Daily Archives: 23 Dec 2009

Three years in the making and Singapore’s two integrated resorts will finally open soon and the operators are upbeat about the prospects.

Resorts World Sentosa, due to open in a matter of weeks, expects to attract 13 million visitors in the first year alone.

The resort said it has been receiving thousands of enquiries from the public everyday. And one of the most talked about attractions is Universal Studios. The theme park is expected to attract some 30,000 visitors each day.

Visitors will encounter ferocious dinosaurs, Egyptian mummies and if that is not thrilling enough, a pair of duelling roller coasters should do the trick.

Resorts World Sentosa said with 60 F&B outlets, six hotels and retail options, there will be no lack of things to see and do.

Noel Hawkes, vice president, Resort Operations, Resorts World Sentosa, said: “We’ve got Michael Graves studio – Michael Graves being the man who designed the entire resort.

“We’ve got a Chihuly studio – Dale Chihuly is probably the most famous artist and maker of fabulous glass pieces, which by the way, he will have many pieces on display within the casino and in our Crockfords tower.”

And over in the downtown area, construction of the Marina Bay Sands resort is progressing well. The resort is touting its crown jewel in the form of the huge Sands SkyPark which sits 200 metres in the air, linking the three hotel towers.

The SkyPark will feature a public observation deck, landscaped gardens, outdoor pools and F&B options. Its massive convention space, at 120,000 square metres, will also bring over 150,000 delegates to the resort from 2010.

On the lighter side of things, the award-winning Broadway musical “The Lion King” will be making its Southeast Asian premiere in Singapore.

Thomas Arasi, CEO, Marina Bay Sands, said: “The Lion King is going to stimulate a lot of interest and a lot of curiosity. Once we move further down in our programming, it’s later on in the property’s development, but the same will occur with our second theatre.

“We are also getting a lot of buzz now and it will really pick up in the first and second quarter, about the compendium, the assortment of celebrity chefs restaurants that we have coming in.”

And those feeling lucky will clearly be hoping to take on Lady Luck in the casinos at the two resorts.

Source : Channel NewsAsia – 23 Dec 2009

RWS gets first mover advantage from rival’s delay

GENTING Singapore’s Resorts World at Sentosa (RWS) will benefit from construction delays at Marina Bay Sands (MBS) caused by problems with weather and sub-contractors.

In a research note yesterday, DBS Vickers said: ‘The second delay in the soft launch of MBS will further enhance RWS’s first mover advantage.’

DBS Vickers also said that ‘RWS should be able to catch the Chinese New Year peak season and lock in local market share’, highlighting that the $2,000 annual pass in lieu of $100 per entry to be paid by Singapore residents is exclusive to one casino.

The broking house maintains a ‘buy’ call on Genting Singapore at $1.16 a share and a target price of $1.30 per share.

‘RWS is on track to open in January 2010 and has submitted its casino licence application – now pending finalisation of the Casino Control Act and interviews of employees by the authorities,’ it said, adding that RWS has already recruited about 6,000 staff out of a target of 8,000.

The research note comes a day after Las Vegas Sands chairman Sheldon Adelson said the opening date for MBS had been pushed back from the first quarter of 2010 to Q2.

Speaking at a news conference, he attributed the delays to rain and certain sub-contractors going bankrupt.

Mr Adelson also shed light on the prospect of junket operators, saying that few, perhaps even none, will operate here.

In its research note, DBS Vickers said a strict junket licensing regime will be in place ‘and we believe the Singapore government will be pragmatic in ensuring both integrated resorts will be a success’.

For RWS, DBS Vickers expects gaming revenue to come mainly from the grind segment, contributing about 60 per cent of gaming revenue.

‘Universal Studios should help draw in the mass market, differentiating RWS from MBS’s MICE/business visitors focus and help diversify revenue base,’ it said. It expects non-gaming revenue to contribute 25-30 per cent of RWS’s total revenue.

‘In any case, a higher percentage of direct VIP business should help boost margins given the typical lower rebates compared with junket commissions,’ it said. ‘Although this could lead to higher default risk, we believe it should be easier to conduct credit checks and enforce debts given Singapore’s target market.’

Source : Business Times – 23 Dec 2009