(This is modified from the Wikipedia article with relatively little new material. Mafia involvement in the Hacienda / Argent will be addressed elsewhere.)
The Hacienda Hotel and Casino was on the Las Vegas Strip in Paradise, Nevada, and operated from 1956 to 1996. We are concerned with it because it was one of the properties owned by Allen Glick (Argent) and thus connected to the Milwaukee Mafia. The Hacienda does not get the attention the Stardust does and is less notorious, but still worth a look.
The Hacienda began as a project called Lady Luck, planned by Carlton Adair in 1954. Adair had several partners in the project, including Stanley Burke of Sacramento who owned the land. Adair brought in Warren “Doc” Bayley, a travel columnist and owner of several Hacienda motels in California. Under the deal, Adair would have interest in the casino, while Burke would own the land and buildings. Bayley would be in charge of the hotel.
Lady Luck was approved by the County Planning Commission in January 1955, and construction started later that year. They struggled to get investors, and financing fell apart before construction reached the halfway mark. Bayley took over, renamed it the Hacienda, and removed Adair. Bayley agreed to lease the property for $55,000 per month for 15 years.
The Hacienda was designed by Homer Rissman and built like other Vegas properties, with a central casino, and motel structures to provide lodging. Rissman designed the project so each motel would connect to the casino by glass halls. Before opening, the Hacienda had a 300-seat dining theater. Because of costly performers, the Hacienda decided to refocus the space on conventions rather than entertainers, which instead would be in a lounge.
The hotel portion opened in June 1956. Because Bayley and Burke lacked casino experience, they hired investor Jake Kozloff to manage the gaming operations. However, they were denied a gaming license, as the Nevada Gaming Control Board was opposed to Kozloff because of past activities. A gaming license was issued after Kozloff was removed from the project, and the casino opened on October 17, 1956. The $6 million Hacienda had 266 rooms and the largest swimming pool on the Strip. Like the other Hacienda hotels, the Vegas property featured a neon sign that depicted a cowboy riding a palomino horse.
The Hacienda was on the south end of the Strip, making it the first resort to be seen by tourists arriving from California. It sat alone, surrounded by desert and away from other resorts on the Strip. Gaming executives predicted the Hacienda would struggle due to its location, but the resort prospered. Its remote location ensured that most guests stayed on the property rather than visiting other resorts. The Hacienda was also popular because of its location near the airport, although the resort never had the same success as the Dunes and the Sands. Because it lacked the same elegance as other resorts on the Strip, the Hacienda received the nickname “Hayseed Heaven.” The Hacienda was built as a budget resort and was the first Vegas resort aimed at attracting families. It included a go-cart track and miniature golf course for children, and Las Vegas’ first par 3 golf course. It also offered the Palomino room, which was used for shows and small parties.
In 1957, after opening, Kozloff filed suit against the Hacienda, alleging he was owed $71,000 from a loan he made to the property. The hotel posted a bond which nullified this. Three months later, Burke made allegations against Bayley and requested the Hacienda be placed into receivership. Bayley denied the allegations, including a claim he mishandled finances. Later that year, plans were being made to add more hotel rooms.
Bayley devised numerous ideas to promote the resort. Shortly after opening, he formed Hacienda Airlines, offering packages including transportation from LA to the Hacienda as well as a room and casino chips. The airline service was successful, prompting Bayley to increase the number of planes. Its success was attributed to low fares, frequent advertising in California, and its catering to working-class tourists. The airline eventually numbered as many as 30 aircraft. One plane included a piano bar with actor Dick Winslow, who provided musical entertainment during the ride. The flights also offered champagne and featured young women modeling lingerie for the male passengers. By the end of 1960, the Hacienda had flown in 150,000 people, making it the largest consumer of California champagne.
Flights stopped in 1962, following an order from the Civil Aeronautics Board. The agency alleged Hacienda was operating as an airline, and the resort was not licensed to provide such service. The Hacienda denied this and stated its guests were flown in for free, saying that they paid only for food and a hotel room. However, because guests paid before boarding the plane, CAB determined that they were essentially paying for a plane fare.
The resort also offered the Hacienda Holiday, a program for tourists where $10 casino chips were given away as part of a $16 package deal. In 1958, the county licensing board ordered Hacienda to halt this program, objecting to the chips being redeemable in the casino. The board said chips could be used for other services, but it was opposed to their use in the casino, as this would promote gambling. The promotion would be offered for the next 20 years, eventually becoming the Hacienda Champagne Holiday.
December 1958 to February 1959, Hacienda backed a flight endurance record: two men took turns flying a Cessna 172 across the southwestern US for a period of 64 days. The promo did not turn out as planned. Newspapers did not report on them until 30 days after they took off. Dick Taylor, Hacienda’s general manager, said, “The papers, detecting a publicity stunt, did what they felt they had to do. They deleted the Hacienda name from all reports and even went so far as to blank out the Hacienda name that was painted so large along the side of the plane.”
Bayley died of a heart attack in 1964, and his widow, Judith, took over the Hacienda. At the time, Bayley was the only female casino owner in Vegas, earning the nickname the “First Lady of Gambling.” She lacked business training and found the operation to be more complicated than expected. She lost money in her first few months. Under her management, the Hacienda offered shuffleboard and babysitting services for guests, maintaining its appeal as a family resort. A lounge, known as the Jewel Box, was remodeled in 1965, followed by the opening of a keno room. Las Vegas mayor Oran Gragson attended both openings. One county commissioner had opposed the keno addition, stating it would add a “honky tonk” atmosphere that was common in the city’s Fremont Street area.
To focus on the Vegas Hacienda, Bayley sold the California hotels in 1970, except for one in El Segundo. In December 1971, Bayley died of cancer, age 56. Bayley’s estate left the Hacienda to her assistant Joan Rashbrook and lawyer Calvin Magleby, a former FBI agent.
Later in 1972, the Hacienda sold for $5 million to a group of buyers, which included Allen Glick, Paul Lowden, and Ohio businessman Eugene Fresch. Lowden had raised $250,000 to purchase a 15% interest, and he also became the resort’s entertainment director.
After taking ownership, Glick said they would return to the “friendly image of the past” by ending nude shows. However, in the mid-1970s, the resort had the nude ice-skating show Spice on Ice. It ran four years, and was replaced by an ice-skating variety show, Ice Fantasy.
In 1973, the Hacienda began constructing Travel World, a 452-space RV park, as part of a $7 million renovation. In 1974, the Hacienda became part of Glick’s company, Argent Corporation, which held a controlling interest. Fresch and Lowden also retained interests.
Frank Rosenthal was made the Executive Consultant to the Chairman of Argent on October 22, 1974. This position made him gambling overseer of the Hacienda, Stardust and Fremont. He was said to fire employees and hire new ones who were loyal to him. According to Glick, this promotion was ordered by Milwaukee mob boss Frank Balistrieri.
April 1976, Glick was declared the “casino king” for having the most properties following the death of Howard Hughes. “I guess I might be considered unique in a lot of respects,” Glick said. “An era is gone with the death of Howard Hughes… His casinos really amounted to a small part of his holdings, but for me, my Nevada properties are almost my exclusive holdings… As far as any comparison goes between myself and Howard Hughes, the only thing we had in common was hotel and casino ownership in Las Vegas. That’s where the comparison starts, and that’s where it ends… I don’t really feel I’m stepping into his shoes.”
June 1976, Glick’s properties came under suspicion of skimming $7 million from its slot machines over the past two years. Adding to the suspicion, when the investigation started, slot machine manager George “Jay” Vandermark fled to Mexico. More than a dozen Argent employees quit the day the accusation came out. Glick said he would cooperate fully with the investigation, and it was noted that Vandermark had been hired by former manager Frank “Lefty” Rosenthal, who had since been banned from working at the casino.
In 1976, Argent announced it would sell the Hacienda for $21 million to businessman Joseph Gennitti, who would also take over $11 million in debt. The deal ended after Gennitti failed to provide Glick with details about financing the purchase. Subsequently, two opposing investment groups began negotiations to purchase the Hacienda.
In January 1977, Lowden offered to purchase the remaining interest from Argent and Fresch for $21 million. The Gaming Control Board accused Lowden of deceit, alleging people with questionable records would have hidden interests in the Hacienda. Lowden denied this, stating he was the sole buyer. The board recommended against his purchase but was overridden by the Gaming Commission. Commission chairman Harry Reid said there was no evidence of hidden interests and audit agents in the case “didn’t do a very good job in their investigation.” The sale was completed in July 1977, just in time as the Teamsters announced in March 1977 they might have to foreclose on $47 million in loans to Glick.
In 1978, the Hacienda offered deluxe suites as timeshares. Within two years, the hotel had 3,000 timeshare members. The Hacienda was associated with Resort Condominiums International, an exchange network allowing timeshare owners to trade units. By 1980, the Hacienda included a popular steakhouse, the Charcoal Room. A $30 million expansion of the Hacienda was underway in 1980, including an 11-story tower with 300 rooms, adding to the hotel’s 538-room count. A 22,000 sq ft convention center, the Matador Arena, was added. It hosted monthly, televised matches between professional boxers.
In late 1982, Wayne Newton was in discussions to become co-owner of the Hacienda, but after two months of negotiations, decided against the idea. In 1989, Lowden announced a $30 million plan to add a 400-room tower and expand the casino. The tower was completed in 1991, bringing the room count to 1,137. The expansion also doubled the casino space.
In its final years, the resort struggled as new resorts opened nearby, including the Excalibur (1990) and the Luxor (1993). In September 1994, Lowden was receiving offers to purchase the Hacienda, and would be considered for the right price. In January 1995, Bill Bennett offered to buy the Hacienda and adjacent acreage. He was a director for Circus Circus and previously served as company chairman. His purchase was complicated by a corporate clause which would give Circus Circus the right to purchase the resort instead of him.
Circus Circus filed a lawsuit to prevent his purchase, stating he was aware of the company’s plans to buy the property and he proceeded anyway. The Hacienda occupied 47 acres, and Circus Circus wanted to buy an adjacent 74 acres to build a new resort on both parcels. Bennett and Circus Circus agreed to a settlement in March 1995, allowing the company to buy the Hacienda for $80 million and the 74 acres for $73 million.
The Hacienda’s closure was announced in September 1996, affecting 900 employees. After 40 years, the doors closed at 4:00pm on December 1, 1996. The resort’s fixtures and furnishings were donated to charity. The resort’s horse and rider neon sign was saved, put on display in downtown Las Vegas. The Neon Museum had the sign refurbished at a cost of $60,000, and it was installed in its new location a couple weeks prior to the Hacienda’s closure. Before the Hacienda was demolished, the stairwells and interiors of the hotel were used in firefighter training to aid them in the event of a real high-rise fire. More than 30 local firefighters rushed through the hotel in reaction to an imaginary fire on the fifth floor.
Controlled Demolition was hired to demolish the 11-story hotel through implosion on New Year’s Eve, part of a televised event that would compete with the Times Square Ball Drop. After the Hacienda’s closure, salvage crews removed equipment such as air conditioners.
The implosion took place on December 31, 1996, televised as the culmination of Fox’s special Sinbad’s Dynamite New Year’s Eve, where it aired at midnight ET. The coverage featured ring announcer Michael Buffer. More than 1,000 pounds of explosives were used for the implosion, which was watched by more than 300,000 people.
Circus Circus Enterprises opened the Mandalay Bay resort on March 2, 1999, replacing the Hacienda.