$300M casino to rise in Cebu
Cebu will soon be on the Asian gaming map.
With unlisted Udenna Corp., the firm owned by Davao-based businessman Dennis Uy, set to build a $300-million integrated resort and casino here, Cebu will soon take a key role in the country's growing gaming sector.
April Lynn Tan, vice president and head of research at COL Financial, told The FREEMAN that this new gaming investment outside Metro Manila will enable the county's gaming market to expand, thus allowing the industry to disperse to key cities like Cebu.
"I think there is room for the market to accommodate an additional player, especially outside of Manila," Tan said.
On Wednesday last week, Philippine Amusement and Gaming Corp. (PAGCOR) Chairman and CEO Andrea Domingo and Uy, president and CEO of Udenna, signed a provisional license agreement for the LapuLapu Leisure Mactan integrated resort and casino.
Uy group's wholly owned subsidiary Udenna Development Corp. (UDEVCO) will build the integrated resort and casino, deemed the county's first outside Manila, on a 12-hectare prime beachfront property in Punta Engaño in Mactan Island, Lapu-Lapu City, about six kilometers or a 20-minute drive from the airport.
Development of the integrated resort and casino is eyed to start in three months, the company earlier said in a statement.
The project's completion is targeted in 2022, with the casino, retail complex and hotels scheduled to open as early as 2019.
According to Tan, this casino project in Cebu will further boost tourism industry in the country particularly in the province.
"It should give foreigners more reason to come to the Philippines," she said.
“Lapu-Lapu Leisure Mactan only marks the beginning of our vision of a world-class leisure, residential and commercial destination in Central Visayas,” Uy was quoted in the statement as saying.
The company sees this integrated development taking a major role in bringing the Philippines on a par with the region’s premier destinations for leisure, gaming and meetings as well as for commercial and residential investments.
The Philippines is host to various gaming licensees operating in Entertainment City, the county's response to gaming hubs in Las Vegas, Macau and Singapore.
Belle, together with Melco, operated City of Dreams Manila while Bloomberry owns and operates Solaire Resort and Casino.
Uy, also president and CEO of Davaobased Phoenix Petroleum Philippines, was one of the campaign contributors to President Duterte's during the election last year.
Lapu-Lapu Leisure Mactan will feature iconic modern buildings; a skydiving center on a pier; a retail complex; a convention center; luxury hotels and villas; specialty dining options; private residences; and condominium-hotels.
This year Philippines targets gross gaming revenue of P155 billion to P160 billion ($3.1 billion to $3.2 billion), up 4-7% from last year, government data showed.
Growth is seen to be driven by warmer ties with China, a big source of high rollers and wealthy gamblers, and rising foreign visitors.