In the works since 2012
The Macau Government Tourism Office has finally issued a hotel license to the 13 Hotel on Coloane. On August 16, the MGTO issued a statement saying it had OK’d hospitality operations at the hotel “as well as the establishments located inside the hotel.”
The approvals followed two rounds of inspections at the property, most recently at the end of July. The 13 failed its first inspection in June due to “unfinished works” in guest rooms, reported the Macau News Agency. After several announcements of grand openings that were late pushed back, the company recently hinted that the hotel could open on or before August 31. Right now, however, no opening date is listed in the hotel’s website.
Delays in completing the hotel have been attributed to a drop in Macau’s VIP gaming sector, which followed Chinese President Xi Jinping anti-corruption campaign.
That sector has picked up, though analysts have expressed doubts that the 13 could draw VIPs without an in-house casino; the gaming facility with 66 tables is not expected to open until March 31, 2019, after the city’s new-to-market table allocation has “maxed out” for 2018. The government has capped table growth in the gaming town to 3 percent per year.
With construction expenses previously estimated at HK$1.3 billion (US$165.6 million), the 13 has been in some phase of development since it was first announced in 2012. The property has a gross floor area of approximately 87,800 square meters (945,000 square feet), with 200 duplex suites and villas and a “royal villa” of about 1,843 square meters (20,000 square feet).
The hotel will also include a 100-seat Michelin starred L’Ambroisie French restaurant. Another much-touted feature is a fleet of 30 custom Rolls-Royce Phantom luxury cars in “Stephen red” (for former 13 Executive Director and Chairman Stephen Hung) for use of the property’s guests. Hung, a Hong Kong investment banker, resigned in January to be replaced by Peter Lee Coker.
In October 2017, the company announced it was raising “urgent funds” totaling HK$2 billion through a combination of funds, debt, and loans, and saying afterwards that it managed to raise approximately HK$973 million in net proceeds for the hotel development project through rights issue. As of March 31, 2018, however, the company recorded HK$1.5 billion in impairment losses. “We expect consolidated losses to continue until the hotel is operational and generating revenue. We believe that our niche strategy targeting a global clientele of customers seeking a unique luxury experience remains well positioned in the Macau market,” South Shore said in its last report.
According to Inside Asian Gaming, the 13 has been scheduled to open on seven different dates: in March, July and December 2017, and March, April, June and July 2018. The scheduled August opening seems to be a go, however.
