Long-Vacant Atlantic Club Finally Faces Promising Redevelopment
After sitting abandoned for more than a decade on Atlantic City’s famous Boardwalk, the former Atlantic Club Casino Hotel may finally be on the path to redevelopment as state officials step in to break a longstanding impasse. The once-vibrant property, which has cycled through multiple failed proposals since closing in 2014, could soon be transformed into a mixed-use “condo-tel” development under plans now being overseen by New Jersey authorities.
The New Jersey Department of Community Affairs has taken jurisdiction over the redevelopment plan, according to WPST, potentially ending years of delays that have left a prominent Boardwalk property deteriorating at the southern end of the city’s tourism district. This state intervention comes after the developer alleged persistent obstacles from local officials had stalled the project.
A Bold Vision for the Abandoned Property
Rocco Sebastiani, president of Colosseo Development Group, has outlined ambitious plans for the former casino. “One tower would become a 330-room hotel under either the Hyatt or Hilton brands. The other would consist of 108 residences, ranging from 1,700 to 3,300 square feet,” Sebastiani explained in comments reported by WMGK.
The “condo-tel” concept would create a dual-purpose facility, bringing both visitors and permanent residents to a section of the Boardwalk that has seen limited development activity in recent years. While the Tropicana Casino Resort sits several blocks north, the Atlantic Club marks the beginning of the quieter Lower Chelsea neighborhood, known for its more residential character.
City officials have not publicly responded to the state’s decision to assume oversight of the project, though the development group has claimed that resistance from Atlantic City’s construction department has been a primary obstacle to moving forward with their plans.
It’s fascinating that the most blighted city in New Jersey is… Atlantic City. Like, it’s a dense urban environment with blocks of empty, ocean front real estate, with failing 40 story casinos interspersed. pic.twitter.com/Sr11oQbIzM
— Northeast Urbanist (@skytopjf) May 2, 2023
A Decade of Failed Attempts
The Atlantic Club’s history of false starts and abandoned projects has made many locals skeptical about new announcements. The property, originally opened as the Golden Nugget in 1980 and later operating as the Hilton before its final rebrand, closed its doors in January 2014 as Atlantic City’s casino market contracted dramatically.
Since then, multiple proposals have come and gone. Around 2019, there was significant discussion about converting the property into an indoor water park and family entertainment complex, but that plan collapsed despite substantial publicity. Various other concepts, including senior housing, have also been floated without materializing.
“Let’s hope the state takeover of oversight and this development group can make something happen after so many other plans have fallen through,” noted WPST in their reporting on the latest developments.
golden nugget casino, atlantic city, new jersey, 1985 pic.twitter.com/zh9r7rrpey
— old roadside pics (@oldroadside) June 25, 2023
Impact on Atlantic City’s Southern District
The revitalization of the Atlantic Club could significantly impact the character of the southern end of Atlantic City’s Boardwalk. Currently, this area serves as a transition zone between the commercial casino district and the more residential Lower Chelsea neighborhood, with its “beach town feel” and the iconic Knife and Fork Restaurant marking the boundary.
For residents and regular visitors who appreciate the quieter atmosphere of this section, the development represents a mixed blessing. “For those of us who frequent Atlantic City and enjoy the quieter side of town, this news is a mixed bag. We like the quieter end of AC to remain quiet, but when you have a big empty former hotel/casino right on the boardwalk, it gets a little dingy looking,” observed WPST’s report.
Broader Context of Atlantic City’s Evolution
The potential redevelopment comes as Atlantic City continues efforts to diversify beyond gaming and improve its marketing approach. In early February, Visit Atlantic City announced it had completed the integration of the “DO AC” marketing brand under the Visit Atlantic City umbrella, consolidating the city’s promotional efforts.
“There’s been a push for this for a while,” Visit Atlantic City President and CEO Gary Musich told NJBIZ. “Atlantic City is working on perception issues that have been developed due to a lack of messaging. No news is not always good news. So, this is going to help that.”
This marketing consolidation, coupled with potential new investment in previously abandoned properties, signals ongoing efforts to reshape Atlantic City’s image and economic foundation nearly a decade after five of its twelve casinos closed in 2014.
Looking Forward
While the state’s intervention offers new hope for the Atlantic Club property, significant hurdles remain before the “condo-tel” concept becomes reality. Financing, construction timelines, and market conditions will all influence whether this latest proposal succeeds where others have failed.
For now, the iconic white towers of the former Atlantic Club continue to stand empty on the Boardwalk, a reminder of both Atlantic City’s glamorous past and its challenging transition to a more diversified future beyond gambling alone.
