Despite speculation, Blackstone has confirmed it has no plans to separate Crown’s hotel and 바카라 assets into a property trust. The firm believes that value lies in maintaining its integrated resort model, offering accommodation, gaming, dining, and entertainment under one roof.
The move comes after Crown Resorts regained its gaming licences in both Sydney and Melbourne, following a major compliance overhaul. Now, private equity giant Blackstone is turning its attention to customer-facing upgrades, particularly within Crown’s hotel and hospitality portfolio.
Blackstone acquired Crown in 2022 for AU$8.9 billion (approximately €5.5 billion), inheriting a business linked to the Packer family and marred by allegations of money laundering and regulatory failures. Following a series of government inquiries, the operator was compelled to carry out extensive and costly governance reforms.
Emphasis on customer experience
However, without the licence clearance, everything was in doubt. The NSW Independent Casino Commission (NICC) reinstated Crown Sydney’s licence in April 2024, after nearly three years of intensive remediation efforts. Similarly, the Victorian Gambling and Casino Control Commission (VGCCC) confirmed Crown Melbourne’s suitability to retain its licence in March 2024.
Kathleen McCarthy, Blackstone’s global co-head of real estate, described Crown as a long-term investment. “We’ve moved past the initial phase of ensuring we have the safest gaming operation in the world. Now, our focus is on customer experience,” she said.
Chris Tynan, Blackstone’s head of real estate in Australia, stressed that maintaining high standards in hospitality is key to staying competitive. “Hotels always need reinvestment. If you don’t improve, someone else will open nearby and do it better,” he said.
Worry grows over financial burden
The financial burden has been substantial. Blackstone took on AU$5.4 billion (€3.35 billion) in debt to fund the deal and later injected another AU$500 million (€310 million) into Crown. The toll is clear—Crown’s pre-tax earnings slumped by 80 percent last year to just AU$24 million (about €15 million).
Still, upgrades are in motion. While complete refurbishment of Crown Towers Melbourne is yet to be realised, Crown Sydney—an AU$2.2 billion (€1.36 billion) harbourfront resort—has opened with high-end dining options such as Golden Century, Kolkata Cricket Club, and Marmont.
The transformation hasn’t been smooth. Hundreds of jobs were cut across Sydney, Melbourne,
and Perth. There was also a leadership reshuffle, including the exit of CEO Ciaran Carruthers and city bosses. David Tsai now heads the company.
To streamline operations, Crown has sold off non-core assets, including a major development site in Melbourne, its stake in Nobu, and London’s Aspinalls Club. Crown is awaiting a final regulatory review in Western Australia, where authorities are expected to soon decide on the suitability of the Perth 바카라. If approved, this decision could finally conclude a turbulent chapter for the once-troubled operator.
