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WYNN SPLASHING OUT $4 BILLION ON NEW MACAU CASINO
Tuesday June 5, 2012 : WYNN SPLASHING OUT $4 BILLION ON NEW MACAU CASINO
Revenues might be slowing in the Chinese gambling enclave, but Wynn remains confident
US gambling mogul Steve Wynn's group Wynn Resorts is investing $4 billion in the development of its latest land casino resort on the Chinese island of Macau, according to reports from the Reuters news agency.
Wynn expressed his confidence in the region to reporters this week, saying that his new property would provide a return on investment despite the current economic climate.
"Growth of the market has been so spectacular, the expansion so dramatic, it is unrealistic for it to continue at that rate," Wynn said, acknowledging recent developments that have seen growth slow on the island. However, he noted that the market did not need to keep increasing at such a pace for it to be a good place to do business.
In recent times Macau generated more than five times the revenue that Las Vegas does, but the latest numbers indicate that growth slowed to 7.3 percent in May 2012 - its slowest rate of expansion since July 2009
Competition in the Macau market remains fierce, with Las Vegas Sands, SJM Holdings and MGM Resorts all keen to expand operations.
Wynn's investment is already underway, with the company's Macau division breaking ground on a 20 hectare site located on the Cotai Strip, an area of reclaimed land. The new casino resort is scheduled to open around 2016.
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