Government pushes for quicker development
Konstantin Shestakov, head of tourism for Primorsky Krai in the Russian Far East, says the results achieved by Lawrence Ho’s Tigre de Cristal casino resort in the Primorye special economic zone bodes well for other casino investors there.
“The apparent success of the first hotel and entertainment complex with casino Tigre de Cristal will certainly serve as a good incentive for future investors,” Shestakov said in a report from by the Primorsky Krai Development Corp., a government entity charged that manages the casino zone about 30 miles from the Pacific port city of Vladivostok. “Figures show that investors in Tigre de Cristal and the state show a profit,” he added.
Phase I of Tigre de Cristal opened in October 2015. It is a project of Hong Kong-listed Summit Ascent Holdings Ltd., controlled by Ho, who also runs Melco Entertainment & Resorts. Phase II of the resort will bring the number of hotel rooms to 500 and add duty-free shopping, a food court and extra gaming space, according to the firm. Half the new gaming space is expected to open in the second half of 2019.
Summit Ascent reported a net profit attributable to shareholders of HKD559,000 (US$71,454) for Tigre de Cristal’s first full year, compared to a loss of HKD85.4 million in 2015. Primorsky Krai’s website said Tigre de Cristal has already contributed tax revenue of RUB864 million (US$14.4 million) since its opening. “By the end of 2017, the total amount of taxes will exceed RUB1 billion,” the report stated.
Hong Kong-listed NagaCorp Ltd. is also developing a casino resort in the Primorye zone. Company Chairman Tim McNally recently told GGRAsia the property should open in the first half of 2019. Diamond Fortune Holdings Ltd. has reportedly broken ground on a third planned casino resort in Primorye. The firm plans to open Phase I of the Selena World Resort and Casino in 2019.
According to a report on CalvinAyre.com, authorities in Russia are now preparing to take control of the special gaming zone to speed development there. Legislation to amend the country’s gaming laws is expected to be complete in December. “The Far East Investment and Export Agency is now tasked with attracting new large international players to the project,” a ministry source reportedly said.
