May 25, 2012 0
Cordish: Maryland Live! won’t hurt Hollywood Casino for long

David Cordish at The Cordish Cos. office in Baltimore. (Photo: Maximilian Franz)
A few items didn’t make it into today’s story about what developer David Cordish called an oversaturated casino market in Maryland.
Stephen L. Martino, director of the Maryland State Lottery Agency, said casino business is already starting to overlap. When Maryland Live! opens on June 6, Martino said business at Hollywood Casino Perryville is expected to lapse by 20 to 25 percent.
But Cordish doesn’t think the problem at Perryville will be a permanent one.
“I would be very surprised if, after the first three months, we have had a significant impact on Perryville,” Cordish said. During its first three months, a casino is going to attract lots of customers because it is new, he said, but eventually that levels off and stabilizes.
Cordish opposes the construction of a casino in Prince George’s County — something the legislature could discuss in a July special session — in part because it would hurt the market for his casino.
He said it’s important to give a casino time to develop a loyal customer base, an assertion backed by James Karmel, a gambling analyst and history professor at Harford Community College.
Karmel said much of the casino industry is built on establishing a loyal customer base and that process would be interrupted at Maryland Live! and at a proposed Baltimore casino if another facility was built at National Harbor before those casinos had time to settle in.
“I do think that’s a problem, especially when you add another [casino] without allowing the first two to build up a customer base,” Karmel said. “You want to give time to build up that customer base, maybe before introducing another option in the market.”


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