Las Vegas Sands has elaborated on the high hopes possessed of being a winning licensing bidder in New York, with the group also set to commit at least $3.8bn to expand in Macau over the course of the recently awarded fresh ten-year gamin concession.
It is said that a majority of this capital will be utilised across non-gaming offerings in the autonomous region, with optimism expressed that it will develop “into a vibrant, diversified tourism market over the coming years”.
Robert Goldstein, Chair and Chief Executive Officer, said in a Q4 and FY 2022 earnings call: “Macao’s future is bright, remains the largest integrated resort market globally. Our commitment to investing in this incredible market has never wavered and with an unrivalled critical mass of world-class IRs, as well as continued improvement in transportation infrastructure in the region.”
Amid confidence that the group is positioned “well to capture the growth opportunity,” the casino and entertainment operator also suggests that its investment swell far beyond this aforementioned figure as the region continues to grow.
“The commitment to develop non-gaming is the core of our investment and operating strategy for the past two decades, whether it be MICE, entertainment-themed attractions or destination, sales and marketing in overseas markets,” he continued.
“We view the investment commitments by SCL and the rest of the industry is positive for Macao. Over the past few weeks, travel restrictions have been lifted.
“I think the important thing to note is that there was this pent-up demand story in Singapore and now it’s blossomed into full-on bonanza”Patrick Dumont, President and Chief Operating Officer.
“It is too hard to tell the true measure of the underlying pace of recovery, but indications are extremely positive. We have seen significant improvement on property visitation, gaming volumes, retail sales and hotel occupancy.
“We remain positive on investments in The Londoner and Four Seasons. Our investments position us well as the market recovers”.
Moving on to Singapore’s Marina Bay Sands, much hope was put on pending growth across the region, and all operational markets, amid a recovery and lift and travel and airline restrictions.
However, Goldstein did issue a slight caution that “we don’t want to confuse visitation with GGR,” suggesting that “we only need the right people, not a lot of people”.
Patrick Dumont, President and Chief Operating Officer, noted on the island country: “I think the important thing to note is that there was this pent-up demand story in Singapore and now it’s blossomed into full-on bonanza.
“And so, what we’re really seeing is every segment is working. And so we had a lot of noise in this quarter because of the hold.”
Upon being quizzed on principal areas of development beyond this pair, Goldstein dismissed Korea and Japan while examining further Asian prospects.
“…there’s no secret has been in the press that Thailand is a possibility. So, we’re certainly looking hard at Thailand”Robert Goldstein, Chair and Chief Executive Officer.
To this end, it was confirmed that : “I think we all know that Thailand has been discussions there, and we’re certainly looking at Thailand. And there’s no secret has been in the press that Thailand is a possibility. So, we’re certainly looking hard at Thailand.”
Nonetheless, this was also a brief stop on a whistle stop tour that inevitably came to an end on the east coast of the US and a “extraordinary and unique opportunity”.
For those that secure one of up to three downstate New York gaming licences, the LVS Chair and CEO vowed that this presents “an amazing opportunity because of a very simple dynamic of a huge market with limited capacity”.
He continued: “There’s only a few casinos there. It’s probably the only place in the US where you can have millions and millions of people, and yet there’ll be probably just a handful of casinos total.
“The win per units there will be exceptional. The lucky winner is going to do very, very well. I think the evidence of the market is clear just by looking at the three operating properties under the table games. And we really don’t have much of a – it’s not a great product right now in New York as far as room capacity. It’s still doing approaching $2bn with just slot machines.”
The company has targeted an 80 acres in Nassau County, which is currently the home of the Nassau Veterans Memorial Coliseum, amid hope of eventually constructing a “multi-billion-dollar flagship hospitality, entertainment and casino project”.
“…we’ve been trying to do New York for a number of years, but it looks like this is finally someone’s opportunity. Hopefully, it’s ours”Robert Goldstein, Chair and Chief Executive Officer.
In addition to issuing a reminder that this will not simply be a casino but rather a large-scale offering complete with a variety of non-gaming assets, Goldstein remained buoyant on the potential prospects for the region.
Noting that “we’ll be all the way in,” a promise of deliver a “transformational” venue that will contribute an array of positive community impacts and grow tourism is issued.
“So, I view New York very much very unique to the rest of the United States. It’s a population in the many millions to just a couple of casinos, very different here in Las Vegas,” he added.
“We’ve got a huge local market but dozens and dozens and dozens of casinos. There you’ll be basically alone.
“And so it’s going to be very — it’s an exceptional opportunity. It won’t come along again. I think this is one and done. So we’re trying very hard.
“And we’ve been trying to do New York for a number of years, but it looks like this is finally someone’s opportunity. Hopefully, it’s ours.”