It's certainly a unique deal. However, it's not the first time it's happened in Las Vegas. The operator of PT's taverns and several restaurants in Las Vegas, Golden Gaming, has signed an agreement with Morgans Hotel Group to temporarily operate the Vegas Hard Rock Casino, which Morgans is purchasing from the Hard Rock. The temporary agreement will enable Golden Gaming to manage and run all casino operations at the Hard Rock property until Morgans is successful at getting their gaming license approved, which could theoretically take longer than a year.

The agreement must be approved by the Nevada Gaming Commission, which is scheduled to give a decision on January 25, 2007. As for the $770 million purchase of Hard Rock's hotel and casino, this could be finalized by February 1. Morgans will be permitted to operate and manage anything non-gambling related until their license is approved. This will include all of Hard Rock's 647 hotel rooms, nightclub, public facilities and restaurants. Having initially applied for their license in December 2006, the application could get delayed pending possible amendments.

 Pending approval, Golden Gaming will have complete authority over the 30,000 square foot casino. The two-year contractual agreement states that Golden Gaming will be paid a monthly management fee, and could receive a portion of generated gambling revenue, which will go into an escrow account until Morgans gaming license is approved. Additionally, Hard Rock has agreed to loan nearly 600 of their employees to help keep the casino running until Morgans takes over. Unusual terms to say the least, Nevada Gaming Control Board Chariman, Dennis Neilander, said it wasn't the first time the Control Board has come across such an agreement.

For Golden Gaming, managing the Hard Rock Casino is a fantastic opportunity to get their foot deeper in the door with the Nevada Gaming Commission, and prove to the gambling industry that they have what it takes to successfully run a large Las Vegas casino. Golden Gaming already operates three small casinos in Blackhawk, Colorado, as well as 38 betting taverns in Nevada. The company also recently acquired the Pahrump Nugget casino in Nevada.