Stockman’s Casino, the largest casino in Fallon, Nevada, is undergoing a change in ownership as two prominent Las Vegas gaming executives, Michael Gaughan III and David Ross, have purchased the property from Full House Resorts for $9.2 million. This acquisition marks a new chapter for the popular casino, which has been under Full House Resorts’ ownership since 2007.
Background of the New Owners
Michael Gaughan III, the son of South Point Casino owner Michael Gaughan, brings a wealth of experience and knowledge to Stockman’s Casino. Alongside his partner David Ross, Gaughan has a proven track record in the gaming industry, having previously managed casino operations for the JW Marriott-Rampart Casino near Summerlin. Ross, who is still a member of the property’s board, has also worked closely with the elder Gaughan over the years, further solidifying the duo’s expertise in the field.
Expansion into the Nevada Gaming Market
Gaughan and Ross’s acquisition of Stockman’s Casino in Fallon is not their first foray into the gaming industry. Late last year, the duo was part of a private partnership that acquired two small casinos in Cripple Creek, Colorado, showcasing their commitment to expanding their presence in the market. With the purchase of Stockman’s, Gaughan and Ross are poised to make a significant impact in the Nevada gaming market, further solidifying their position as key players in the industry.
Full House Resorts, the previous owner of Stockman’s Casino, will continue to operate the business until Clarity Game of Las Vegas, the private partnership formed by Gaughan and Ross, is licensed. As part of the transaction, Full House will sell the property to Clarity for $7 million and receive $50,000 in monthly rent until the new owners are licensed. Once Clarity obtains the necessary approvals, they will pay Full House $2.2 million to finalize the purchase of the operations.
Enhancing the Stockman’s Experience
Stockman’s Casino boasts an 8,400-square-foot gaming floor with 235 slot machines, four table games, and a keno lounge, providing an exciting and diverse gaming experience for patrons. In addition to its gaming offerings, the casino features two restaurants, catering to guests looking for a delicious meal or a quick bite to eat. With the new ownership in place, Stockman’s is poised to undergo enhancements and improvements to further elevate the overall guest experience.
Full House CEO Dan Lee expressed pride in the company’s tenure at Stockman’s Casino, noting the improvements made to the operations over the past decade. However, with the sale of Stockman’s, Full House will now focus on its remaining gaming property in Nevada— the Grand Lodge Casino at the Hyatt Regency in North Lake Tahoe. Lee stated, “As we have continued to grow in size, we find it prudent to focus on our larger properties in our portfolio.”
Strategic Focus on Growth
While Full House Resorts is divesting itself of Stockman’s Casino, the company remains focused on its larger properties and growth opportunities. JMP Securities gaming analyst Jordan Bender highlighted Full House’s $250 million Chamonix Casino Resort in Cripple Creek, which opened last year, as a key area of focus for the company. Additionally, Full House is operating a temporary casino in Waukegan, Illinois, as part of its planned $500 million resort development in the area.
Bender suggested that Full House may consider selling its Grand Lodge operations and Rising Sun Casino in Indiana, as the company’s focus is primarily on the hyper-growth properties in Colorado and Illinois. The smaller, non-core assets are not a primary focus for Full House moving forward, as the company looks to capitalize on growth opportunities in key markets.
In addition to Stockman’s Casino, Full House Resorts also owns the Silver Slipper Casino in Bay St. Louis, Mississippi, further solidifying its presence in the gaming industry. With a strategic focus on growth and expansion, Full House Resorts is poised to continue making waves in the gaming market, leveraging its portfolio of properties to drive success and profitability in the years to come.
Overall, the acquisition of Stockman’s Casino by Clarity Game of Las Vegas represents a significant development in the Nevada gaming market. With experienced gaming executives at the helm, Stockman’s is poised for continued success and growth under new ownership. As Full House Resorts shifts its focus to larger properties, the gaming landscape in Nevada is set to evolve, offering exciting opportunities for players and industry professionals alike.