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In Recession, Vegas Eateries Can't Beat Odds

By Jason Farago,  Newser Staff

Posted Jul 15, 2009 6:14 AM CDT

(Newser) – Just a year ago, 25% of the country's highest-grossing restaurants were in Las Vegas—where diners ran up $15,000 checks and tipped waiters with wads of C-notes. But now restaurants are closing, new construction languishes half-finished, and more than 5,000 food industry workers have lost their jobs. "It was gold, and suddenly it became fool’s gold," one restaurateur tells the New York Times.

One Vegas chef observes that his casual restaurant has seen the average check drop from $70 to "in the $40s," while his pricier formal establishment has been shuttered. Many are anxious about the opening of CityCenter, the mammoth MGM development with no fewer than 30 restaurants, which may cut further into revenues. "Now, everyone is vying for a part of a shrinking pie," one chef tells the New York Times.

Alex, a Las Vegas restaurant with two Michelin stars, has scaled back its hours of operation as business recedes.
Alex, a Las Vegas restaurant with two Michelin stars, has scaled back its hours of operation as business recedes.   (PRNewsFoto/Wynn Las Vegas)
Las Vegas restaurants are facing a severely weakened market.
Las Vegas restaurants are facing a severely weakened market.   (AP Photo/ Marlene Karas)
A waitress arranges the table at The Pearl restaurant at the MGM Grand in Las Vegas on Monday, Feb. 4, 2008.
A waitress arranges the table at The Pearl restaurant at the MGM Grand in Las Vegas on Monday, Feb. 4, 2008.   (AP Photo/ Marlene Karas)
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COMMENTS
Showing 3 of 4 comments
paul123
Jul 15, 2009 4:04 AM CDT
5000 have lost jobs...trickle down effect?
wwwonderer
Jul 15, 2009 3:58 AM CDT
Well. Goldman Sachs? :-o
NewserHound
Jul 15, 2009 3:05 AM CDT
Who hasn't in this economy...

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