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Authorities in South Korea have provided a one-year extension to a Chinese real estate developer for the development of an integrated casino resort near Incheon International Airport, the country’s busiest travel centre.
Guangzhou R&F Properties requested permission to delay the property’s opening by three years. The business was expected to begin phase one of the scheme in mid-March, according to regional news source GGRAsia.
Aside from the one-year extension, Guangzhou was also given permission to purchase a stake in the proposed resort that was formerly owned by Caesars Entertainment, Inc. of the United States. Last month, the latter company pulled out of the project as part of a larger strategy to concentrate on expanding its US activities.
The disappearance of Caesars did not come as a shock to many. Former Eldorado Resorts completed a reverse takeover of larger competitor Caesars Entertainment Corp. last summer. By merging the two firms, the United States currently has the largest casino operator by number of facilities.
Tom Reeg, the merged group’s CEO and former boss at Eldorado, had said before the deal closed that the opportunity to grow in the area would have to be “stupendous for us.” Shortly after those remarks, Caesars pulled out of the Japanese casino race.
The developer to find a new partner
R&K Korea, a Guangzhou subsidiary, is now marketing the Incheon resort scheme, which was formerly known as Caesars Korea. The country’s Ministry of Culture, Sports, and Tourism, according to information given by the Incheon Free Economic Zone Authority, the body charged with monitoring the project’s development, will enable the organisation to find a new partner with experience running casino properties.
The new resort will be built on property that Caesars acquired in late 2014. The property will include a foreigner-only casino, a hotel with numerous rooms and suites, serviced flats, villas, and multiple entertainment, event, shopping, and food and beverage services, according to a website for Caesars Korea that is no longer accessible.
Owing to the coronavirus outbreak, construction on phase one was stopped in early 2020. At the moment, the resort was around a quarter finished.
Last fall, it was announced that Caesars was suffering several delays due to not only the pandemic but also reported disputes between the company and its local construction partners, who insisted that all unpaid funds be paid in full and new financing for the project be obtained before work could restart.
Similar problems were recorded at Mohegan Gaming & Entertainment, the other US casino developer currently constructing an integrated resort in South Korea. The company delayed the opening of its property in the nation until early 2023 late last year.