DI is shut down with little fanfare

David Strow and Jace Radke

Monday, Aug. 28, 2000 | 11:41 a.m.

The Desert Inn's casino quietly shut down this morning, the first step in the final closure of the historic 50-year-old property on the Las Vegas Strip.

Desert Inn spokeswoman Caroline Coyle said the casino started to close at 2 a.m. and the closure of the hotel was set for 2 p.m. today.

The casino closed early today because that's when the casino starts its daily financial reporting cycle, Coyle said. The hotel-casino closure had been planned for 2 p.m. today, according to previous announcements.

But the 2 a.m. casino closure had been previously announced to employees, Coyle said. "There's nothing new about this," she said.

This morning, Desert Inn owners Steve and Elaine Wynn wished the hundreds of remaining employees well on their final day of work.

"This property made a singular contribution to the history of Las Vegas and we all benefited from that in some way," the Wynns said in a statement. "To the dedicated employees responsible for this, we wish them Godspeed."

Wynn defended his decision to raze the property in favor of a massive new development, repeating his belief that the property offered opportunities unparalleled by any land parcel in Nevada.

"Now the time has come to take advantage of the strategic location of this property to create the next chapter," Wynn said. "Throughout its many transformations, the Desert Inn has always been known for its elegance, class and intimacy. As we begin to shape the new vision for this extraordinary site, the lessons of the past are not lost on us."

Keith Copher, chief of the enforcement division for the Nevada Gaming Control Board, said board agents were on hand for the 2 a.m. closure. The closing began with the table games, and was completed when the final slot machines were shut down at 6 a.m.

Enforcement agents were present to ensure against theft, and to make sure that surveillance systems continued operating until the last gaming operations were shut down.

"We do this at every closure," Copher said. "Everything went smoothly. Everything was closed up by 6 a.m. this morning."

Gregg Gale, chief of the audit division, said audit agents wrapped up their duties at the DI this morning without incident.

"It was a very orderly transition," Gale said. "There's not too much going on there."

Since all gaming is now shut down, Copher said agents will not be present for the closing of the hotel this afternoon.

The decision to close the casino at 2 a.m. wasn't likely to result in much lost revenue, as the casino floor was nearly empty in its final hours of operation Sunday afternoon.

At 5 p.m. Sunday, about 12 people gambled at a group of five blackjack tables, a roulette table and a craps table, while four times as many gaming tables sat unmanned nearby in the resort's main casino.

In the only bar that remained open in the Desert Inn, along the south wall of the casino, another dozen people drank and watched a baseball game on a big screen television.

In all there were about 100 patrons inside the casino, and a smattering of employees. Some bought $5 or $1 casino chips with the Desert Inn logo emblazoned on them as souvenirs.

One woman attempted to walk out of the casino with a paper Desert Inn sign, but a hotel-casino employee snatched it away.

Shops and eateries like the Ho Wan Chinese restaurant were closed and often locked behind metal security gates.

In contrast to the access granted over the Desert Inn's final days, photographers weren't permitted onto the property in its last hours.

"We just want everybody to remember it the way it was," Mark Lefever, chief executive of the Desert Inn, said Sunday. "We are closing things down as we speak."

Typically, a hotel-casino's closure is followed by a mass sale of items from the property, including furniture, card decks and various hotel and kitchen equipment. As of today, plans for the disposition of Desert Inn property have not been set, Coyle said.

One piece of history that will live on will be the Megabucks slot machine hit in January at the Desert Inn for a record $35 million jackpot. Ed Rogich, vice president of marketing at International Game Technology, said the machine will be converted into a display-only model and given to jackpot winner Cynthia Jay of Las Vegas as a gift at the request of Jay's husband.

Many of the remaining machines at the Desert Inn are owned by IGT and were leased by the casino. After IGT picks up its machines, most will be scrapped, Rogich said.

"Most of them are very old ... at least 10 years old," Rogich said. "Due to their age and condition, they're either recycled or eliminated and scrapped."

With the casino now officially closed, the final step will be the cash-out of any outstanding gaming tokens from the Desert Inn. Some of these chips may be held by the property's patrons, but Gale said quite a few are probably held by neighboring casinos. Those that prefer cash to chips for a collection have at least 120 days to redeem the chip with the Desert Inn, per state gaming regulations.

"They're supposed to advise us how they plan to dispose of chips and tokens," Gale said. "The concern is that you don't want closed licensees' chips and tokens to be out and about in Las Vegas, because they won't be worth anything in awhile."

Anyone holding chips or tokens from the Desert Inn will be able to redeem them at the property's accounting offices through the end of December, according to plans filed with the control board. Public notice ads regarding the final call for chips will run in local newspapers every few weeks through that time, Gale said.