Wynn May Sell $2.6B Everett Casino To MGM

EVERETT, MA — Wynn Resorts is eyeing a sale of its Encore Boston Harbor resort and casino in Everett, The Boston Globe first reported Friday. The casino giant and MGM Resorts issued a joint statement Friday saying they are in talks to make a deal.

"Over the past several weeks, we have engaged in conversations around the potential sale of Encore Boston Harbor. They are very preliminary and of the nature that publicly traded corporations like ours often engage in, and in fact when opportunities such as this are presented, we are required to explore. We cannot say today where these conversations will lead, however we can reaffirm our commitment to the communities where we operate today.

The people of Springfield and Everett welcomed us into their neighborhoods. We know that is a privilege and we take it seriously. Our conversations will not impact the jobs at our facilities and will not impact the opening of Encore Boston Harbor. Regardless of where this leads us, we will ensure that our commitments will be met, and that those who welcomed us into their communities will not be disappointed."

Such a sale would be complicated, as Massachusetts law prohibits more than one casino per company. MGM opened a casino and hotel complex in Springfield last August and holds the sole resort casino license in Western Massachusetts.

Wynn Resorts was cleared to operate Encore Boston Harbor following a year-long investigation into its suitability to hold a gaming license in Massachusetts. The Massachusetts Gaming Commission instead fined the company $35 million over its handling of sexual misconduct allegations against its founder, Steve Wynn.

Wynn denied the allegations but stepped down as chairman and CEO and sold his shares last year. The company has since taken steps to distance its $2.6 billion resort and casino in Everett from its namesake, changing the name to Encore Boston Harbor and pledging to make its staff 50 percent women. It also successfully removed Steve Wynn as a "qualifier" for the license.

In a statement Friday, MGC spokesperson Elaine Driscoll said, "The Commission's written decision stands. The deadline for fine payment and notice of appeal is May 31. The MGC continues to focus its efforts on the significant amount of regulatory preparations required before Encore's opening."

Wynn Resorts has been extending thousands of job offers, giving first priority to residents of Everett and its neighboring communities. The complex will feature 15 bars and restaurants; 671 hotel rooms; a ballroom and meeting area; spa and gaming floor with tables; a poker room and more than 3,000 slot machines, according to The Boston Globe.

Last year, rumors of a potential Wynn-MGM sale were shot down by Wynn CEO Matt Maddox.

"Boston is not up for sale," Maddox said at the time. "I like that market. I found the land. I pursued that deal. I entered the agreement with the host community five years ago. I liked that market then. I like that market today."

Encore Boston Harbor remains on track to open in June.

This is a developing story. Check back with Patch for updates.