When Nevada was the only legal gaming jurisdiction for at least five decades of the 20th century, building a casino near the state line was a no-brainer. Casinos went up on all roads leading to the state, and in many cases, a casino would be the first building you’d encounter when entering Nevada. But for the Cal Neva Lodge in Lake Tahoe, being near the state line wasn’t enough. The Cal Neva is perched right on the California-Nevada line, hence the name of the resort.

Originally built by San Francisco businessman Robert Sherman in 1926, the lodge was designed to resemble one from a Broadway show called Lightnin’, starring Will Rogers. Two years later, Sherman deeded the property to Norman Blitz, known as “The Duke of Nevada.” Blitz later married Esther Auchincloss Nash, granddaughter of the founder of Standard Oil and aunt of Jacqueline Kennedy-Onassis.

The original building burned to the ground in May 1937 and was rebuilt in just over 30 days. The new building, known as the “Lady of the Lake,”  included the new famous Indian Room, which sits astride the state line, the Circle Bar, which overlooks the lake, and the casino area. A succession of owners followed Blitz, and many of them were connected to organized crime.

In 1960, Frank Sinatra bought a piece of the property. Sinatra added the now famous Celebrity Showroom and installed a helicopter pad on the roof in an attempt to make access easier for his colleagues to appear at the property during the summer months. It was the “Rat Pack” years, which meant frequent visits by Dean Martin, Joey Bishop, Marilyn Monroe, Peter Lawford and others. Even President-elect John F. Kennedy traveled to the Cal Neva. But it was a visit by Chicago mobster Sam Giancana that cost Sinatra his casino license, yanked by the state Gaming Control Board.

Today, the Cal Neva Resort offers a total of 219 cabins, chalets and lake-view tower accommodations. The tower is open all year, while the cabins and chalets operate only during the summer.  

The resort was recently purchased by Namwest LLC, which has extensive renovation plans. Most of the chalets will be torn down, with the exception of two used by Sinatra and Monroe, which will be restored and moved closer to the hotel. The tower rooms will be converted into condominiums and some new housing units will be constructed. Construction could begin as early as this summer.

By Roger Gros

Roger Gros is publisher of Casino Connection and editor and publisher of Global Gaming Business magazine, the industry’s leading gaming trade publication. Prior to joining Global Gaming Business, Gros was president of Inlet Communications, an independent consulting firm. He was vice president of Casino Journal Publishing Group from 1984-2000, and held virtually every editorial title during his tenure. Gros was editor of Casino Journal, the National Gaming Summary and the Atlantic City Insider, and was the founding editor of Casino Player magazine. He was a co-founder of the American Gaming Summit and the Southern Gaming Summit conferences and trade shows. He is the author of the best-selling book, How to Win at Casino Gambling (Carlton Books, 1995), now in its third edition. Gros was named “Businessman of the Year” for 1998 by the Greater Atlantic City Chamber of Commerce.

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