change
from Prior
Year
YTD June
2021
AC Expressway
Total Toll-Paying Traffic
Pleasantville Toll Plaza
1,579,702  -5.3% 1,668,829  8,060,996  6.3% 7,582,127 
AC Airport
Scheduled Service Passengers 74,248  -9.1% 81,645  412,700 9.9% 375,634
Charter Passengers  11,084  252.1% 3,148  60,227  329.0% 14,038 
Total Air Passengers 85,332  0.6% 84,793  472,927  21.4% 389,672 

Atlantic City Meetings and Conventions Data

Source: MeetAC

  July '22 July '21 % Change
from Prior Year
TOTAL
2022 YTD
TOTAL
2021 YTD
% Change
from Prior Year
Conventions/Tradeshows/Meetings*
# of Shows 8 4 100% 50 10 400%
# of Room Nights 18,109 7,588 139% 72,378 9,406 669%
# of Delegates 80,665 37,510 115% 348,806 44,806 678%
Delegate Spending $19,861,473 $7,057,118 181% $112,543,055 $9,239,404 1118%
Boardwalk Hall Bookings
# of Shows 5 0 N/A 22 0 N/A
# of Attendees 21,405 0 N/A 110,152 0 N/A
Hotel Bookings
# of Shows 13 19 -32% 92 65 42%
# of Room Nights 19,436 19,156 1% 74,193 64,814 14%
# of Attendees 29,311 25,785 14% 125,374 75,846 65%
Delegate Spending $10,809,254 $10,032,078 8% $47,973,481 $37,258,326 29%
Monthly Totals
# Convs_Trade_Mtgs / Boardwalk Hall / Hotel 26 23 13% 164 75 119%
# of Room Nights 37,545 26,744 40% 146,571 74,220 97%
# of Attendees 131,381 63,295 108% 584,332 120,652 384%
Delegate Spending $30,670,727 $17,089,196 79% $160,516,536 $46,497,730 245%

Notes:

January 2021 hotel attendees reflect virtual attendance numbers

March and August 2021 conventions/tradeshow numbers updated based on information received after reporting deadline

January 2022 conventions/tradeshow numbers updated based on information received after reporting deadline

March 2022 Boardwalk Hall Bookings updated based on information received after reporting deadline

*Includes Meet AC events booked at Boardwalk Hall


LIGHT Snapshots is a publication of the Lloyd D. Levenson Institute of Gaming, Hospitality & Tourism, Stockton University School of Business
Jane Bokunewicz, Ph. D., Faculty Director and Associate Professor of Hospitality

Atlantic City Information

Atlantic City Free Public Library main branch to receive makeover - As reported by The Press of Atlantic City, the William K. Cheatham Building on Tennessee Avenue will receive its first extensive capital improvements in 37 years. Work will include remodeling of first-floor bathrooms, exterior cleaning, replacement of front stairs and sidewalk, and improvements to lighting, signage and railings. Work is expected to be completed Fall 2022. Library will remain open during construction. Total construction cost ($448,500) to be financed in part (50%) by New Jersey Library Construction Bond Act grant funding. 

Atlantic City Police Department opens new substation on Boardwalk - As reported by The Press of Atlantic City, the Atlantic City Police Department has opened a new satellite headquarters at 1325 Boardwalk. The substation is intended to improve response times to quality-of-life and safety issues in the city's Tourism District. 

City Council approves lease of Carnegie Library to nonprofit - As reported by The Press of Atlantic City, the first-floor and half of the second, of the Carnegie Library will be rented to the National Action Network’s NAN Newark Tech World for use as a community and education center for youth in Atlantic City. NAN will pay $1 per year for five years and cover half the utility bill for the building, an estimated $50,000 per year. 

No update on Atlantic City Supermarket Project - As reported by The Press of Atlantic City, an $18.5 million project to bring a 44,000-square-foot ShopRite to 1801 Baltic Ave. has made little progress since its November 2021 groundbreaking. 

Stockton University’s Noyes Museum of Art receives $30,000 grant from Geraldine R. Dodge Foundation - According to a Stockton University press release, The Dodge Foundation has awarded the Noyes Museum of Art of Stockton University a $30,000 general operating support grant. Funds from the grant will be used to support museum programing and community access including: keeping access to programs and exhibitions at low-to-no cost for the local community, expanding a community garden, supporting student programing, expanding programs to individuals with disabilities, and providing cultural engagement opportunities to Hammonton's growing Latino population. Additional reporting from The Press of Atlantic City

Stockton University Phase II Residence Hall project celebrates milestone - On July 19, members of the Stockton and local communities gathered to celebrate the "topping-off" of the Phase II Residence Hall. The six-story, 416-bed residence hall is set to open in Fall 2023. Stockton University press release, further reporting by ROI-NJ, and NJ.com.   

Stockton University President Harvey Kesselman announces retirement - At the July 20 meeting of the University's Board of Trustees, President Kesselman announced that he will retire at the end of the current fiscal year (June 30, 2023). President Kesselman has served as the University's fifth president since 2015, and was a member of Stockton's inaugural class in 1971. Read the full Stockton University press release, view a Special Message from President Kesselman. 

New Jersey Gaming News

Assemblyman Ronald Dacer Remembered for "legacy of advocacy" - As reported by NJ Biz, and Insider NJ, Assemblyman Ronald Dancer passed away on July 23 after a long illness. Dancer represented the 12th District for nearly 20 years and served on the Agriculture and Food Security; Military and Veterans' Affairs; and Tourism, Gaming and the Arts committees. He was a longtime advocate of the New Jersey horse racing industry and served on the New Jersey Horse Racing Commission from 1999 to 2002

Hard Rock International announces leadership appointments for Atlantic City and Las Vegas - As announced in a press release from Hard Rock International, Joe Lupo, current President of Hard Rock Hotel & Casino Atlantic City will become president of the future Hard Rock Hotel & Casino Las Vegas once Hard Rock International completes its purchase of The Mirage Hotel & Casino from MGM Resorts International. Anthony Faranca, current general manager of Hard Rock Hotel & Casino Atlantic City, will be promoted to property president effective Sept. 1. Further reporting from The Associated Press and The Press of Atlantic City

Legislators consider eliminating smoking ban exemption for casinos - As reported by Casino.org, New Jersey legislators are considering legislation (Senate Bill 264/Assembly Bill 2151) that would eliminate the exemption to the 2006 Smoke-Free Air Act that permitted casinos and simulcasting facilites to continue to allow smoking indoors. According to further reporting by The Press of Atlantic City, casino dealers are not in favor of a proposal being discussed by legislators to permit casinos to create designated outdoor smoking areas that employees could opt out of staffing. The Assembly and Senate bills, which seem to have strong support from legislators have, none the less, stalled 

Union and Atlantic City casinos reach agreement on new contracts - As reported by The Press of Atlantic City, as of July 28 all nine of Atlantic City's casinos had reached an agreement with Local 54 of the Unite Here union for new four-year labor contracts, avoiding potential labor strikes. New contracts include significant raises for union members including housekeeping employees, who will immediately see their hourly salary increased to $18, up from varying levels at different casinos. Their pay will increase to $22 per hour at the end of the four-year contract. Further reporting from The Associated Press and The Press of Atlantic City

 National Gaming News

Dream Las Vegas Casino Hotel, part of Southern Strip expansion, breaks ground - According to Casino.org, The Dream Hotel Group based in New York City, broke ground July 8 on a $550 million hotel and casino project adjacent to Harry Reid International Airport. The resort is considered part of a 'boom' in development along the southern end of the Las Vegas Strip likely set in motion by the arrival of the NFL's Raiders and the $1.9 billion Allegiant Stadium nearby.

Massachusetts to legalize sports betting - According to Legal Sports Report and Mass Live,  Massachusetts legislators reached an agreement on legislation to legalize sports betting on Aug. 1. The state is expected to pass a sports betting bill in 2022, but the timeline for launching legal sports wagering in the state is unknown. 

New Jersey Division of Gaming Enforcement Fines Caesars Entertainment for regulatory violations - As reported by NJ Online Gambling and Casino.org, Caesars Entertainment was fined $50,000 by the New Jersey Division of Gaming Enforcement (DGE) for repeated regulatory infractions. According to the DGE, as of November 2021, Caesars failed to properly register and license 49 key employees over a period of more than a year. Because Caesars initially self reported and acted in a timely manner to resolve infractions it discovered in May 2021, the DGE innitially declined to penalize, but the revelation of additional infractions led Caesars to agree to the $50,000 fine in recognition of the seriousness of its failure to register its casino employees with the DGE. 

Part of propertywide Bally's to Horseshoe Las Vegas rebranding, on-site sportsbook set to become family friendly arcade - As reported by casino.org, as part of a propertywide branding transition from Bally's to Horseshoe Las Vegas, the 7,000-square-foot, on-site sportsbook has been closed. Operators announce plans to convert the space to a family friendly arcade in an effort to welcome a broader audience. 

Penn National stops taking bets through theScore Bet sportsbook focuses on Barstool Sportsbook brand - As reported by Casino.org, Penn National has ceased to operate theScore Bet in the U.S. The brand, still in operation in Canada, was shuttered in favor of the Barstool Sportsbook brand. 

Hospitality & Tourism News

113th annual NAACP National Convention comes to Atlantic City - As reported by The Press of Atlantic City and NJ.com,  Atlantic City hosted the 113th Annual NAACP National Convention for the fourth time in history and first time since 1955. The convention, which ran from July 14-20, featured over 90 individual events and attracted approximatly 6,000 attendees. Vice President Kamala Harris, was among several notable attendees and gave a speech on July 18.  Atlantic City Mayor Marty Small Sr., told the media he "hopes the national convention will one day come back to the city, and that since the city was in the national spotlight once again, other organizations will consider holding big events here." Additional reporting from The Press of Atlantic City

42nd Annual National Sports Collectors Convention held in Atlantic City - As reported by The Press of Atlantic City, Atlantic City Weekly and WPG 95.5 FM, The National Sports Collectors Convention returned to Atlantic City July 27 -31. The convention, one of the largest of its kind, attracted 60,000 attendees to Atlantic City's Convention Center. Reportedly the second largest attendance in the history of the convention, it may also have been, according to Show Manager John Broggi, "the largest event held at the Atlantic City Convention Center, or, Boardwalk Hall in at least 10 years."

Barnegat Lighthouse receives $1.3 million in renovations - As reported by The Press of Atlantic City, the historic landmark Barnegat Lighthouse is receiving $1.3 million in maintenance and capital improvements including: masonry recoating and repairs to the brick façade, interior lantern steel platform repairs, roof repairs and new windows. Work, started in March, is expected to be complete, and the lighthouse reopened to the public, by Oct. 15, 2022. The state park remains open durring renovations. 

Collaborative project between the Noyes Museum of Art of Stockton University, Create 48 and the Atlantic City Arts Foundation produces two new murals in Atlantic City - According to a Stockton University press release and The Press of Atlantic City, two new murals celebrating four African American education trailblazers, and three different civil rights leaders were completed in time for the NAACP National Convention, which took place in Atlantic City for the first time since 1968. As reported by The Press of Atlantic City, The Atlantic City Arts Foundation held a kickoff party earlier in the month, the first of three large-scale events planned for this summer as part of its 48 Blocks Atlantic City program. 

Restrictive guidelines imposed by Division of Alcoholic Beverage Control to impact New Jersey Breweries - As reported by ROI NJ, 18 Limited Brewery Special Conditions were issued by the Division of Alcohol and Beverage Control effective July 1. Among the conditions are prohibitions against food service and food truck operations, "pop up" shops, bazaars and craft shows, and more than 25 on-premises "special events" per calendar year. "Special events" include any live music or performance, or live-televised championship sporting event. Further reporting by The Press of Atlantic City

Spirit Airlines, Inc. (“Spirit”)  and JetBlue Airways Corporation (“JetBlue”) announce "definative merger agreement" - According to a July 28 press release, Spirit and JetBlue have agreed to a merger, which, if approved by regulators, would create the fifth-larges U.S. airline carrier. The announcement comes one day after an anticipated merger between Spirit and Frontier Airlines was abandoned. Further reporting from The Associated Press,Travel Weekly and The Press of Atlantic City

Stockton University Continuing Studies Program emphasizes Atlantic City history with weekly walking tours - According to a Stockton University press release and as reported by The Press of Atlantic City, Stockton's Office of Continuing Studies hosted a series of weekly walking tours in July focusing on Atlantic City cultural history. Led by Levi Fox, adjunct professor of General Studies and Atlantic City historian, tour participants visited a number of sites throughout the city and learned about their cultural and historical significance. Fox and tour developer, Diana Strelczyk, assistant director of the Office of Continuing Studies, believe the tours not only provide a fun and informative experience but also encourage trusting relationships among tourists and residents.