The bankrupt Revel casino hotel in Atlantic City, US, has terminated its $95.4m deal with Florida-based investor Glenn Straub.
If US Bankruptcy Judge Gloria M Burns approves the move - which also means that Revel would keep Straub's $10m deposit - it will be the second time a bankruptcy sale of the $2.4bn Revel has fallen through.
Brookfield Asset Management of Canada walked away last year from a deal to buy Revel for $110m, abandoning its $11m deposit. Keeping $21m in deposits and still owning the property sounds like a good deal for Revel but fees for lawyers and other professionals have reached $16m since the bankruptcy filing last June.
It is unclear what will happens next for a resort that opened in April 2012 amid expectations that it would help revive Atlantic City's casino industry. Instead of attracting new visitors, as Borgata did when it opened in 2003, Revel siphoned gamblers away from other casinos, failing to increase the market, according to industry analysts.
The casino, in its second bankruptcy, has been financially toxic. For sale since November 2013, Revel got no acceptable offers until Straub made his original bid of $90m in September.
