Mohegan Gaming’s new Inspire Entertainment Resort in Incheon, South Korea, has applied for a permit to operate its casino. With any luck, the gaming floor will open in time for the Lunar New Year holiday, which will take place from February 9 to 12.
According to GGRAsia, the tribal gaming giant, based in Connecticut, faced a two-month wait for the government’s approval, meaning the foreigner-only casino could open as early as February 2. Before it opens, the hotels at the resort complex must first earn a five-star rating. The Korea Tourism Association confirmed last week that the star rating for Inspire is still under review.
On November 30, Mohegan Gaming staged a soft opening of the property, showcasing non-gaming amenities like meeting facilities, F&B outlets and a 15,000-seat concert venue, the Inspire Arena.
The complex also includes three hotel towers with a total of 1,275 rooms; the largest ballroom in Korea; and a “state-of-the-art digital entertainment street” called Aurora; and a glass-domed indoor water park known as Splash Bay.
Phase 1 of the development represents a $1.55 billion investment; at buildout, the complex will cost a total of $5 billion. Inspire will target domestic visitors for non-gaming attractions only, plus international visitors, especially Asian gamblers.
In related news, according to Inside Asian Gaming, Mohegan Gaming has expressed confidence that Inspire will be cash flow-positive before the end of 2024. On its third-quarter earnings call, Chief Operating Officer Jody Madigan said, “Post (opening) weekend, we’ve seen good foot traffic. On weekends our hotel occupancy is where we thought it would be, and we’re seeing really good food-and-beverage covers.
“We’re not fully ramped, so we have a couple more things coming in early 2024 on the gaming side. Then, shortly thereafter, there will be some additional non-gaming in Q2 that will finish the project out. I’m pleased with what we’re seeing so far. I do believe we’ll be cash flow-positive by the end of the year.”
CEO Ray Pineault added, “We do anticipate having our casino license in the first calendar quarter of 2024 and ramping up from there. Then some of the retail and additional things come online in the second quarter. We’re in line to receive our casino license, having submitted all of our material at this point.”
Pineault added, “I’m happy to report that our team performed flawlessly for the events, and the reviews we’ve received from the attendees at both events—both in person and as reviewed on social media—have been raving about the quality of the property and the service of our team.
“As we’ve indicated from the outset, Mohegan Inspire will have a balanced mix of gaming and non-gaming amenities. The first few events have demonstrated the appeal of our non-gaming amenities and we look forward to the continued strength of the arena and ballroom along with other non-gaming amenities we will offer as they become operational.”
Mohegan Gaming reported net revenues of US$1.67 billion in FY23, and adjusted EBITDA of US$399.9 million due to the performance of its domestic properties.
