Get a 1-Year Extension for Casino Resort from Former Caesars Partner in Korea
Authorities in South Korea have extended the deadline for a Chinese real estate developer to build an integrated casino resort close to Incheon International Airport, the nation's busiest travel hub, by one year.
A three-year delay in the property's opening was requested by Guangzhou R&F Properties. According to local news source GGRAsia, the corporation was scheduled to introduce the program's first phase in mid-March.
Along with the one-year extension, Guangzhou was given permission to acquire a share in the resort that was once owned by US casino juggernaut Caesars Entertainment, Inc. As part of a continuing effort to concentrate on expanding its US operations, the latter company withdrew from the initiative last month.
The departure of Caesars did not really surprise many people. Former Eldorado Resorts completed a reverse acquisition of Caesars Entertainment Corp., a larger rival, last summer. The two businesses joined together to form the largest US casino operator in terms of the quantity of sites.
Before the acquisition was finalized, Tom Reeg, the CEO of the merged company and previous CEO of Eldorado, had stated that the prospect would have to be "stupendous" for us to consider growth in the area. Soon after making those remarks, Caesars withdrew from Japan's casino race.
A New Partner Is Needed for the Korea Resort Developer
Previously known as Caesars Korea, the Incheon resort project is now being marketed by R&K Korea, a Guangzhou affiliate. The country's Ministry of Culture, Sports, and Tourism would force the company to find a new partner who has experience managing casino properties, according to information released by the Incheon Free Economic Zone Authority, the organization charged with monitoring the project's advancement.
On a property that Caesars bought late in 2014, the upcoming resort is anticipated to be situated. A no longer accessible website for Caesars Korea claimed that the facility will have a casino restricted to visitors from other countries, a hotel with a variety of rooms and suites, serviced apartments, villas, and several entertainment, event, retail, and food & beverage facilities.
Due to the coronavirus outbreak, phase one construction was put on hold in the beginning of 2020. At the time, the resort had around 25% of its construction finished.
Last fall, it became known that Caesars was dealing with a number of delays caused by the pandemic as well as rumors of a dispute between the company and its local construction partners, who insisted on the full payment of all outstanding debts and the acquisition of additional funding for the project before construction could proceed.
Similar difficulties were reportedly experienced by Mohegan Gaming & Entertainment, the other US casino operator now constructing an integrated resort in South Korea. The corporation postponed the start of 2023 for the launch of its property there late last year.