Genting Announces Construction of Resorts World Las Vegas on the Echelon site
Provided Courtesy of Genting
By Joe Buda
Las Vegas Informer
Malysian gaming giant Genting announced plans to build a multi-billion dollar resort in Las Vegas.
The Resorts World Las Vegas project would be built on the 87-acre Echelon site, which Genting purchased from Boyd Gaming for $350 million.
Boyd stopped construction on the Echelon site in 2008 when the economic crisis first hit in the United States. Echelon, which was budgeted at $4.8 billion dollars, was a development that was to span five hotels totaling 5,000 rooms.
The work stoppage was originally scheduled to last 14 months, but work on the site never resumed. Genting stated that they will use the existing Echelon construction in their development, including the unfinished steel structures and parking garage.
Phase one of the Resorts World Las Vegas development is planned to include 3,500 rooms with a 175,000 square foot casino. Construction is expected to commence on this phase in 2014 with a 2016 opening. The estimated cost of this phase of the project is $2 billion.
Resorts World Las Vegas is the first megaresort announced for construction in Las Vegas since the economic crisis hit.
Genting owns resort properties worldwide and employs more than 58,000 workers.
It is best known for its Resorts World Sentosa in Singapore. The Sentosa property brought in $2.94 billion in gaming revenues last year. The complex contains six hotels and a Universal Studios theme park.
Genting also owns Resorts World Casino New York, which is part of the Aqueduct Racetrack in New York. Last year the New York casino earned $638 in gaming revenues.
The company also owns Star Cruises, as well as 50 percent of NCL. As of Jan. 31, Genting was valued at $38 billion.
Due to the sale of the Echelon property, Boyd Gaming took a $994 million charge on the property, causing Boyd to post a $899.9 million loss for the quarter.