Gaming company seeks compromise with Pagcor
Leisure & Resorts World Corp. (LRWC) hopes to reach a compromise with the state-run Philippine Amusement and Gaming Corp. over a measure that requires the gaming firm to build hotel facilities ahead of the opening of the casino at the Manila Bay entertainment complex.
One proposal from LRWC—the joint venture partner of Belle Corp. in the “Belle Grande Manila Bay” casino project—is a higher toll on the local gaming market, company officials said in a briefing Friday after the annual stockholders meeting.
“Our timetable hasn’t changed,” LWRC chair and president Reynaldo Bantug said, noting that the soft opening of the casino would still be in the second quarter of 2012.
The grand opening will be held sometime 2013.
Pagcor is requiring Leisure & Resorts World to build 800 hotel rooms prior to the opening of the casino.
“This is something [Pagcor] mentioned after we were finished with the building plans,” said LWRC vice president Renato Nuñez.
According to Nuñez, the real issue is “timing.”
He explained that there was no problem with the hotel building plans, which were all compliant with the requirement.
As a result, Nuñez said LWRC could not sign a commitment with Pagcor on the hotel requirement.
“We’re meeting with them again next week,” he said.
One proposal to strike a balance, Nuñez said, would be the imposition of higher toll on the local market to make up for the market share that Pagcor would be losing in its own casinos.
But so far, Bantug said, the Belle-LWRC venture was still on schedule.
“There are no major obstacles. The finer details have to be finalized, but there’s nothing of critical importance.”
Belle will invest about $550 million for the development of the casino, hotel, condotel and theater complex along Manila Bay. LWRC, on the other hand, will contribute $200 million to cover the casino fit-out and working capital.
The integrated gaming resort complex, located between Macapagal Avenue and Roxas Boulevard, will offer 19,626 square meters of gaming space. The first floor shall be devoted to the mass market, while 6,000 sq.m. will be reserved for VIP gamers. It will have 350 tables and 1,900 slot machines.
The facility will also include six hotel towers with 1,000 rooms by the fourth quarter of 2013, including 86 luxury suites, Belle said.
