Changing Perceptions

The release last week of Steve Wynn's plans for a stunning high rise hotel and casino on a contaminated piece of land jutting out into the Mystic River on the Boston/Everett line was matched by Suffolk Downs 3D release of its stunning plans for the sprawling Suffolk Downs race track site on land shared by Boston/Revere.

Wynn did his thing and then Suffolk Downs did theirs.

These presentations again marked another moment to note in the evolving contest which pits Richard Fields and Caesars Palace versus Steve Wynn for licensing rights to several billion dollars in revenues in the short term over the coming years.

The growing perception – and this may in fact be different from the harsh reality – is that Wynn's Everett gambit is gaining an edge in the bragging rights department over Suffolk Downs gamble in Boston/Revere.

The talk among nearly all of those involved with the casino licensing conundrum - lobbyists, local politicians, consultants, businesspeople and gamblers – Wynn appears to be gaining in perception over his archrival.

In the end it will be anyone's guess what exactly the Gaming Commission will vote to do and why. That being said, perception will have a lot to do with the decision.

This includes the David Nunes/Foxwoods Milford proposal which has not yet taken on shape and form for the public. The Gaming Commission could end up picking that investment group and suburban location over the Everett and Boston/Revere locations. That is unlikely but then in the present day licensing/political climate anything is possible.

The crucial moment of selection is still way off but the situation is fluid.

Wynn and his supporters boast he has more money, bigger vision, a grander plan, more raw casino management and financing skill and power than anyone else fighting for a license in Massachusetts.

Wynn's empire is cash rich. His casinos, wherever in the world they are located, are like richly appointed royal palaces more than anything else. On a personal note, Wynn sold a Picasso from his extensive personal collection of fine art last week for $155 million!

Last week, Suffolk reported losing one of its 19% partners, who pulled out of their proposed casino plan at Suffolk Downs. Vornado Realty Trust pulled out rather than undergo close vetting and scrutiny process as required by the gaming commission.

It is believed Vornado's share will be picked up by one of the Suffolk Downs partners or close colleagues.

At the same time that announcement was made, Mayor Thomas Menino, one of the venerated track's most influential and loyal supporters, delivered a farewell speech of sorts at Faneuil Hall.

Despite the efforts of Suffolk Downs officials to minimize the effects or importance of Vornado stepping aside and the mayor not running again, these two significant events were a bit like losing an important double-header when in the significant moment of a late season baseball pennant drive.

Yet Suffolk Downs officials said no one should get excited over such occurrences.

Tell that to Wynn's development group, his lawyers at Mintz Levin, and his supporters in Everett. All three of those groups were ebullient last week and talked as though the bidding war and the application battle is all over with Wynn the clear winner. How easily people forget that not many months have passed since Wynn was thrown out of Foxboro by anti-casino forces led by Republican senatorial candidate Dan Winslow.

Winslow said at a fundraiser held in Newbury over the weekend that if he gains the Republican nomination at the end of April, he will go straight to Everett and make every effort to ruin Wynn's bid as well as to stop casino gambling – which he opposes.

Wynn and his folks ought to hold off on early celebrations. Announcing and even believing the victory has already been won before the outcome of the battle has been determined is bad war strategy.

Suffolk Downs has already been there, and if there is an advantage in all of this for them, it is that Wynn would appear to have taken a frontrunner status in the bid to be affirmed by the Gaming Commission.

Suffolk Downs is now the underdog.

The mayor remains a strong supporter but the mayor cannot be expected to deliver politically six to nine months from now the support he would have been capable of had he run again.

The mayor not running for re-election is a blow for Suffolk Downs.

Another oddity for outsiders looking into the casino crystal ball is to try to understand how Suffolk Downs officials at the highest level believe Wynn is bluffing with his Everett proposal.

They honestly believe he will never build anything in Everett. They believe he will make a bid to build a casino on the emerging Southie waterfront.
The Suffolk Downs folks believe Wynn is all about bluff.

This may in fact turn out to be the case. However, Wynn does not appear to be much of a bluffer.

For all intents and purposes the Everett site is a Boston waterfront site. A casino put there would be a Boston casino by any other name. A promise by Wynn to take care of Everett and Boston with mitigation funding will capture an awful lot of interest with mayoral candidates and even with Menino. News that Wynn is buying other parcels abutting the parcel which he has leased gives rise to that belief.

The Mintz Levin connection for Wynn should also be of more than casual interest and cause for alarm for Suffolk Downs.

Mr. Crosby the head of the Gaming Commission was once a big time William Weld man when Weld was governor.

While great efforts are made to assure the public that Crosby is Mr. Clean, one has to wonder about him and his former boss Weld, who now works for Mintz Levin in the same division representing Wynn.