LUXOR'S NEW LOOK: FAREWELL TO EGYPT - Business

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Jul. 12, 2007
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LUXOR'S NEW LOOK: FAREWELL TO EGYPT

The pyramid will stay, but changes inside are on the way

By HOWARD STUTZ
REVIEW-JOURNAL

The Aurora Lounge near the hotel lobby opened in the spring to replace Nefertiti's Bar as part of the renovation of the Luxor.
Photos by Clint Karlsen.

Felix Rappaport, president and chief operating office of the Luxor, says MGM Mirage invested between $25 million and $40 million in infrastructure improvements soon after taking over the resort.

|The LAX Nightclub, an offshoot of the trendy Los Angeles nightspot of the same name, is slated to open Labor Day.|

Luxor is working to get Egypt out of the pyramid.

Two years after acquiring the 4,500-room hotel-casino as part of its $7.9 billion purchase of the Mandalay Resort Group, MGM Mirage is giving the Luxor a new look.

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The casino operator wants to transform the image of Luxor, which is named for a historic Egyptian city.

"We're not a British museum with ancient artifacts, we're a casino-resort," Luxor President and COO Felix Rappaport said. "This was a brilliantly conceived building from the outside. The pyramid always created a sense of wow and wonder, but the inside never delivered on that promise."

MGM Mirage and its joint venture partners in Luxor are investing approximately $300 million to remodel 80 percent of Luxor's public areas, removing much of the ancient Egyptian theme while adding trendy lounges, restaurants and an ultrahip nightclub. The project is part of the company's effort to refresh several of the former Mandalay Resort Group resorts.

The renovation price of the Luxor almost equals the $375 million Mandalay predecessor Circus Circus spent to build the original pyramid in 1993. A theater and two additional hotel towers totaling 2,000 rooms were added in 1998 for $675 million. Rappaport said MGM Mirage invested between $25 million and $40 million in infrastructure improvements soon after taking over the resort.

Luxor's 120,000-square-foot casino floor was redone over the past two years, with the gaming pit reconfigured, carpeting changed, and the property's 1,600 slot machines replaced with newer games. Next year, the focus will be on transforming Luxor's atrium level from the family-friendly arcade to more adult-themed amenities, such as additional restaurants, lounges and entertainment venues.

The 2,500 hotel rooms in the Luxor pyramid will be remodeled.

Rappaport, who was president of New York-New York when MGM Mirage took control of Luxor, walked through the property a month before the transfer and saw much room for improvement.

"The reality was that we knew this property had great potential," Rappaport said. "The problem was the place was being run as a dormitory, and not a really well-run dormitory."

MGM Mirage executives wanted Luxor to not just serve as a room adjunct for Mandalay Bay, Excalibur and other neighboring resorts. Instead, the company wanted to put in amenities that would attract outside guests and keep Luxor guests from leaving.

That led to a decision to remove much of the Egyptian theme inside the casino. Many of the older amenities, such as Nefertiti's Bar and the Isis and Sacred Sea restaurants, have been removed. Egyptian hieroglyphics on the casino's indoor walls and other symbols are slowly being eliminated.

Focus groups voted against changing the Luxor's name, however, due to the unique pyramid design. The space above the casino created by the pyramid is 3.4 acres, large enough to fit nine jumbo jet airliners, said Rappaport.

"I'm not sure how they measured that," Rappaport said. "The brilliance of the Egyptian theme is in the pyramid. Inside, however, it seemed a restaurant or bar was given a trite Egyptian name and the job was done. Las Vegas has moved beyond that overall theming in the last five to 10 years."

David Schwartz, director of UNLV's Center for Gaming Research, said the move is similar to what MGM Mirage did in remodeling Treasure Island a few years ago.

"It's a lot less treasure and more island," Schwartz said. "It's the way the city is going. It's much less about these cartoonish-themed properties and more about attracting a younger, hip audience."

The initial amenity, the Aurora Lounge near the hotel lobby, opened in the spring to replace Nefertiti's. Other venues, such as the LAX Nightclub, operated by the Pure Management Group, open Labor Day. The club, an off-shoot of the trendy Los Angeles nightspot of the same name, will have celebrity investors, including singer Christina Aguilera.

Two other bars and lounges will open later in the fall adjacent to LAX: Noir and Flight.

Rappaport said one of the main amenities Luxor lacked was a bar at the center of the casino. The remodeling of the gaming floor allowed for the addition of Liquidity, located at the center of the pyramid, to open in the fall.

Also in the fall, Luxor will open CatHouse, a restaurant and European-style lounge, located in the upstairs area above the casino replacing Isis and Sacred Sea. Celebrity chef Kerry Simon, who operates Simon Kitchen and Bar at the Hard Rock, will serve as executive chef.

The Luxor Steakhouse is scheduled for a remodeling early next year, while the pool will also receive a makeover.

"We want our guests to visit Mandalay Bay and our (MGM Mirage) sister properties," Rappaport said. "But we also want guests from the other properties to visit Luxor as well. We believe what is being added here will go a long way toward changing our image."

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Please enter your name Name: Please enter your email Email: Please enter a comment COMMENTS : (word count limit is 300) You have reached the maximum number of words allowed Current Word Count: Note: Comments made by reporters and editors of the Las Vegas Review-Journal are presented with a yellow background. Nick wrote on May 02, 2009 05:48 PM: Joe, it looks like you're the only friend in the entire world that Luxor-destroyer Felix has got. Or did he pay you to lie? JOSEPH MAUGERI wrote on January 15, 2009 02:06 PM: felix is a very close frind of mine and i just want to say vegas is very lucky to have his talent working for them iam sure luxor will be a great place to visit with the felix touch keep up the good work felix your friend always joe Art wrote on December 16, 2008 11:08 AM: This is truly sad, I was growing up in Las Vegas when the Luxor was being built, I even still have a newspaper with the proposed layout stored away. I'm very sad that I'll never get to actually see what the original Luxor looked like. All people see now is the bottom line, so yet again we'll get another copy and paste, cookie cutter casino/hotel... joy. Phillip Rowe wrote on October 11, 2008 08:03 PM: Weve stayed at the Luxor twice in the last 6 years, staying at Treasure Island to be more central on the strip in October 2008, couldnt wait to see our favourite Luxor, what a surprise, there was nothing special about the interior, gone was the ambiance that attracted us to the Luxor. I can only say my wife and I were very lucky to have stayed when the Luxor was still special and not just another hotel on the strip, we noted the same thing is happening to the Excaliber next door, with the nights being removed, such a shame. These themed hotels added a lot to what people expect Vegas to be, not just large hotels with big casino's looking at the profit line. On our next visit we wont make the trip down the strip to the Luxor or Excaliber as they have lost that special something they once had. Thank You Phillip Western Australia Emmie wrote on September 23, 2008 07:30 AM: Heartbreaking. I'm a "twenty-something" who goes to Vegas almost monthly with a few girls from work (for the shows), my parents (big gamblers), or the hubby for those romantic weekends! But regardless of who's going, we almost always stay at the Luxor because of it's unique atmosphere. The Pharoah's Feast was like entering an Indiana Jones movie and dining at a dig! =0) You half expect Zahi Hawass (Egyptian Antiquities guru) to walk out from behind a column and start talking about the latest find. ;) Now the "More at Luxor" is just dark, dirty, and dead. Where is the life? The atrium once opulent and rich in Egyptian decor is being stripped piece by piece into a dull lifeless neon blurr. With a Strip full of casinos and hotels, why would I stay at "more" of the same? It's true what they say, Vegas is Sin City and it truly has lost it's soul. We can only hope the MGM execs come to their senses and stop this sensless stripping of the strip. Mike wrote on July 27, 2008 12:48 PM: Im a Vegas local who stayed at the Luxor on a trip here in 2001. The wife and I went to Luxor to look around for the first time in a couple of years and were appalled at the changes. MGM's going to be screwed when black and chrome go out of style. I really fear for Excalibur - surely nothing can trend it up - Is there an implosion in its future? mike wrote on July 04, 2008 01:05 PM: If you can't bring the kids and have them entertained you can't come. My wife Loved the pool, now forget it. You only need so many bars....... I will move to MGM or NY, NY Christine wrote on June 19, 2008 12:06 AM: Just got back from visit to Vegas and stayed at the Luxor for the last time. Sad, really that the theme is now almost totally gone. Hey, let's keep the Pyramid black, and add in some metal chrome on the walls, and glass in the bars! Oh, and we'll think up some glamorous "hip" names for 'em like, "Blur," "Swank," and oh, genius, "Derrierre!" Jerks like this want every place to look "high-end." Every hotel on the Strip now matches each other! Frikkin genius! My new home on the Strip is now going to be New York, New York, one of the last great themed hotels. Steve wrote on May 25, 2008 08:18 AM: I have to agree that they've totally wrecked the Luxor. I can see where a makeover was due and they could have scrapped some of the theme but basically the entire floor of what was the casino is now just 5-6 bars/lounges and mostly table games. I don't see how this is going to improve revenues. Take out most of the slots which are the main source of money and replace the floor with Martini bars? People can get free drinks by gaming. Why pull out the revenue generators and replace it with another tired, Vodka bottle shrine where they'll make maybe $10/hour per person tops? Doesn't make financial sense. Once again, the 20 something demographic calls the shots in America to the determent of everybody else. I guess the real message here is if you're over 29 and you want to come to Vegas to do a little gambling, this isn't the spot for you. If you want to stand around with 25 year olds drinking in a club, why pay to get in the club, we'll bring the club to you, whether you want it shoved down your throat or not. I'm sure it had a lot to do with Chris Angel coming to the Luxor but just one look at what he's become recently and I guess they go together. I thought the Mr. T, over-blinged look went out a while ago. I think the suits in Vegas have to take a long hard look at what they're doing before they alienate the majority of their revenue stream. Lounges may attract the college set during spring break and summer but who are they going to rely on the rest of the year. Adam wrote on April 25, 2008 08:51 AM: Just stayed there and I miss the "theme" it had last year... I went there to get egyptian themed things... and now they dont have any... Read All Comments