Larry Flynt gets Normandie Casino deal
July 25, 2016 3:14 PM
by Phil Hevener
Larry Flynt won a high-stakes gamble with Gardena, Ca., over the future of the the city’s oldest casino after the City Council voted last week night to give him the economic package he sought for his newly acquired business.
The adult entertainment mogul bought the gaming license for the former Normandie Casino for an undisclosed price. Flynt, who already owns the nearby Hustler Casino, said he planned to spend at least $60 million over the next four years to renovate the aging facility and rename it Larry Flynt’s Lucky Lady Casino.
But Flynt threatened to shut down the casino and sell the license after the City Council voted to grant tax breaks to the Lucky Lady only if Flynt paid the city at least $800,000 a month from both casinos, according to a Los Angeles Times report.
Previously, casinos have had to contribute 12% of their monthly gross revenues to the city. In 2014, the Hustler and Normandie, the only two casinos in Gardena, paid the city about $9.5 million. The minimum monthly payments of $800,000 a month would amount to $9.6 million a year.
Evan Roosevelt, a spokesman for the Flynt Management Group, said the objection “wasn’t the amount, it was the monthly guarantee.”
The Normandie Casino had been owned by the Miller family since 1947, but several members pleaded guilty this year to shielding several high-rollers from federal reporting requirements and were ordered to sell the casino.