Rebrand to be complete in 2020
The Las Vegas Sands Corp. says its plan to rebrand its Sands Cotai Central in Macau to the Londoner will be completed in phases into 2020.
In a November 1 filing to the New York Stock Exchange, the Sands Corp. said the redevelopment project will “commence in 2018 and be phased to minimize disruption during the property’s peak periods.”
Sheldon Adelson, Sands chairman and CEO, said his new Londoner Macao, which will join the Venetian Macau and the Parisian Macao in the Chinese territory, will feature “dynamic new attractions and features from London including some of London’s most recognizable landmarks, an expanded and reimagined retail mall and 350 luxurious new suites, the St. Regis Tower Suites.”
Japanese brokerage Nomura noted that the massive renovation and expansion could negatively affect the company’s EBITDA and anticipated a decline of US$100 million to US$150 million for 18 months to 24 months.
“Imagine the construction equipment, scaffolding and hundreds of workers on site from 8 a.m. to 8 p.m., all competing for space with customers entering the building,” said the Nomura team in its note. “The outside issues are just the beginning. Retheming the interior could be just as, if not more, disruptive to guests and players,” Nomura analysts wrote.
“We are concerned that the level of disruption in 2018 and 2019 could be higher than expected.”
