Melco: Maybe, maybe not
As the Greek island of Cyprus gears up to award its only casino license, the names on a short list of contenders for the resort project still have not been identified.
That hasn’t stopped news organizations from speculating. According to the World Casino Directory and Politis News, the names to watch are U.S.-based Hard Rock International in partnership with Melco (presumably, WCD reported, Hong Kong-listed Melco International Development Ltd., not Melco Crown of Macau); Philippine casino operator Bloomberry Resorts; and Cambodia’s NagaCorp.
The favorite seems to be the Hard Rock-Melco alliance. As recently as last month, the Hong Kong-based company asserted it was not in play in the jurisdiction, but in an email last week to Global Gaming Business, Jeffrey Tam of the company’s Strategic Financial Relations Ltd. department wrote, “Melco International remains interested in exploring various emerging gaming jurisdictions globally, including the Republic of Cyprus.”
The winner will be granted a 30-year license with no competition for at least the first 15 years, and have about two years to develop the resort; in the interim, it also will have the option of building a temporary casino to generate revenue. The first integrated resort in the southern part of the Mediterranean island must offer a minimum of 100 gaming tables and 1,000 gaming machines. The chosen operator may also develop a smaller satellite casino and a freestanding outlet with just three machines.
There are currently no legal casinos in the southern part of the republic, which is affiliated with the Greek government; however, several casinos operate in the northern Turkish sector.
The project, approved by the government in August 2015, is expected to boost tourism and create some 25,000 new jobs. The Cyprus government will impose a 15 percent tax on gross gaming revenue at the resort.
