Las Vegas Sun

March 28, 2024

Wynn plans $345 million expansion in Macau

SUN STAFF AND WIRE REPORTS

The casino company led by Steve Wynn has added a $345 million wing to plans for its casino in the Chinese enclave of Macau, where gambling revenue is rising with the influx of Western casinos.

Wynn Resorts Ltd. was already spending $700 million to open its Macau casino in the third quarter of 2006. The expansion, which will almost double casino space and add a sports book, two restaurants and a theater, will open in the first half of 2007, the company said today in a statement.

Macau gambling revenue rose 44 percent to $5 billion last year and will increase 20 percent over the next four years, according to Deutsche Bank stock analyst Marc Falcone.

Macau, a former Portuguese colony that reverted to Chinese rule in 1999, ended a 42-year monopoly for casino owner Stanley Ho in 2001. Las Vegas Sands Corp., owner of the Venetian casino, opened the first Western casino a year ago.

Deutsche Bank AG, Societe Generale and Bank of America Corp. will arrange financing for the expansion, Wynn said. The company plans to increase the credit lines of its Macau subsidiary.

Wynn Resorts last week opened the most expensive casino ever, its $2.7 billion Wynn Las Vegas on the Las Vegas Strip. The company said it will add a "dramatic front feature attraction" at the entrance of the Macau expansion.

Wynn Macau used about 11 of 16 acres leased from Macau's government in its initial plan. With the expansion, Wynn will build on the entire site, raising casino space to 185,000 square feet from 100,000 square feet. The expansion will add 150 tables for a total of 350 and 500 slots for a total of 850 machines.

Meanwhile, Macau gambling tycoon Stanley Ho struck back at his Las Vegas competitors, unveiling plans for a massive entertainment complex that will change the skyline of Macau.

The project, named Oceanus, includes a main waterfront structure that resembles a ship's bow, which will measure 1,485 feet long and 436 feet high, Ho's Macau Gaming Co. said in a statement seen Wednesday. It will house a casino, a shopping mall and luxury housing.

An adjacent 591-foot office tower will overtake the 535-foot Bank of China Building, becoming one of the tallest buildings in Macau, the South China Morning Post reported today.

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