Clark County commissioners approve Boyd Gaming's request for an extended waiver for Eastside Cannery

Clark County commissioners have approved Boyd Gaming's request to approve a waiver of gaming license requirements for Eastside Cannery for up to two years, a property that has remained closed since the onset of the COVID-19 pandemic. The commissioners have granted the possibility of two six-month extensions as well.

The Eastside Cannery closed on March 17, 2020, and has not reopened due to a lack of demand, particularly given its proximity to Sam’s Town, another Boyd Gaming property.

“Boyd Gaming also pays millions a year in lease payments since we do not own the land on which the Eastside Cannery is located, and if the demand was there to open and cover those payments, the company would certainly do so,” stated Boyd Gaming in a document. “However, at this time, that is not the case and we will need market conditions to change in order for us to reevaluate.”

Hiring challenges further complicate reopening efforts. Boyd Gaming has over 400 open positions in the Las Vegas area and would need to hire several hundred more to staff Eastside Cannery. Despite being closed, the property incurs significant maintenance costs, with Boyd Gaming spending approximately half a million dollars a month on gaming maintenance, property upkeep, and utilities.

Clark County dommissioners supported the waiver request unanimously. Commissioner Jim Gibson commended Boyd Gaming’s maintenance efforts: “This facility is an extremely important facility along Boulder Highway and in this area. We are hopeful that at some point in time it will restore itself to commercial use.”

Dr. Amanda Belarmino from UNLV’s William F. Harrah College of Hospitality explained that maintaining the property is crucial for future reopening or sale. “With the Eastside Cannery, I think Boyd really does want to reopen it and it was a major investment for them. I think that they would like to do it. They want to make sure that the market’s right,” she said, noting that demand in the Las Vegas Valley has slowed since the Super Bowl, particularly impacting middle-class and budget travelers.

Belarmino suggested that the closure of other major properties, such as the Tropicana Hotel and the impending shutdown of the Mirage, might help boost demand and ease the worker shortage for Boyd Gaming. “Taking those rooms offline might help them with their occupancy. I’m not trying to say that Boulder Highway competes with the Strip, because it doesn’t, but it does for large events,” she said. “When the entire city is busy, [Boyd] will benefit from that.”