In a surprise move, Jacobs Entertainment outbid local developer Marmot Properties for the Bonanza Inn in downtown Reno after initially stating it was no longer bidding on the property.
Jacobs bid $3,005,000 for the property at a probate sale on Friday, surpassing a previous purchase agreement made by Marmot for $3 million.
Jacobs Entertainment, which owns the J Resort hotel-casino and is also developing the Reno Neon Line District project , plans to turn the old motel into a property for workforce housing, according to CEO Jeff Jacobs.
“We will continue to move forward with chartering a new path for Reno’s Neon Line with the creation of high quality housing options as a key component of that vision,” Jacobs told the Reno Gazette Journal.
“To that end, we are very excited to have secured the Bonanza Inn at today’s probate auction to move forward with our plans to deliver approximately 50 units of quality, workforce housing to improve the uninhabitable current structure.”