Casino resort investment to boost Lapu economy

CEBU, Philippines- The multi-billion casino resort planned to be built in Lapu-Lapu City will significantly contribute to the city's income and employment creation, a key official said.

Lapu-Lapu City Mayor Paz Radaza told The FREEMAN in an interview on Sunday that she's betting big on the casino development as it means income to the city and jobs for the locals.

Radaza said the City Council is to submit a "letter of no objection" to the Philippine Amusement and Gaming Corp. (Pagcor) before the casino resort's construction can start.

"It's for their (City Council) endorsement," said Radaza.

When asked if the casino project is already definite, Radaza hinted the investor is already "ready" but said there is no definite date yet as to when the construction will start.

Among the requirements for the project include an approval from Pagcor and the "no objection" from the local residents.

It was last April when gaming regulator Pagcor confirmed that a US investment group and a Macau-based gaming operator want to build a casino in Cebu's Mactan Island.

The Sino-American Gaming Investment Group and Macau Resources Group Ltd. have expressed intention to put up the so-called Mactan Leisure City.

Radaza revealed the investors met recently with the City Council for further talks on the casino project. But the official was not particular on what had been discussed during the meeting but she said the owner of Macau Resources made some presentation to the City Council.

The mayor said the casino resort will be built in a 14-hectare property fronting a beach in Barangay Mactan, Lapu-Lapu City and will have seven-star hotels and a high-end mall.

She added the Mactan Leisure City, which was earlier targeted to open in 2017, will be the investors' first casino investment in the Philippines.

But apart from Mactan Island, the two companies are also eyeing the same project in Masbate.

Radaza pointed out that casinos are no longer new in the city, saying there are already three existing casino operations there including that of Waterfront Airport Hotel and Casino Mactan.

"This (Mactan Leisure City) will be the fourth and biggest casino in the city," she said.

She believes this project will attract more tourists, noting that foreigners account for a big portion of the casino market. There will, however, be limitations to casino operations especially for the local residents, she added.

The mayor further explained the casino resort will give a boost to the local economy, creating jobs for the locals and increasing the city's income from business and real property taxes.

The Philippines has recently emerged as one of the rising gambling hubs in Asia, with gaming regulator Pagcor saying the country holds a big revenue potential in the casino industry. Macau in China is considered as the world's biggest gaming center.

Data from Pagcor showed gaming revenue in the Philippines in 2014 reached P39.99 billion, down 1.3% from P40.52 in 2013.

The recent years have seen the rise of casino investments particularly in the country's capital such as the Solaire Resort & Casino of Bloomberry Resorts Corp, Melco Crown Resorts Corp's City of Dreams Manila and the Resorts World Manila, among others. (FREEMAN)