Detroit Casino Revenues Up 7.9% to $116M in AugustSeptember 15, 2016 12:29 pm
The city of Detroit’s three licensed casinos generated revenues of $115.9 million in August, according to the latest results released by the Michigan Gaming Control Board. While being 2.2% down on the previous month, that figure still represents an impressive 7.9% improvement over the same month in 2015.
The state of Michigan subsequently received $9.4 million in gaming taxes, up by 0.7% from the $8.7 million collected in August 2015. The casinos also reported paying the city of Detroit a further $13.8 million in wagering taxes, and development agreement payments.
Last month, MGM posted the biggest year-on-year growth with its revenues surging by 17.9% to $51.3 million; followed by MotorCity Casino up 2% to $37.8 million. On the flip side, however, Greektown saw its revenues contract slightly by 0.3% to $26.7 million. As a result, MGM currently commands a 44% share of Detroit’s casino market, followed by MotorCity (33%), and Greektown (23%).
For the first eight months of 2016, Detroits casinos have now generated $934 million in gambling revenues, up 1.3% on the $922 million taken during the same eight months of 2015. The figure roughly breaks down to revenues of $397 million for MGM Grand Detroit, $317 million for MotorCity Casino, and $220 million for Greektown Casino.
Gambling is an important source of revenue for Detroit, a city which applied for Chapter 9 bankruptcy back in July, 2013. Taxes collected from the industry represent a significant 16% of its annual revenue stream, and so far in 2016 the state has received $76.4 million in taxes, a slight improvement on the $75.6 million collected for the first eight months of 2015. The recent positive growth in the market seems to have allayed any concerns that one its casinos might potentially have been forced out of the market.
Detroit’s Annual Casino Revenues: