Non-gaming at MGM Mirage

There’s a nice interview in the LV Sun with Gamal Aziz of MGM Mirage:

The latest annual report for MGM Mirage forgoes descriptions of casino floors in favor of haute cuisine, stage performances and museum pieces.

And lest there be any remaining doubt about a new direction of the company, “Transformation” is printed boldly on the cover.

Such is one outcome of the company’s move to create a subsidiary that will focus on building luxury nongaming hotels worldwide, both on its own and through partnerships with casinos and non casino companies.

Today, the company is to announce the appointment of MGM Grand President Gamal Aziz to lead that subsidiary, MGM Mirage Hospitality LLC. Aziz will continue to oversee MGM Grand along with his new duties. Primary among them: hiring veterans of the hotel - versus gaming - industry.

Aziz, who spent 15 years with the Westin hotel chain before arriving in Las Vegas 11 years ago to assume a food and beverage position at Caesars Palace, has played a role in MGM Mirage’s desired transformation from gam ing giant to international hotel company.

Recruiting other executives from the hotel business, Aziz fostered a melting pot of ideas at MGM Grand that helped transform the casino’s Disneyland atmosphere into a less-themed luxury hotel befitting discriminating travelers.

What might seem like a sudden love affair with all things nongaming is instead a long-term business strategy driven by customer demand, Aziz said in an interview .

Is MGM Mirage’s changing focus from a gaming company to an international hotel brand a byproduct of growth or does it reflect a new business strategy?
Las Vegas SUN: Q+A: Gamal Aziz

Very interesting. It’s clear that MGM Mirage is doing the right thing by diversifying into non-gaming–though they have plenty of opportunities for casinos with recent proliferation, they have the opportunity with their well-placed Las Vegas flagships, to start many “brands” if they choose.