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Bailey McCann, Opalesque New York:

New York-based hedge fund Luxor Capital Group has taken ownership of Ocean Resort Casino in Atlantic City. Bruce Deifik, a Colorado-based real estate developer and former principal owner of Ocean will retain a minority stake in the casino.

Luxor is a $3.2 billion event driven hedge fund.

Luxor's ownership represents a continuation of the hedge fund's involvement with the property. Formerly known as Revel Casino Hotel, Deifik bought the resort sight unseen for $229 million just last year with funding provided by Luxor and JP Morgan. Since then, Deifik has renovated the property but announced at the start of this year there would be a new but unnamed controlling owner.

According to a statement from Ocean, Luxor made an additional $70 million investment to take its ownership stake. The investment is expected to close in February. That money will go toward expanding the buffet, adding rooms and making casino improvements. Ocean says it is also planning for a substantial increase in its entertainment programming and player events throughout the year.

The investment could be a tough one for Luxor. According to an Associated Press report, the casino has struggled to stand out in Atlantic City and casino revenues are still near the bottom of the pack despite renovations that were just comp......................

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