Route to Recovery

A trip through the epicenters of the recession

Home of the low rollers

Nov 6, 2009 15:20 UTC

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Photos by Lucy Nicholson

LAUGHLIN, Nevada – There is an name for the kind of gambler that comes to this town in this northern southern tip of the state: “low rollers.”

Las Vegas, some 90 miles to the north, is infinitely more famous,action-packed and expensive. Laughlin is calmer, cheaper and caters to a different crowd, mostly retirees from California or “snowbirds” – a somewhat derogatory term for retirees from northern states who flock here for the winter – who have settled here.

“This ain’t Vegas, Toto,” said John “Mac” McCollum, a realtor over the Colorado River in Bulhead City, Arizona, who refers to the Laughlin crowd as “Q-tips and erasers” (“lots of white hair or none at all,” he explains).

Casinos love high rollers, who spend big and gamble big, looking for a good time, late nights and a lot of fun.

Their more lowly kin are a sedentary bunch on fixed incomes. They drink less, party less, tip less and – most importantly for the gambling industry – they gamble less. They are an interesting bunch to observe, quietly and intently wiling away the hours gambling, often sitting on their own at slot machines.

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A few miles away from Laughlin proper is the Avi Resort & Casino, which is owned by the Fort Mojave Indian Tribe. The tribe (and duty manager Jay Johnson, a really pleasant, easygoing man) let Lucy Nicholson wander about to take pictures of the clientele after the security guards had outlined certain restrictions on what she could and could not photograph.

Over the course of an hour Lucy found that the average age of the people she photographed was about 85. Amusing themselves by gambling while they await death in Laughlin, they really didn’t care whether she took their pictures or not.

In the meantime I found myself, purely by accident, at the bar, where the bartender had to shout at his elderly customers to make himself heard, even though we were somewhat removed from the constant cacophony of slot machines and other devices with flashing lights, bells and whistles designed to coax money out of your wallet.

Welcome to the world of the low roller. Vegas it most certainly ain’t, Toto.

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COMMENT

i think the article is an outrage. it is very insulting towards people of a certain age who still have fun and refuse to sit by the window. The article provides an extreme unhealthy insight look into the almost fascist brain of the author who wants old(er) people to go in hiding. He paints a world where the older/senior citizen doesn’t fit anymore. We – rather young visitors from europe – visit Lauglin and Nevada each year in summer and we enjoy the entertainment, the excitement. Why shouldn’t THEY enjoy it too!Please chief – editor, correct this author. And let him (or here) apoligize to the group of people he/she insulted.

Posted by mike holland | Report as abusive

After seven months out of work, a return to self-esteem

Nov 6, 2009 14:14 UTC

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BULLHEAD CITY, Arizona – The past seven months have not been easy for Eric Musser.

In March, Musser lost his job as a blackjack dealer for the second time in six months. The first time was in September last year, when casinos over the river from here in Laughlin, Nevada, were hurting as the economic downturn led to fewer gamblers. Musser, 27, was taken back in December, with fewer shifts and less money, before he was laid off again.

“It’s been a tough time for us,” he said. His girlfriend is studying to become a dental assistant and they have a three-year-old son, so the loss of income has been hard to come to terms with. They have had to live apart in rented rooms because they could not afford to live together.

But trying to find a job has been even harder.

“I applied everywhere for a job – Del Taco’s, K-Mart, Pizza Hut, Domino’s, Lowe’s,” he said, rattling off a list of retail and fast food establishments. “But I never got a single call back.”

“I never had trouble finding a job before,” he added, standing outside the mobile home where he rents a room with his dog Lady, a midsize brown mutt with a dusty coat and good nature. “When you keep trying like that and can’t find a job, your self-confidence and self-esteem start going down the drain.”

A week and a half ago Musser got an audition at the Riverside Casino, where staff observed him as he manned blackjack and roulette tables with real customers. He was hired on the spot at $7.55 an hour.

“It feels really good to be back at work.”

Musser said the Riverside is the best casino in town with the best tips – he made $350 in his first three days there.

“Now I’m going to save up and if everything goes well in January I’ll find my own place to rent so we can live together as a family again,” he said.

Photo of Eric Musser by Lucy Nicholson

For more stories from the Route to Recovery, click here

Despite two foreclosures, Bob is still singing

Nov 6, 2009 13:44 UTC

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BULLHEAD CITY, Arizona – Talking to Bob Kriegh you’d never guess that he had to foreclose on the two homes that were meant to pay his mortgage.

Kriegh is 84 but looks younger. Prior to his 30 years as a computer programmer, he was a singer, including he says with the Washington Opera Company in the 1940s. His business card says “Singing Bob.”

With a chiseled face, pale blue eyes and an unhurried, gravelly voice, Kriegh proved his singing capabilities with an impromptu show tune, though he said his advancing age had robbed him of the ability to commit new songs to memory.

“I’m just a wrinkled old prune,” Kriegh said, standing in the empty living room of one of the homes that went into foreclosure in July. “But God has taken care of me despite all that I’ve done to myself over the years and will take care of me now.”

Kriegh bought a mobile home on this lot 10 years ago for $17,500 when Bullhead City was experiencing rapid growth. Foreclosures and job losses amid a hard recession and housing crisis have brought that growth to an abrupt halt – for now at least – shaving more than 50 percent off median house prices hereabouts.

In 2005 he sold the home to a woman for $35,000 and financed the loan himself. She tore out the mobile home and built this house. But she never made a single mortgage payment to Kriegh, who started foreclosure proceedings in February of this year.

Now he has it on the market for $69,900, which he said would take care of the legal fees and other expenses he has incurred on the property over the past four years.

“This home will sell eventually,” Kriegh said. “I may not make a profit out of it, but I will at least get my money back.”

Just a stone’s throw from this house is another home that he sold for $50,000 in 2007. Again, he acted as the bank on the deal. But the buyer took six months’ rent on the property from a tenant and, after making a couple of interest-only payments, he stopped paying.

The house was foreclosed on in July. The tenant has lost his job at one of the casinos over the river in Laughlin, Nevada, and is working part-time jobs until he finds a new one, so Kriegh is letting him stay there for now.

“He’s a good man and he’s trying hard to find a job. I’ve taken it easy on the rent because he’s finding it hard to make ends meet. I’ll wait a while before I try to sell that house because I can’t throw him out, not while he’s down on his luck.”

Photo of Bob Kriegh by Lucy Nicholson

For more stories from the Route to Recovery, click here

Native Americans look to renewable energy as casinos struggle

Nov 5, 2009 16:54 UTC

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LAUGHLIN, Nevada — Like the rest of Nevada’s casinos, the Fort Mojave Indian Tribe’s Avi Resort & Casino in the south of the state has been hurt by a slow economy that has resulted in fewer gamblers coming to try their luck.

But as President Barack Obama touts renewable energy and “green jobs” as a way to rejuvenate the ailing economy, the tribe is hoping to hit a jackpot of its own in alternative energy.

“Gaming can’t be the sole source of income for our tribe,” said tribal vice chairman Shan Lewis. “Whether it’s this generation or the next generation, it isn’t always going to be able to support us.”

Though Lewis said plans to diversify, in particular the development of solar power in the desert, date back some years and are not related to America’s longest and deepest downturn since the 1930s, the tribe’s casino business is clearly hurting.

State gambling profits fell 9 percent in August to $847 million from $934 million a year earlier, according to the Nevada Gaming Control Board. In Laughlin, profits fell 13.8 percent to $38 million — the 20th consecutive month of declines.

“The drop in revenue has affected the tribe in general because we use that money to sustain our way of life,” Lewis said. The Fort Mojave Indian Tribe has around 1,300 members in California, Nevada and Arizona.

To cut back, the tribe has reduced shifts at its casino but has tried to avoid layoffs, Lewis said. The Fort Mojave Indian Tribe has also had to shelve plans for a new casino facility in California because of the credit crunch.

“There are just not a lot of institutions out there lending any money right now,” Lewis said. “We feel it’s a great project, we think it’s eventually going to move forward but we’ll have to take a little break there for a while.”

Much of the tribe’s focus is now on lobbying the government for incentives to invest in renewable energy sources, plus upgrade the transmission system so that electricity generated by the tribe could be sold elsewhere.

“If the government wants to see a renewable project out here,” said Jeff Castillo, economic development officer for the tribe, “we can make it happen.”

Click here for more Route to Recovery stories.

Photo by Lucy Nicholson

COMMENT

i think the industry just has to reevaluate its efforts to make their business more profitable. sure, the casino industry is hurting with our downward economy, but every industry takes a hit every now and then.
renewable energy can be a great way to make more money for the tribes, but then again, maybe not. it’s all about making smart and clever business decisions.

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