The Downtown Grand casino has been placed in receivership following the property defaulting on a $90 million construction loan in December.
The casino has been under the control of a court-appointed receiver since January as a sale of the property is underway, the Las Vegas Review-Journal reported. That move came at the request of the lender, Banc of California, which sued casino owner CIM Group following the default.
Casino Labeled As ‘Insolvent’
CIM, a real estate and infrastructure development firm, purchased the former Lady Luck casino in 2007 for $100 million, and the property underwent a $100 million renovation in 2013. The $90 million construction loan was for the Gallery Tower.
The tower was unveiled in September 2020 as the COVID-19 pandemic devastated the casino industry.
The Downtown Grand casino boasts a modern feel with a variety of table games, slot machines, video poker, and a William Hill Sportsbook. The Grand, which hasn’t filed for bankruptcy and continues to operate, doesn’t have a poker room.
In court filings, Banc of California said the casino’s owners stopped making required interest payments in March 2025. The lender added that the casino failed to pay the debts “as they come due” since July 2024. The bank also labeled the casino as insolvent, according to the Review-Journal.
Receiver Paul Huygens, with Henderson-based restructuring advisory practice Province LLC, has pushed forward with a sale, according to reports.
Previous Sale Attempts Unsuccessful
Ownership had been trying to sell the Grand for a while. Penske Group, which owns Rolling Stone magazine, made a play for the property in 2025 but couldn’t come to an agreement, according to The Street. Hotel and resort operator Corvus Collective also expressed an interest in 2024, but that also fell through.
This comes as Las Vegas experienced a general downturn in visitors and gaming revenue over the last year. In January, Clark County, home to Las Vegas, saw revenue fall 8.4% to $1.2 billion from $1.3 billion last January. Strip revenue fell 11% to $747.7 million from $840.1 million.
While most casinos are staying afloat, Las Vegas poker rooms are seeing contraction. Resorts World recently closed its poker room and the end of March and Planet Hollywood closed its poker venue in January.
