23-ha gaming resort to rise in Boracay
A unit of gaming firm Leisure and Resorts World Corp. (LRWC) has acquired a 23-hectare property in Boracay to build on the island’s first integrated gaming resort in partnership with Hong Kong-listed Galaxy Entertainment Group Ltd.
This is notwithstanding the overdevelopment and environmental concerns that have spurred the government to consider shutting down this tourist spot.
In a disclosure to the Philippine Stock Exchange yesterday, LRWC said a subsidiary acquired the property in Barangay Manoc-Manoc.
This project, which is still awaiting the go-ahead from Philippine Amusement & Gaming Corp., was estimated to cost $300 million to $500 million.
“Consistent with the pronouncement of Pagcor chair Andrea Domingo, it is expected that Pagcor will issue a provisional license to Galaxy Entertainment Group (GEG) before the end of this month,” LRWC said in its disclosure.
“Upon the issuance of the license, through the partnership between LRWC and GEG, an integrated resort will be constructed in the said property,” it added.
Pagcor has imposed a moratorium on the opening of new casinos as President Duterte expressed concern about the proliferation of gambling. However, applications submitted before Jan. 11 when such a policy thrust was firmed up will still be considered.
The integrated resort in Boracay is thus among the new casinos that will make the cut under the term of Mr. Duterte.
Davao-based businessman Dennis Uy has obtained a provisional license to develop a $300-million integrated gaming resort in Mactan, Cebu and has submitted a new application for a casino in Clark, Pampanga.
Pagcor had said there were also two other new casino licensees in Cebu aside from Uy’s Emerald casino, namely: Millennium casino of the Hong Kong-based Asian Gaming Group, and the recently approved Universal casino of the Gokongwei group.
Galaxy is envisioning a “world-class” beach resort in Boracay, which was rated the No. 1 island in the world in 2017 by Conde Nast Traveller readers.
Earlier, the Department of Environment and Natural Resources (DENR) has launched a crackdown on illegal structures on the island and those without property sewerage systems. President Duterte has given the DENR six months to clean Boracay, which the President described as a “cesspool.”
Galaxy operates three flagship destinations in Macau: on Cotai, Galaxy Macau, one of the world’s largest integrated destination resorts; the adjoining Broadway Macau, a unique landmark entertainment and food street destination; and on the peninsula, StarWorld Macau, a premium property.
LRWC shares surged by 12.06 percent to close at P7.06 per share on Monday on news that the casino project in Boracay would proceed. The company has a market capitalization of around P7.6 billion.
