Affinity Interactive CEO defends Primm casino closures amid family criticism and job losses

Mix Vale

The executive leading the shutdown of three iconic casino properties in Primm, Nevada, defended the controversial decision before state gaming regulators, citing unsustainable financial losses. Scott Butera, CEO of Affinity Interactive, told the Gaming Control Board on Thursday that continued operations at the border town facilities were no longer viable. The announcement affects 344 workers who will lose their jobs when Primm Valley Resort & Casino closes its doors on July 4, marking the end of an era for the once-thriving gambling destination.

Primm, located just across the California-Nevada border, operated three bustling casino hotels that served as affordable alternatives to Las Vegas for decades. The town attracted travelers and gaming enthusiasts seeking lower-priced entertainment and convenient access from Southern California. However, the landscape has changed dramatically in recent years as regional gaming options expanded throughout California and other neighboring states.

Company cites persistent financial losses despite investment efforts

Butera emphasized that Affinity Interactive exhausted multiple strategies to revive the struggling properties. The company invested substantial capital in infrastructure improvements, marketing campaigns, and facility upgrades over nearly 15 years of operation. “It’s been losing money, and we’ve been investing a lot of money over the years to no avail,” Butera stated during the regulatory hearing. “We’ve tried many things there, including building a new sign and new slot machines.”

The executive’s testimony revealed the depth of challenges facing the Primm operation. Despite technological upgrades and promotional efforts, the properties failed to generate sufficient revenue to cover operational costs. Affinity Interactive and its principal owner, New York-based private equity firm Z Capital, have leased and operated the Primm facilities since acquiring management rights. The company’s decision to exit represents a significant retreat from a once-profitable market segment.

Gaming Control Board expresses serious concerns about community impact

State regulators responded to the closure announcement with notable skepticism and concern. Mike Dreitzer, chair of the Gaming Control Board, pressed Butera on the decision’s ramifications for the surrounding community. “This is of critical importance to the state, and good faith is not only requested, but it’s required,” Dreitzer emphasized during the hearing. The board indicated it would monitor the situation closely as developments unfold.

Dreitzer’s statements reflected broader concerns about employment, tax revenue, and the economic ecosystem dependent on the casino properties. The Gaming Control Board maintains oversight authority over licensed operators and can impose conditions on closures affecting significant employment bases. However, Butera assured regulators that Affinity is coordinating with property owners and potential buyers. “We’re hoping that we’ll have a transition on the property, but we are exiting as the tenant,” he explained.

Primm family denounces closure and pledges revitalization efforts

The founding family behind the Primm name issued sharp criticism of the closure decision. Cory Clemetson, president of the landowner group and grandson of town founder Ernie Primm, expressed disappointment with the operator’s choice. “If the Primm properties go dark, so does the welcome they have provided over the decades,” Clemetson stated. His comments underscored the emotional and historical significance of the casino complex to the family legacy.

Clemetson emphasized that allowing the properties to close without exploring alternatives contradicted family values. The landowner group, which maintains ownership of the real estate while Affinity operated the casinos under lease agreements, indicated active pursuit of revival options. “Be assured that we’re working toward a revitalized Primm and a return to better days,” Clemetson declared. The family’s involvement suggests potential for new operators or business models to emerge.

  • Whiskey Pete’s closed in December 2024 as first property shutdown
  • Buffalo Bill’s Resort & Casino scaled back to special-event operations in July 2025
  • Primm Valley Resort & Casino scheduled for July 4, 2026 closure
  • 344 jobs eliminated across final property shutdown
  • Affinity Interactive cites potential buyer interest in facilities

Industry experts point to changing gaming landscape as core factor

Amanda Belarmino, an associate professor of hospitality at UNLV, provided context for Primm’s decline. The expert noted that the location experienced gradual deterioration over 15 to 20 years as market conditions shifted. “A lot of people used to stop there,” Belarmino explained. “Since casinos are more readily accessible, Primm lost some of that appeal.” The observation highlights how expanded gaming options in California and other states eroded Primm’s competitive advantage.

The border town’s original appeal rested on its strategic position as the first Nevada gaming destination for California residents. Travelers heading to Las Vegas frequently stopped for fuel, meals, and gambling at the three properties. However, the proliferation of tribal casinos in California, combined with changing travel patterns and economic pressures, gradually diminished traffic through Primm. The COVID-19 pandemic accelerated these trends, reducing visitor volumes and revenue streams.

Butera mentioned that Affinity is working closely with landlords and referenced a potential buyer who might assume operations. The company’s lease arrangement with the Primm family landowner group means that property ownership remains separate from operational responsibilities. This structure could facilitate a transition to new management if suitable operators emerge with different business strategies or capital resources to invest in the facilities.

Veja Também