South Korea Approves Foreigners-Only Casino
It seems that South Korea has given the green light on gambling in Asia to foreigners by granting preliminary approval to Caesars Entertainment Corporation to build a foreigners-only casino resort in Asia. The final approval is still pending.
Partnering with Las Vegas-based Caesars on this development are Lippo Ltd in Hong Kong and OUE Ltd in Singapore. This marks this partnership’s first foreign venture to gain entry in to the casino industry in South Korea.
According to Reuters, South Korea frowns upon gambling for its own citizens and so only one remotely located casino is available, Kangwon Land casino in Gangwon province east of Seoul.
However, in order to boost its tourism, South Korea has allowed the development of a foreigners-only casino. To date, South Korea already has 16 of these foreigner-only casinos but they are small facilities.
Meanwhile, the new complex will be located on Yeongjong island, close to the airport and it is expected to cost $2.2 billion to develop. The casino is expected to open its doors in 2018 for the Winter Olympics in Korea.
According to a South Korean government source, Caesars will own 40% of this venture, while Lippo will hold 20% and OUE the other 40%.
Caesars is looking forward to this venture after they lost out in establishing themselves in Macau which is recognized as the world’s casino capital. The new South Korea casino resort is said to compete with another casino complex on the island of Jeju which is being planned by Genting Singapore and Landing International Development.