Adjusting Expectations for MGM
It’s been five years since MGM Springfield opened its doors amid considerable pomp, circumstance, and rides in a Rolls-Royce down Main Street.
There are times when it seems like those five years have flown by. Most of the time, though, it seems like it’s been much more than five years; a global pandemic that reached this region only 18 months after the casino opened its doors and closed the facility for several agonizing weeks will do that.
In any case, five years is a good time to take stock and assess what the casino era has brought to Springfield and the surrounding region — and what it hasn’t — and to gauge what we can and should expect moving forward.
Starting just a few hours after it opened, when it was clear that opening-day crowds simply were not going to be what officials at MGM had hoped and expected they would be, the casino era has been about adjusting expectations. And they needed adjusting because they were unrealistic to begin with — when it comes to everything from visitation to gaming revenues (although they have been better of late); from employment numbers to the manner in which we thought MGM was going to provide a real boost to the tourism industry.
Why those expectations were so high is a matter of conjecture. In part, it’s because of what we were told. But another part is what we wanted to believe. In short, we thought MGM was going to be … here comes that phrase: a game changer.
Five years later, it’s clear that the nearly $1 billion development has not been a game changer and probably won’t be. But it has been, and will continue to be, we believe, a solid and important addition to the region’s business community and its tourism and hospitality sector.
MGM simply hasn’t brought a lot more people to Western Mass. — except to visit the casino for several hours, get back in the car, and then go back to where they came from. In that respect, there hasn’t been much of the trickle-down effect that most of us expected.
The notable exception, as we’ve seen this spring and summer, has been the music and comedy shows that have brought good crowds and become a real boon for restaurants and clubs in the downtown area.
Beyond this, the casino has not had much of an impact on downtown or the tourism industry and individual attractions such as the Basketball Hall of Fame. Nor has it had much, if any, impact on economic development in the area around the casino. Indeed, beyond a new CVS and a Wahlburger’s on Main Street, there hasn’t been any new development that can be tied to the casino.
That’s not to say the casino hasn’t contributed to progress in Springfield; it has pumped money into Union Station, for example, and been a key player in the long-awaited revitalization of the former Court Square Hotel as well.
Moving forward, we expect that MGM will continue to be what it has been: a key contributor to the local economy and an important part of the proverbial big picture. But not a real game changer.