Sammataro Discusses the Impacts of the Ongoing Pandemic with Casino.org
James Sammataro, partner and co-chair of the Media + Entertainment Group discussed the ongoing challenge for casinos facing safety restrictions imposed as a result of the COVID-19 pandemic. According to Casino.org, Sammataro explains:
The 50-person occupancy limit on showrooms made it difficult for entertainers and casino operators. In fact, Sisolak’s earlier 50 percent capacity directive — or no more than 250 in the audience — was challenging enough, James Sammataro, a Miami-based entertainment lawyer at Pryor Cashman, said.
He is co-chair of the firm’s media and entertainment practice group. Sammataro has represented such performers as Enrique Iglesias and large studios such as Sony and Warner Brothers.
Even the 250-person limitation was close to a guaranteed loss-leader,” Sammataro told Casino.org. “In almost every other instance, such stark caps would result in a cancellation of the performance.”
He points out that casinos “are driven by different economic considerations…. The ability to offer intimate access can be used as a point of distinction in attracting high-end clientele.”
Fire Department-ordered capacities in the Las Vegas theaters also can “vary dramatically,” he added. The Luxor holds between 1,000 to 1,500 seats. The Bellagio’s O Theater seats 1,800.
The MGM’s capacity is approximately 5,200 for residency shows. The Zappos theater can hold up to 7,000.
“While show-specific, and dependent on the production costs, the rule of thumb is that you’re shooting for a capacity minimally in excess of 72 to 75 percent, and much higher on premium nights — Thursday through Sunday,” Sammataro said.
Even that is a broad estimate. A consistent 72 percent capacity would get a show “immediately canceled” in some venues, Sammataro added. Other shows have a higher break-even number, unless it is a private show.
But attendance can be different now, given the COVID-19 pandemic.
Many artists are participating in event-quality live streams, where they are performing in close to empty venues for the sole purpose of streaming the event,” Sammataro explained. “Until touring resumes in earnest, atypical arrangements — be it performing in front of small audiences, or the Flaming Lips performance in huge plastic bubbles — will not be summarily rejected.”
Read the article in full at Casino.org.
