Sports betting has been all the rage in Atlantic City casinos since it became legalized in New Jersey last year. Aside from in-house amenities, there is never going to be a massive difference between sportsbooks, so most casual gamblers probably won’t go wrong with whatever casino they are visiting at the moment.* Place a bet, get your ticket, cross your fingers. Patrons of the Golden Nugget, though, likely noticed something missing: NBA games.
The law currently on the books in New Jersey puts a very specific restriction on the Golden Nugget. It’s owner, Tilman Fertitta, also owns the NBA’s Houston Rockets. Because he owns at least 10 percent of the team, his casino is prohibited from taking bets on any NBA contests.
It looks like those binds are soon to be loosened, though, as the state legislature has passed a bill that would amend that limitation. Rather than a complete ban on taking bets from an entire league’s games, a casino owned by someone with a 10 percent stake in a team will only be prevented from taking bets on games involving that team. So the Golden Nugget could spread NBA bets except for games in which the Houston Rockets are playing.
The first draft of New Jersey’s sports betting bill completely shutout the Golden Nuggets from sports betting, but Fertitta lobbied for his inclusion and it was changed to what it is now.
Other casinos likely checked their financials and organizational structures to make sure they weren’t subject to the prohibition, too. Joshua Harris, for instance, owns the NBA’s Philadelphia 76ers and the NHL’s New Jersey Devils and is also the co-founder and managing director of Apollo Global Management. Apollo happens to own part of Caesars Entertainment. Caesars and its casinos are ok, though, because Apollo’s stake is less than 10 percent.
MGM, owner of the Borgata, owns the WNBA’s Las Vegas Aces. But because the Aces’ revenue makes up a fraction of a percent of MGM’s revenue, there is no realistic conflict of interest and the Borgata’s sportsbook can take WNBA bets.
One would think it is a given that New Jersey Governor Phil Murphy will sign the bill. A5463 passed through both the Assembly and Senate with almost no opposition, earning just a single “Nay” vote.
It should be obvious that the Golden Nugget was put at a severe disadvantage because of the NBA restriction, but the New Jersey Department of Gaming Enforcement’s figures indicate that the impact may have been great. Total handle (amount wagered) on basketball in New Jersey since sports betting’s legalization has been $854.58 million, by far the most of any sport. Football, an immensely popular betting sport, has had more than $200 million less handle. The Golden Nugget has only made $539,503 on sports betting year-to-date, the second lowest total of any of the state’s sportsbooks.
*It’s a different story if you are line shopping, but if you are doing that, you aren’t that much of a casual gambler.
