Partial Sale of Former Atlantic Club Casino Property Announced Amid Development Challenges

ATLANTIC CITY, N.J. — Rocco Sebastiani, owner of the former Atlantic Club casino property, has placed one of the site’s two hotel towers up for sale at $55 million. The property, located at the southern end of Atlantic City’s Boardwalk, is part of a stalled redevelopment plan to transform the former casino into a hotel-condominium complex. Sebastiani’s Colosseo Development Group purchased the shuttered casino in 2019, aiming to convert one tower into a Hilton-branded hotel with approximately 330 rooms and the other into more than 100 residential units. The project also includes banquet facilities, retail spaces, and food and beverage outlets.
Despite early optimism, the project has faced regulatory setbacks after the state assumed oversight earlier this year. Approvals previously granted by city agencies have not been accepted by the state, requiring the developer to restart the process. Sebastiani has cited frustration with city officials and described challenges involving city government oversight. City leaders have denied any wrongdoing and say they continue to support development efforts. No casino license application has been filed for the property. The New Jersey Casino Control Commission confirmed no other party has applied for a casino license at this location. Sebastiani’s team is currently evaluating whether the Hilton agreement will be binding for a future buyer and considering selling the remainder of the property, including a second hotel tower and parking structures.