President Donald Trump’s proposed “Gold Card,” if the billionaire succeeds, is intended to take the place of the visa program that contributed to the development of numerous hotels across the country, including two casino resorts in Las Vegas. 

Last Thursday on Air Force One, the ex-casino owner unveiled his latest money-making immigration plan known as the Gold Card. In February, Trump initially revealed the investment program aimed at citizenship and mentioned the proposed initiative in his Joint Address to Congress in early March.

"For $5 million, this could be yours,” Trump told reporters while showing off the flashy gold pocket-sized card emblazed with his face. “Anybody want one?”

Trump's Gold Card plan permits qualifying immigrant investors to obtain permanent residency — commonly referred to as “green card” status — by investing at least $5 million in a new business venture. 

“Wealthy people will be coming into our country by buying this card,” Trump continued. “They’ll be wealthy, and they’ll be successful, and they’ll be spending a lot of money and paying a lot of taxes and employing a lot of people. We think it’s going to be extremely successful.”

Casinos in Las Vegas Funded by EB-5 

Trump intends for his Gold Card to substitute the Employment-Based (Fifth Preference), or EB-5, visa program. The EB-5 program has been in operation since 1990, following the passage of the Immigration Act by Congress. 

EB-5 mandates that eligible foreign nationals invest $1,050,000 in a commercial venture, or $800,000 in a Targeted Employment Area (TEA) as designated by the federal authorities. TEAs consist of three types: infrastructure initiatives, ventures in areas with high unemployment, and rural initiatives. 

The Lucky Dragon, a casino hotel located off the Strip, was funded by EB-5 and aimed at wealthy Asian tourists coming to Las Vegas. 

Real estate developer Andrew Fonfa utilized the EB-5 program to finance the $165 million project situated near S. Las Vegas Blvd. at Sahara Ave. When Fonfa revealed the project in 2012, EB-5 mandated a minimum investment of $500,000. Fonfa drew in almost 180 non-natives. 

Although the Lucky Dragon offered permanent residency to its investors, the majority ended up losing most of their money when the venture failed. The casino and its 203 hotel rooms struggled almost immediately. The establishment began operations in December 2016. The casino, covering 40,000 square feet, shut down in January 2018, and the hotel ceased operations that October. 

Fonfa encountered legal action from EB-5 investors seeking a refund of their funds. Fonfa passed away from a heart attack in July 2020 at the age of 68. 

Local businessman Dan Ahern acquired the Lucky Dragon in April 2019 for only $36 million. It has reopened as the non-gaming Ahern Las Vegas Hotel. 

Ahern’s neighbor on the opposite side of S. Las Vegas Blvd. — Sahara — similarly gained from EB-5. Following the acquisition of the casino resort on the Strip's northern end in 2007 by Sam Nazarian’s SBE Entertainment and Stockbridge Real Estate, they generated nearly $400 million through EB-5 to transform the site into SLS. 

SLS, similar to Lucky Dragon, was likewise a flop. EB-5 investors involved in that project also filed lawsuits against the development team. In 2019, SLS was ultimately renamed Sahara again. 

International Investments Advantageous for American Developers 

EB-5 and similar foreign investor green card programs are frequently viewed as beneficial for both developers and investors. Foreigners acquire investments and a route to residency, while developers in the U.S. gather funds without seeking bank loans or incurring interest. 

Given the global economy's instability caused by Trump's international tariffs, the Gold Card may emerge as an essential real estate resource for developers in the short term.