Sands China has officially completed a major transformation of its Londoner Grand hotel, reopening all 2,405 rooms and suites in time for the anticipated May Golden Week surge in visitor traffic. The extensive overhaul, valued at USD 1.2 billion, marks the second and final phase of the broader redevelopment of The Londoner Macao, aimed squarely at capturing the lucrative premium mass market.

The hotel, formerly the Sheraton Grand Macao, has undergone a sweeping reduction in total room count—from over 4,000 to a refined mix of 1,500 suites and 905 standard rooms. This recalibration reflects a deliberate move to target higher-value guests, a strategic pivot that Sands China believes will yield long-term financial rewards.

CEO Sees Long-Term Growth Despite Short-Term Drag

During Las Vegas Sands’ first-quarter 2025 earnings call, Sands China CEO Grant Chum emphasized the importance of the full room inventory returning to service in mid-April, describing it as a pivotal moment for the company.

“We now have the 2,400 rooms and suites in full service. And you’ll see us leveraging the asset, the new product, to drive customer growth and, obviously, eventually, revenues and EBITDA. But the ramp up will take its course over the next twelve months,” Chum said, according to Macau Daily Times.

He further acknowledged that the property is still in the early stages of ramping up operations, with the full financial benefits expected to unfold gradually. The room shortages during the renovation period had constrained Sands China’s capacity to capitalize on periods of high demand, contributing to a 5.7% dip in total net revenues year-on-year, down to USD 1.7 billion. Net income fell to USD 202 million, a notable drop from USD 297 million during the same period last year.

Modest Golden Week Prospects Despite Room Expansion

The reopening aligns with Golden Week, one of the most significant travel periods in mainland China. However, this year’s outlook remains modest. According to Morgan Stanley, average daily rates (ADRs) for hotels are projected to be 14% lower than during the Lunar New Year and 2% below May Golden Week 2024. Occupancy rates also show mixed signals—while they are 4 percentage points higher than last May’s figures, they lag 5 points behind this year’s earlier Lunar New Year levels.

Despite the muted expectations, Macau’s tourism office is optimistic. Maria Helena de Senna Fernandes, director of the Macao Government Tourism Office (MGTO), projected daily visitor numbers to range from 127,000 to 140,000 during the five-day Labour Day holiday. That could translate to as many as 700,000 total visitors—up 15.7% compared to last year if the higher end of the estimate is realized.

Future Investments to Focus on Routine Enhancements

With the major redevelopment now behind them, Sands China plans to shift its capital strategy. Grant Chum confirmed that while minor upgrades and new amenities are still in the pipeline for The Londoner, the company will primarily focus on routine enhancements across its Macau properties, which include The Venetian, The Parisian, Four Seasons, and Sands Macao.

“I think we will continue with regular upgrades and renovations of our existing assets … but the major redevelopment and upgrading of The Londoner is largely complete,” Chum stated. He added that future investments would avoid large-scale disruptions, saying any forthcoming renovations would “only take modest [hotel] keys out at any one time.”