Press Release
December 18, 2001
LAS VEGAS, NV - - Resort Magic, a Las Vegas-based vacation ownership developer, recently completed the acquisition
of the 236 room Royal Hotel & Casino. The firm previously served as the sales and marketing agent for
the Royal Vacation Suites, its vacation ownership project.
The Royal Vacation Suites currently has approximately 2,500 owners. Resort Magic plans to develop and convert the
remaining 180 hotel rooms, representing nearly 10,000 intervals, into its vacation ownership program. Plans also
call for conversion of the current right-to-use membership product into a deeded interest product by early 2002.
According to Allen Abolafia, Chief Executive Officer of Resort Magic/TJA Marketing, "Included in the acquisition
is an adjacent property which we intend to demolish, ultimately replacing it with a purpose built timeshare tower
which will be linked with the existing hotel and include state-of-the-art amenities to rival any property in town."
Within the next month, Resort Magic plans to commence extensive renovations to the property, including improvements
to the facade and renovations of the lobby and vacation suites. A full-service restaurant "Don Antonio's Pizzeria
and Grill"opened in early November and is being operated by a long-time Las Vegas restaurateur. A major enlargement
of the casino has just been completed, including the addition of table games and a new state-of-the-art sports
book. Resort Magic's long-term plans for the property include a major enlargement and renovation of the pool area
and the addition of convention and group meeting facilities as well as a health and fitness center.
Adds Abolafia, "We are excited about transforming the Royal Hotel into one of the premier vacation ownership
properties of Las Vegas. While development activity in past years has centered around the South end of the Strip,
current plans indicate a proliferation of development on the North End of the Strip, near the Royal Hotel, as mega
resorts and well known hospitality giants announce their plans for future resorts. Resort Magic also plans to announce
the addition of another property by year's end. "
Located in the heart of the Las Vegas Strip, the Royal Hotel is in close proximity to the city's Convention Center.
Amenities include a casino, restaurant, bar/lounge, gift shop, snack bar, swimming pool, direct access covered
parking, full service concierge, valet parking and round-the-clock security.
Added Cynthia Gatto, RRP, and Chief Operating Officer of Resort Magic, "Royal Vacation Suites offers the intimacy
of a smaller resort, allowing guests and owners access to the Strip's major entertainment area. With nearly 40
million visitors to Las Vegas in 2000 and only ten timeshare resorts, there is a strong demand for additional vacation
ownership products. We believe that our extremely affordable sales price will be most attractive to the typical
Las Vegas visitor, enabling us to quickly become major force in the Las Vegas vacation ownership industry."
Resort Magic's parent company is USA Capital, a private investment firm that provides opportunities for investment
in short term and real estate secured trust deed investments. Founded in 1989, USA also originates, underwrites,
funds and services loans to home builders and developers throughout the Southwest. Its principals are experienced
in real estate financing and development. USA Capital has committed substantial resources to the future growth
of its vacation ownership division.
Contact:
Marge Lennon
at 941-482-3891 or
Cynthia Gatto
at 702-734-1117