Macau’s six casino operators have all signed new 10-year licenses with the government and pledged to invest billions to develop the city’s non-gaming amenities.
In their renewal submissions, the operators outlined plans for new attractions aimed at diversifying the city’s tourism base, which at present is almost entirely reliant on Mainland China.
Macau has been under pressure from Beijing to bring in more tourists from outside of the Greater China area and to reduce the economy’s dependence on gaming.
In its pledge, Sands China said it would spend MOP30.23 billion ($3.8 billion) over the coming ten years, with MOP27.8 billion of that on non-gaming projects. It said it will look at conventions and exhibitions, entertainment shows, sporting events, culture and art, health and wellness, themed attractions, city of gastronomy, community tourism and maritime tourism.
Wynn Macau is spending MOP17.73 billion, of which MOP16.5 billion will be non-gaming.
It listed entertainment performances, sports events, culture and art, health and wellness, themed amusement, gastronomy, community tourism and maritime tourism as its zones of focus.
The company has submitted conceptual planning of the planned projects and will provide an annual progress report to the government.
MGM China is investing MOP16.7 billion, of which MOP15 billion. It also pointed out that in case the market-wide gross gaming revenue reaches MOP180 billion in any one year, it will be required to increase, in the following years, the investment in non-gaming projects in an amount corresponding to 20 percent of the base non-gaming investment.
SJM Holdings, which held the Macau monopoly until the market was opened to competition twenty years ago, said it intends to leverage its location on the peninsula to launch a historic centre revitalisation plan. It said it will create a thriving cultural district with a strong sense of local community.
The operator is spending MOP14.03 billion, of which MOP12 billion will go to expanding international tourism and non-gaming.
Overseas marketing offices
Galaxy Entertainment Group provided some details as to how it plans to pull in more visitors from outside of Greater China. It will set up overseas offices in Singapore, Thailand and South Korea and launch an array of marketing schemes, such as travel packages, in Japan, Indonesia, Malaysia, India, the Philippines and Vietnam. These projects will increase awareness of Macau and GEG’s appeal and attract a broader base of visitors to the SAR, it said.
The operator will invest MOP28.4 billion, of which MOP27.5 billion will be on these projects.
Melco Resorts & Entertainment is spending MOP11.82 billion, with MOP10 billion going into non-gaming.
“Melco pledges its commitment to supporting the healthy and sustainable development of the tourism and leisure industry in Macau as we continue to work with the government over the next ten years to contribute to the city’s development as a preeminent, global tourism destination,” Melco Chairman and CEO Lawrence Ho said.