The Nevada Gaming Commission Monday signed off on members of the Marnell family taking over ownership of the Prospector Hotel & Gambling Hall in Ely.
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Anthony Marnell III is a long-time Las Vegan, founder and CEO of Marnell Gaming that developed the M Resort in Henderson, and chairman and CEO of Marnell Companies, and manager of the trust acquiring the Ely property.
At the meeting, Marnell had to answer for “a lack of judgment,” in which his underaged children used a fake ID to drink after going to Wynn Las Vegas for dinner; one of his children gambled there as well.
Marnell admit he made a mistake in allowing that behavior, saying his children were raised like he was to push and he let them face their own consequences.
“Unfortunately, this was not the right place to do it,” Marnell told the Commission. “I have a lot of regrets. It was a really big mistake on my part. That’s the most honest answer I can give you. It was a poor decision on my part.”
Marnell said he’d been a casino licensee the previous 25 years and that he’d lived his life with a self-imposed structure during that time, but he wasn’t a licensee when the incident happened.
“I wouldn’t even go into another casino when I was a licensee. I did my job and went home and spent time with my family. I tried to raise great young kids, serve my community, and focus on what mattered. It was extremely rare that we even went to the Strip.
“At 50 years old, I got a little lax and lazy,” Marnell continued. “I was maybe having a moment where I didn’t have my head on my shoulders. This whole experience is on my mind every day when I wake up. I can commit to you that the next 25 years will be like the first 24. I’ve been supporting some poor tribes outside the state for a long time and are close to bringing their tribes out of poverty.”
Commissioner Rosa Solis-Rainey said with Marnell having been a licensee for so long and director of a gaming company, “this seemed out of character. It was a show of arrogance, which is contrary to your demeanor. Your family has done some very good things for the community. You’ve been a good licensee, so I was surprised by it.”
Marnell said he wasn’t aware his son had been ejected from the Wynn in the past for being underage.
“I appreciate your taking responsibility, but this has consequences far beyond your family,” noting that a dealer and a supervisor were suspended because of his son. “I don’t want to beat a dead horse. I believe your history warrants not letting this blemish hold up any future things you are doing. But I do want to reiterate these issues have great consequences beyond yourself.”
Commissioner George Markantonis agreed about the consequences, but would support the licensing.
Commissioner Abbi Silver is happy Marnell is promoting growth in Ely and employing residents. She credited Marnell for being accountable for what happened.
Commissioner Brian Krolicki said the Prospector is part of Nevada culture and he’s glad it will be in Marnell’s hands.
“Your contrition is authentic,” said Krolicki, the former lieutenant governor. “We’ve all been there and have had to wrestle through those things. Being licensed just makes it different. I have great sympathy for the situation, but we know the choices made that night weren’t ideal.
“If someone had asked about attesting to the character of Anthony Marnell, I’d be the first in line. The Marnell family have been pioneers in our state, building M Resort (and the Rio). The night of May 5th at Wynn wasn’t great, but in the context of to all of the other things your family has created and the honor, integrity, and standards you’ve upheld, it’s a lesson.”
In late 2023, AM3 2012 Trust, with Marnell and Matthew Woodhead as trustees and some minority shareholders, including Marnell’s son Rex, who will be vice president of operations, trust entered into the transaction to purchase the Prospector under a newly formed entity, Terzetto LLC. The deal also includes 12 acres. The purchase price was not disclosed.
At the Gaming Control Board meeting in September, Marnell said the transaction came to him originally in 2019. In 2020, the owners decided not to sell, but were interested in doing so in 2023.
“I’m not usually looking for properties this small, but I thought this was unique,” Marnell said. “It’s been heavily invested in and kept in phenomenal condition. It has the luxury of having the Holiday Inn next to it. I thought over time in Ely, there could be growth from mining.”
Marnell said he’s made his career on buying rundown assets, repositioning and fixing them up, and taking them back to market. He wouldn’t have to do that with the Ely property.
The Prospector has 60 hotel rooms, 138 slot machines, a William Hill sports-betting kiosk, one restaurant, and a bar with 12 seats. The Marnells are evaluating plans for 60 to 90 additional hotel rooms, 20 to 30 additional slot machines, and expansion of the bar.
The property currently has 27 full-time employees and 11 part time. All will be retained. There will be health benefits and a bonus plan.
Marnell Gaming sold the Edgewater Casino and Colorado Belle in Laughlin to Golden Entertainment in 2019, after which Marnell III served on the Golden board of directors until earlier this year.
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