Operator will have 15-year exclusive rights
Cyprus has begun weighing bids for the island nation’s first casino. Constantinos Petrides, deputy minister to the president, confirmed that bids will be accepted until December 18. “If everything goes smoothly, the final selection will be made 45 days from today,” Petrides announced on his Facebook page.
In July, the country’s parliament approved legislation for the establishment of “a top comprehensive casino resort in Europe and one of the best in the world.”
Cypriot authorities have said they expect up to 15 firms to bid, including the big players from Las Vegas, Malaysia and Macau.Ministry of Commerce sources said the bidders are likely to include MGM and Caesars, Genting and Kerzner.
Consultants predict that 1 million tourists may come to Cypress each year just for the casino.The casino concessionaire will be licensed for 30 years and have a 15-year monopoly on operations. The state’s take will be 15 percent of gross income from gaming and an annual fee of 2.5 million euros for the first four years. That fee will rise to 5 million euros for the next four years, and may be reviewed and adjusted every four years for the life of the term.
The government requires a five-star resort with at least 500 rooms, at least 100 gaming tables and at least 1,000 gaming machines, Xinhua reported; any investment beyond that level could earn extra “accommodations” from the government, the agency noted.
