PAGCOR, or the Philippine gambling regulator, granted Universal Entertainment Corp.’s local subsidiary Tiger Resorts Leisure and Entertainment Inc. the much-needed deadline extension to complete its $2-billion integrated resort in Manila’s Entertainment City.
Manila Bay Resorts should have been completed in March 2015 but a number of setbacks delayed the launch of the expensive property. Tiger Resorts, owned by Japanese businessman Kazuo Okada, experienced difficulties in finding a local partner for the project. Under the Philippine law, a foreign developer cannot own more than 40% of the land where a given property is to be located.
Due to the project delay, Tiger Resorts’ $2.2-million guarantee that it would finish the integrated resort on time was confiscated by PAGCOR. Last month, the developer announced that it would most definitely finish and launch the hotel, casino, and entertainment complex by December 2016.
Tiger Resorts has not commented yet on the information that PAGCOR had the deadline extended.
Following the important announcement, Francis Hernando, Vice President of PAGCOR, said that the Manila Bay Resorts developer will not only have to make sure that the integrated resort will be launched on time but will also need to set aside another $2.2 million in a guarantee fee and to ensure local regulators that it would be able to financially support its multi-billion project.
Mr. Hernando also pointed out that the developer could be fined again in case it delays the completion and the opening of the 44-hectare resort. The official further noted that Tiger Resorts could even have its license suspended.
The company is one of four licensees for the operation of integrated resorts in Entertainment City. Two such complexes – Solaire Resort & Casino, managed by Bloomberry Resorts and Hotels, and City of Dreams Manila, owned by Melco Crown Philippines, have already opened doors.
As mentioned above, Manila Bay Resorts is expected to open doors in 2016, provided that the project does not experience further delays. Last but not least, Resorts World Bayshore, owned by Genting Hong Kong Ltd., is likely to open doors in 2018. The integrated resort was expected to be launched in 2016. Later on, developers revealed that it would be operational by 2017. Project delays necessitated the further deadline extension.
