American casino giant Wynn Resorts Limited has reportedly announced plans that will see it add a further 1,371 rooms to its Wynn Palace Cotai integrated casino resort in Macau via the construction of a pair of adjacent hotel towers.
Unidentified timetable and costs:
According to a report from GGRAsia, the revelation came from Matt Maddox, Chief Executive Officer for the Las Vegas-headquartered firm, during a Wednesday conference call to discuss the operator’s unaudited third-quarter financial results. He purportedly did not detail the cost or timetable for the envisioned expansion of the Cotai Strip property but did declare that a more thorough estimate is expected to be made available next year.
Necessary extension:
Maddox reportedly explained that the 1,700-room Wynn Palace Cotai ‘needs more hotel rooms’ if it is to surpass $1 billion in annual earnings before interest, tax, depreciation and amortization before declaring that the figure for the nine-month period to the end of September stood at $617.3 million.
Pair of hotel towers:
GGRAsia reported that the first stage of the plan from Wynn Resorts Limited would see the firm’s Wynn Macau Limited subsidiary build a 671-room all-suite hotel tower on a seven-acre parcel of land located next door to the Wynn Palace Cotai. It detailed that this 1.5 million sq ft venue would subsequently be followed by a 700-room counterpart sited on a four-acre plot situated to the north of the existing structure.
Maddox’ reportedly stated…
“We have a seven-acre parcel next to Wynn Palace Cotai and we’ve been working very hard on what could come next and what we have so far is a 1.5 million sq ft facility that we think will be a must-see in Macau. In addition, on the north four-acre parcel we were working on a 700-room all-suite hotel that we’ll connect into the north side of Wynn Palace Cotai.”
Crystal Pavilion:
To complement the new hotel towers, Maddox reportedly stated that his firm would additionally like to construct a large glass structure on the seven-acre site to be christened as the Crystal Pavilion. He purportedly proclaimed that the plan currently calls for this structure to feature non-gaming facilities such as a ‘fully immersive’ theater offering a trio of regular shows.
Maddox’ reportedly stated…
“We plan on presenting this concept in the next couple of months working through 2019 on the permitting, finalizing the design, getting everything together and beginning construction in 2020.”
Improving Macau business:
For the third quarter, Wynn Resorts Limited reportedly detailed that its aggregated operating revenues rose by 10.2% year-on-year to reach $1.7 billion while its adjusted property earnings before interest, tax, depreciation and amortization had increased by 6.6% to stand at $504.3 million.
Wynn Resorts Limited reportedly explained that third-quarter operating revenues from its Wynn Macau Limited subordinate swelled by 20.5% year-on-year to hit $1.3 billion thanks in large part to a 19.4% boost from its casino business to approximately $1.1 billion. It moreover purportedly stated that the subsidiary saw its comparable net profit for the three-month period more than double to surpass $223.5 million.
Reportedly read a statement from Wynn Resorts Limited…
“Operating revenues from Wynn Palace Cotai and our Wynn Macau operations increased $205.5 million and $17.6 million respectively compared to the same period of 2017. Operating revenue growth at Wynn Palace Cotai and Wynn Macau was partially offset by a decrease of $65.4 million from our Las Vegas operations.”