The Melco-Hard Rock Resorts Cyprus consortium has been selected as the preferred candidate for the construction of the first casino resort in the Republic of Cyprus, local media reported on Friday.
Last year, the Cypriot government adopted a legislation that allowed for the establishment of a multi-purpose complex with gambling, accommodation, and entertainment options. Legislators launched a call for tenders process that attracted eight international operators. Three candidates were short-listed for the next stage of the process, with those being a consortium of Hong Kong-listed Melco International Development and US operator Hard Rock International, Cambodia’s NagaCorp, and Philippine operator Bloomberry Resorts.
The three interested developers had up until early in October to submit detailed bids for the operation of the nation’s first casino and hotel resort. NagaCorp and Bloomberry Resorts dropped out of the race shortly before the October deadline, thus leaving the Melco-Hard Rock joint venture the sole candidate.
To comply with the newly adopted Cypriot casino law, the developer will have to make sure that its complex features a casino floor with at least 1,000 slot machines and 100 gaming tables, and a 500-room hotel. As the preferred bidder, the Melco-Hard Rock consortium will be granted a 30-year license for the operation of what will be the first casino property in the Mediterranean island’s Southern part. What is more, the operator will be secured with a 15-year exclusivity period, which means that no other casino resort will be allowed to open doors in the Republic of Cyprus over that time span.
The hotel and casino venue is planned to be built in Limassol, known to be the second largest urban area in Cyprus and a famous place of interest among international tourists. The construction of the new complex is expected to further boost the island’s reputation as a popular tourist destination, to create thousands of jobs, and to contribute significant funds to the nation’s’ coffers.
Melco-Hard Rock has partnered with local farming company Cyprus Phassouri (Zakaki) Ltd., part of the larger CNS Group, to work together on the casino project. The international gambling operators’ local partner actually owns the portion of land where the hotel and casino property is to be built.
The Melco-Hard Rock consortium has not commented on the Friday’s announcement yet. Government officials told media that construction is expected to commence in the first quarter of 2017. The selected developer will be able to open a smaller-scale satellite casino and up to three slot parlors around the country, while the main resort is being built.
