Oyo Hotel & Casino

The hotel was originally a Howard Johnson's Motor Lodge. Construction began in September 1972.[1] It was developed at a cost of $8 million,[2] by a group of local businesspersons led by Paul Oesterle.[1] It was built along Tropicana Avenue, just east of the Las Vegas Strip and adjacent to the Tropicana resort.[3] The Howard Johnson Hotel opened on July 26, 1973.[4][5] A gaming license was issued for the property later that year, allowing the operation of 150 slot machines.[6]

The hotel included 332 rooms,[2] spread across a 10-story tower and two-story bungalows.[7][8] By 1974, Oesterle had plans to expand the hotel by adding three additional 10-story towers with 544 new rooms.[9] However, his company Oesterle Nevada soon declared bankruptcy as it was unable to pay its debts.[10] Eureka Federal Savings and Loan, holder of the hotel's mortgage, foreclosed on the property and bought it at auction for $7.7 million in March 1975.[11]

In September 1975, Eureka sold the Howard Johnson's to Bernard Nemerov, a former part owner of the Riviera casino, for $10 million.[12] Nemerov renamed it as the Paradise Hotel.[12][13] He reopened the property's casino on New Year's Day 1976.[12][13] Five months later, the Paradise was targeted in a credit scam by 54 mobsters associated with the Philadelphia crime family.[14] The scheme left the casino with insufficient cash to operate, and it was forced to close and went bankrupt.[14]

The property was purchased in 1977 by a group led by New York businessman Andrew DeLillo, who then renamed it as the 20th Century.[15][16] It was later sold to Herb Pastor, owner of the Coin Castle and Golden Goose casinos in Downtown Las Vegas, who renamed the 20th Century as the Treasury Hotel.[17][18] At that time, the property featured a country western theme.[19]

Former football player Gerry Philbin purchased the Treasury in 1982 for $20 million; the casino closed at that time because Philbin had not obtained a gaming license, though the hotel continued to operate.[20] By the end of the year, Philbin was forced to put the hotel into Chapter 11 bankruptcy protection.[21]

In 1985, the DeLillo family regained ownership of the Treasury through foreclosure and renamed it as the Pacifica Hotel.[22] It was announced that the Pacifica would be marketed to gay travelers, but this plan proved controversial and was soon abandoned.[23][24] Later that year, the Pacifica was renamed as the Polynesian Hotel.[22]

San Remo in 1996

The property in 2007, following the Hooters conversion

In 1989, it was purchased by Sukeaki Izumi, a Japanese industrialist and hotelier, who renovated it with an Italian Riviera ambience and renamed it the Hotel San Remo.[25][lower-alpha 2] He paid a reported $30 million for the purchase and renovation.[25] During its initial years, the San Remo was affiliated with the Ramada hotel chain.[26][27] It became popular as a bargain property.[28] A second hotel tower, rising 18 stories, was finished in 1991. It brought the total room count to 711,[29][30] and the San Remo now employed 600 workers.[31]

In 2004, Izumi's company, Eastern and Western Hotel Corp., began looking for opportunities to grow the hotel. The company sought to take advantage of heavy development that had occurred at the nearby Tropicana – Las Vegas Boulevard intersection since 1989.[32][33] Hooters approached with a redevelopment proposal.[32] Ultimately, a group of nine partners in Hooters of America acquired a two-thirds interest in the property, which was put under control of a joint venture, 155 East Tropicana, LLC.[32] Plans were announced in August 2004 to redevelop the San Remo as a Hooters brand casino and hotel.[32] Hooters of America, owner of the Hooters trademark, would receive 2% of revenue as royalties.[34]

Of the property's many names, San Remo had the longest run.[35] Hooters launched a nine-month, $130 million renovation in 2005, as part of the rebranding effort. The entire property was renovated, including its hotel.[35][36] The room count was reduced to 696, the result of several units being converted into suites.[37]

Hooters Casino Hotel opened on February 2, 2006,[36][38] the weekend of Super Bowl XL. The opening was low-key for a Las Vegas debut, with a handful of celebrities in attendance, such as TV personality Brooke Burke.[39][40]

Roadside sign

A Hooters Girl table dealer

The casino included an on-site Hooters restaurant. Former Miami Dolphins quarterback Dan Marino also opened a steak and seafood restaurant known as Dan Marino's Fine Food and Spirits.[36][41] The hotel-casino employed 1,000 workers,[42] including more than 200 of the restaurant chain's signature Hooters Girls,[43] who worked at the property as waitresses, bartenders, cocktail servers, and casino dealers.[36]

The hotel-casino was promoted at more than 100 Hooters restaurant locations.[44] The property struggled in its early years, but still proved to be more profitable than the San Remo.[44][45] Roughly 80 percent of its clientele was male.[46] The Hooters brand was found to be a turn-off for female gamblers,[44][47][48] as well as wealthy tourists and business travelers. The property also appealed to a younger demographic, whereas casinos generally relied on a middle-age clientele. To increase profits, the property added new slot machines and began marketing to an older demographic.[44] Hooters began to turn a profit in 2007, after taking cost-cutting measures, such as staff reductions.[49] The casino was popular for its $3 minimum blackjack, and its Hooters restaurant was the chain's most profitable location.[3]

During 2007, 155 East Tropicana accepted an unsolicited offer from Hedwigs Las Vegas Top Tier, a joint venture of NTH Advisory Group and Silverleaf Real Estate, to buy the property for $225 million (including assumption of $130 million in debt).[50] Hedwigs planned to redesign and rebrand the casino once again, as a "lifestyle, entertainment-driven boutique hotel".[51] Analysts called the agreement "curious" given Hooters's poor earnings performance.[50] The deal fell through in June 2008 when Hedwigs failed to make a required payment.[52] Profits fell again that year, due to the Great Recession.[45]

With revenue declining, the casino began defaulting on loan payments in April 2009.[53] Canpartners Realty Holding Co., a subsidiary of Canyon Capital, bought up much of the company's debt at a heavy discount and planned to foreclose on the hotel.[54] The owners, seeking to block foreclosure, filed for Chapter 11 bankruptcy in August 2011, listing only $63 million in assets against liabilities of $163 million.[55][56] After a planned February 2012 auction attracted no outside bidders, the bankruptcy court approved Canpartner's $60 million credit offer for the property, with the sale expected to close around March 30.[57] The Navegante Group was approved to manage casino operations, while Canyon Capital said it was seeking a major hotel chain to take over and rebrand the property.[58]

In May 2015, Canyon Capital sold the casino to Trinity Hotel Investors, based in New York, for $70 million.[59][60] At first, Trinity was expected to rename the property and place it under the management of Holiday Inn,[61] but they later decided to retain the Hooters branding.[62] Trinity hired Paragon Gaming to replace Navegante as the property's operator in 2016.[62][63]

Joystixx, a 21-and-over video game lounge, had opened in 2011,[64][65] but it saw minimal success and was replaced a year later by the Saloon, featuring live music.[66][67] The Saloon was added as part of a property-wide remodel.[66] Another renovation, costing $18 million, was underway in 2017. The project included makeovers of the casino floor and hotel rooms.[68][69] The world's largest Steak 'n Shake restaurant, with seating for 200 people, opened inside the Hooters casino in 2018.[70][71]

In August 2019, Oyo Hotels & Homes partnered with New York-based investment and management company Highgate to purchase the property for $135 million. They announced plans to rename it as Oyo Hotel & Casino Las Vegas,[lower-alpha 1] while retaining the Hooters restaurant.[72][73] The Oyo rebranding process began on September 16, 2019,[74] and included restaurant upgrades as part of a $20 million renovation.[75] The casino floor is 30,000 sq ft (2,800 m²).[73]