Inside Asian Gaming

INSIDE ASIAN GAMING | March 2011 46 Briefs International Briefs Caesars seeks funds for tower Caesars Entertainment Corp said last month it was seeking US$400 million in financing to complete an unfinished hotel tower at Caesars Palace and develop a retail, dining and entertainment corridor on the Las Vegas Strip. In a filing with the Securities and Exchange Commission, the company said funds raised would be used for the project’s development and to pay various fees and expenses. Caesars said the funds would be secured by the company’s assets. Caesars had originally planned an initial public stock offering to pay for the completion of the 660-room Octavius Tower at Caesars Palace. The outside of the tower was completed in 2009, but the interior was delayed when the economy slipped and tourism sagged. The planned entertainment corridor, dubbed ‘The Linq,’ is a short thoroughfare that would run from the Strip to Audrie Street between the Imperial Palace and Flamingo Las Vegas. It would include restaurants, bars and shops along a promenade that leads to a 550- foot observation wheel in the back of the property. New Jersey Governor vetoes online gaming bill On 3rd March, New Jersey Governor Chris Christie vetoed legislation that would have made his State the first in the US to license and regulate online gaming. The legislation, which would have enabled Atlantic City casinos to offer online gaming to New Jersey residents, had passed the State Assembly by a 63-11-3 vote and the State Senate by a 35-2 vote in January. In a message to the Legislature explaining his veto, Gov. Christie said the online gambling bill violated the New Jersey Constitution. “The State Constitution explicitly requires casino gambling to be restricted to the territorial limits of Atlantic City,” he wrote. “Senate Bill No. 490 seeks to avoid this requirement by deeming all Internet wagers as being placed in Atlantic City, even if the person placing the bet is outside the boundaries of the city. In my view, the creation of a legal fiction deeming all wagers to have ‘originated’ in Atlantic City cannot overcome the clear and unambiguous language of the State Constitution.” Gov. Christie added: “Moreover, certain provisions set forth in this legislation are not consistent with my administration’s policy objectives, such as the continuation of public subsidies of horse racing.” Gov. Christie also claimed he was concerned about the development of Internet gambling cafés in New Jersey, pointing out: “Nothing contained in the legislation would prohibit commercial Construction begins on Baha Mar resort After five years of delays relating to difficulties securing the required financing, construction finally commenced last month on the now fully-funded US$3.4 billion Baha Mar resort, gaming and entertainment complex on Cable Beach in the Bahamas, with a scheduled opening in late 2014. The 1,000-acre Baha Mar will have 2,250 hotel rooms, including a 700-roomGrand Hyatt with 200,000 square feet of convention space; a 300-room luxury hotel by Rosewood Hotels & Resorts; a 200-room lifestyle hotel by Morgans Hotel Group; and a 1,000-room casino hotel. In addition, Hyatt, Morgans and Rosewood will each offer 100 luxury residences. The casino partner has not yet been selected to run the 1,000 square feet casino—which will be twice the size of the casino at the nearby Atlantis Resort & Casino, which was built in stages and completed in 2007, and sits less than 15 kilometres away from the Baha Mar site. The Baha Mar development will also feature a Jack Nicklaus signature golf course, 24 restaurants, three spas including a 30,000-square-foot destination spa, and a 20-acre Eco Water Park and pool experience. A nearby 16-acre private island will provide a premium retreat from the resort, offering private beaches and cabanas and other recreational opportunities. Baha Mar President Don Robinson said the key to success is the site—the hallmark being one mile of beachfront—and having four hotel partners to market the destination. Each brand covers a different niche, he noted, and none of the brands currently manage hotels in the Bahamas. Baha Mar Development also owns the adjacent Wyndham Nassau Resort & Crystal Palace Casino and Sheraton Nassau Beach Resort, which will not be part of the new development. The developers expect Baha Mar to attract 70% of its visitors from the US, 10% from Canada and another 5% from the United Kingdom, but the resort will also be marketed heavily in Asia and mainland Europe. Artist’s impression of Baha Mar Governor Chris Christie