ATLANTIC CITY — Stockton University will not become the new owners of the Atlantic Club Casino Hotel after negotiations failed to progress, owners TJM Properties said Thursday.
Stockton announced plans to purchase the shuttered casino property in August just prior to the opening of their $176 million Atlantic City campus, pending a 60-day due diligence period.
The university said it was interested in the nine-level parking garage and the land, but wanted the casino and hotel property demolished as a condition of the sale.
“Stockton University negotiated a very good deal to purchase the property, but the university needed far more time then we were willing to provide to them without any assurances,” said Terence McCarthy, president of TJM Properties.
“Our organization feels that Stockton University will bring great economic development to Atlantic City, therefore offered them a deal unlike any other, which unfortunately did not and will not happen moving forward.”
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According to Stockton University, President Harvey Kesselman and the board of trustees at its Wednesday meeting concluded the sale would not be pursued.
“We appreciate all the time and hard work that has gone into this effort, and are particularly grateful to TJM properties,” Kesselman said.
“Rest assured, we remain committed to Atlantic City and expanding our presence there. This is our future, and we will continue to try to make the best investments we can there.”
TJM spokeswoman Nikki Balles said other offers came in to TJM during the negotiations process that the company could not entertain, but now is happy to do so.
This is the not the first time a deal for the property has fallen through.
In April 2017, a deal by a local development group to buy the closed casino and redevelop it as a water park and family resort collapsed after an investment group pulled its funding.
In January 2016, another deal collapsed when TJM Properties asked Pennsylvania firm Endeavor Property Group to close on the casino, which has stood dormant since January 2014.
Endeavor said it needed more time to secure financing.
The 23-story property was purchased for $13.5 million by TJM Hotels from an affiliate of Caesars Entertainment Corporation in May 2014. The Atlantic Club property spans 11 lots including some along the Boardwalk and one on the beach.
According to TJM, the property remains for sale, but the owners are still in talks with Caesars Entertainment Corporation to try to remove a gambling restriction.
