Venetian, Palazzo deal with major hotel operator ending Jan. 1
A partnership between two luxury properties on the Las Vegas Strip and one of the largest international hotel brands will conclude at the end of the year.
The Venetian and Palazzo hotels’ affiliation with InterContinental Hotels Group will end on Jan. 1, the latter’s executive group said during an earnings call Tuesday. The two sides had entered into a 10-year agreement in 2010 that was later amended to a 15-year deal.
The partnership allowed IHG rewards members to take advantage of certain perks or use their points to stay at The Venetian or Palazzo.
“Although the end of this agreement will remove 7,092 rooms or approximately 0.7 percent from IHG’s overall system size in 2025, the unique nature of the fee structure under this particular licensing agreement means it contributed less than $1 million or 0.1 percent of IHG’s revenue from fee business in 2023 and a net nil contribution to operating profit from reportable segments,” IHG representatives said.
Elie Maalouf, chief executive of IHG, noted that the “ending of that agreement will have no effect” on the company’s profit and loss figures.
“The legacy agreement is from 15 years ago, and we (are) a very different company from 15 years ago,” Maalouf said Tuesday.
Apollo Global Management, operator of The Venetian and the Palazzo, did not respond to a request for comment.
Several Las Vegas casino operators have licensing and cross-promotional arrangements with hotel brands.
David Danzis can be contacted at ddanzis@reviewjournal.com or (702) 383-0378. Follow AC2Vegas_Danzis on X.