Possible billion investment
The Macau-based Alter City Group has filed for a gaming license on Tinian Island, one of three islands in the Commonwealth of Northern Marianas Islands in the North Pacific.
Lucia Blanco-Maratita, executive director of the Tinian Casino Gaming Control Commission, confirmed to the Saipan Tribune that the company, which plans a $1 billion resort on Tinian, made a partial payment of $1.2 million in December for a major siting permit, along with a $100,000 deposit and a $200,000 non-refundable casino license application fee. Few additional details have been disclosed about the project.
“After they have submitted all required documents and their application is deemed complete by our office, they will undergo suitability investigations,” Maratita said. A decision on the company’s suitability must be made within 120 days.
The real estate development firm has proposed what the Tribune called “a global theme park” and casino complex with 6,000 hotel rooms, villas and apartments as well as an 18-hole golf course and luxury retail shops. It will be named Plumeria Golf and Casino Resort, reported the Macau Business Daily.
Last November, Alter City signed a lease for a 152-hectare (376-acre) parcel in Puntan Diablo. Over time, the company could invest as much as HK$10 billion (US$1.28 billion) in the integrated resort. Its agreement with the Department of Public Lands includes an initial period of 25 years with an option for a further 15 years.
According to the Tribune, the company headed by Leong Kin Ian will focus on the mass market and offer 265,000 square feet of gaming space on three levels. “The number of tables and machines are still being planned because we are going to hire a professional gaming management company from Australia or America,” a company representative told the Business Daily.
“We don’t put much emphasis on the gaming, because it is just a part of the project. But our strategy will be oriented towards mass gaming. As for VIP business, we have not decided yet if we are going to introduce VIP rooms to the casino,” he added.
The Tinian Dynasty Hotel and Casino, the only casino resort now on Tinian, closed last September after the region was hit by Typhoon Soudelor. The property, which has been plagued by labor issues and U.S. Justice Department corruption charges, was set to reopen December 15, but employees were informed hours before that the doors would not open after all. According to a report in Marianas Variety, General Manager Christopher Bishop said, “The main reason … was that there was no budget approved for the Tinian Gaming Commission, so they didn’t have anyone to send to inspect and oversee the reopening of the casino. We did our part and we were prepared for the reopening, but the decision is with the gaming commission.”
Meanwhile, Dynasty owner Hong Kong Entertainment Overseas Investments Ltd. has been charged with criminal conspiracy, including more than 100 violations of anti-money laundering statutes. The company has since filed for bankruptcy, listing assets that amount to just 20 percent of liabilities. But the company insists it will reorganize and eventually reopen. According to the Chapter 11 filing, HKE wants “to avoid the possibility that the assets of the corporation will be insufficient to meet the obligations based on litigation expenses and possible liabilities, which may result from unliquidated but disputed claims.”
