The firm’s U.K. subsidiaries warned of “material” uncertainties in the fallout from the crisis, filings show, and many of London & Regional’s properties, including the Hard Rock Hotel London and the Rita Suites in Las Vegas, are closed or offering limited services following local resurgences of Covid-19.
While vaccine efforts are boosting hopes for owners of retail and office space, it’s unclear when some governments will allow workers and consumers to move freely again or how the pandemic will affect long-term demand for commercial real estate.
“If you believe that companies will bring their employees back to the office once it is safe to do so, then office real estate may escape the worst of the pandemic,” said Bloomberg Intelligence analyst Jeffrey Langbaum. “Although clearly some of the traditional operating dynamics have shifted.”
Liquidity Source
Evolution Gaming has provided a major source of liquidity during the pandemic for the Livingstones. Richard, a trained surveyor, sold shares in the company last year worth more than $500 million. London & Regional has since surfaced as a potential buyer of Texas hotels in Austin and Dallas for about $150 million as it continues to consolidate its U.S. presence.
In November, Evolution Gaming signed an agreement to partner with Caesars Entertainment Inc. to offer live casino gaming in Pennsylvania and New Jersey after earlier announcing another partnership with Wynn Resorts Ltd.’s online-betting venture. The U.S. online gambling market is expected to expand about 15% a year through 2025, according to ResearchAndMarkets.com, giving Evolution Gaming a growth outlook beyond the pandemic.
“The gambling market is migrating from land-based to online and they have one of the best products for that,” said Martin Arnell, a senior equity analyst at DNB Markets, who has a buy rating on the stock. “Within gambling globally, this is the niche to be in right now.”
This article was provided by Bloomberg News.