In an email statement to Bloomberg last week, spokesman Michael Weaver said that Wynn Resorts Ltd.
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The casino boss is exhausted of the political mudslinging between the two candidates, telling the news outlet that he yearns “for a more adult discussion”.
“We are cautious about whether Wynn Palace will live up to such high market expectations in view of the overall soft demand in Macau, and that tourists with smaller spending power are now driving visitor number growth”, said Nomura Securities Richard Huang. Important to note, 250 of said tables will be transferred from other Wynn properties in Asia, as the Chinese government has only allowed for 100 new tables.
The Wynn resort is one of several new resort casinos that locals hope will breathe new life into the ailing Macau’s gaming industry.
But even with those two high-profile openings, Macau’s gross gaming revenue for the first half of 2016 fell back 11 per cent, following a 34 per cent slump for the whole of past year.
“Based on our math, the government will have 947 table games remaining under a table cap first announced in 2012 after accounting for all the tables that have already been granted post-2012 including 150 to Wynn Palace”. A critical mass may be developed as more forms of entertainment open, and MGM Macau will be something of a state of the art venue when it is unveiled, but right now that market doesn’t seem to be present, suggesting the casino operator may need a back-up plan in case the worst-case scenario plays out.
Unlike Wynn, casino companies from Melco Crown Entertainment Ltd. (06883.HK) to Sheldon Adelson’s Sands China Ltd. (01928.HK) have rushed to emphasize how their projects are geared to attract recreational gamblers and their families. Instead they want more “non-gaming” attractions to lure middle-class families and help turn the city of 567,000 into a prominent Asian tourism destination with a more sustainable growth model. It did not say how many tables those facilities would have, or how many Suncity VIP rooms would be in those properties.
Wynn Macau’s newest property, Wynn Palace, would be profitable, Huang said, but it would likely generate a disappointing return on investment.
New openings from Melco Crown and Galaxy Entertainment a year ago have not significantly bolstered receipts, while operators are being frustrated by strict official limits on gaming table allocations.
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The floral-themed Wynn Palace will transport guests into a world of beauty, starting with a breath-taking ride in air-conditioned SkyCabs that traverse the eight-acre Performance Lake and into the heart of the resort.
