Las Vegas Sands Could Increase Casino Space in Singapore
As part of the previously disclosed expansion plans for the venue, Las Vegas Sands (NYSE: LVS) may increase the square area allotted to the casino at its Marina Bay Sands integrated resort in Singapore.
The operator is anticipated to provide additional information later this year over what may be a $7.5 billion Marina Bay Sands expansion. Nevertheless, some news reports suggest that the additional casino space might be another location meant to enhance the already-existing resort.
In the city-state, Sands plans to build a fourth skyscraper at the famous location. Although there won't be another casino added, other rumors suggest Sands may expand the MBS gaming area.
The CEO of Sands, Rob Goldstein, stated during a Wednesday investor conference that while the new Singapore project will have fewer rooms than MBS, it will contain a gaming area and a live entertainment space. MBS, the world's most valuable casino brand, is one of Singapore's two integrated resorts. Resorts World Sentosa by Genting is the alternative.
Singapore, which is well-known for restricting its gambling options to the Sands/Genting duopoly, is allowing the operators to gradually grow in an effort to draw in more wealthy, niche travelers. The goal of the new entertainment arena is to draw major acts from Asia and the US.
Sands Smart to Pursue Singapore Casino Expansion
Being the sole operating market for Sands outside of Macau, it makes sense for the firm to take advantage of other expansion prospects in Singapore in addition to expanding Marina Bay Sands.
One of the gems in the Asia-Pacific gaming industry is MBS, and it needs to be improved to be competitive in this increasingly cutthroat market. One of the wealthiest casino hotels globally, it has a talent for drawing in affluent patrons from all across Asia. The operator may complete the MBS expansion project by 2029, with construction set to begin the following year.
Goldstein said during the investment conference that Singapore's gross gaming revenue (GGR) would reach $7 billion this year and then rise to $10 billion over the following several years.
Sands benefits from its presence at Marina Bay Sands, which is a vital component of Singapore's commercial and leisure travel industries. According to the World Travel and Tourism Council (WTTC), the city came in ninth place globally in terms of tourism spending in 2022.
Singapore's Rapid Growth
All markets in the Asia-Pacific gambling industry pale in comparison to Macau, but Singapore's growth is remarkable, especially when you consider that it is being propelled by just two venues.
"Singapore is going through a growth spurt,” said Goldstein at the investor conference. “All of a sudden Singapore’s become a hugely important market.”
In the event that MBS and Resorts World Sentosa merge to generate $10 billion in gross gaming revenue, Singapore would rank third globally in terms of casino market size, behind Macau and Nevada.
