Here is more information to digest,
If the building and business were available to be separated off and sold I would be willing to put $1 million + of my own money into the location. However the sellers have not explored this option.
The business/licenses are listed at $375,000
Link:
http://www.loopnet.com/xNet/MainSite...x?LID=18627372
The building is for sale for $3.9 Million dollars
Link:
http://www.loopnet.com/Listing/18828...-Las-Vegas-NV/
Although it is listed at $3.9 million please note that this price is very negotiable, especially given the circumstances of the tenant and landlords relationship.
The strip club takes up 4800 sq/ft of 24700 sq/ft. so approximately 20% of the total building
20% of $3.9 million is $780.000
$780,000 + $375,000 = $1.15 million
With the limited information the business owner has given us and his unwillingness to share his books, low rough estimates from gaming revenue can be estimated at $7500 to $15,000 / week. We are factoring in $0 revenue off of the tavern and $0 revenue off of the dancers.
This is an ideal situation for a group looking to invest in a redevelopment area of Las Vegas that has a franchised drive thru looking to expand, Popeyes Chicken and Terrible Herbst have both undergone major renovations across the parking lot of this location. I can utilize the gentlemens club because of my current situation with my network of dancers and webcam models that I rent residential property too. When there is 50+ dancers a night that I know working at other clubs paying $50 to $100 a night house fee. I could spin a percentage of those dancers to work at this location for free and thus discounting their rental rates in order to pick up revenue on the machines.
This club isn't a Sapphires,Rhino, Crazy Horse 3 type of club that is dependent on paying cabs in order to bring customers into the location and has a huge overhead to operate. This is a locals club that has gaming and has a higher traffic count than any other club in Las Vegas.
The bottom line is that the slot machines are a source of income now that keeps the place afloat, Given the right management and ownership team there is huge upside potential for this location. The biggest problem that most gaming taverns have is drawing in customers, however when gaming and an adult cabaret are combined it can be extremely profitable.