Galaxy Entertainment is to invest $2bn in the second phase of its Galaxy Macau casino resort project, doubling the property's size.
Galaxy Macau, which opened in May last year, has already proven to be a major success for the company. Today, the operator unveiled plans to develop a further one million sq.m of space, including two new hotel and additional retail, convention and event facilities.
The investment will also see gaming capacity increased by up to 500 new tables and a further 1,000 slots.
"Building on the enormous success of the internationally acclaimed phase one of Galaxy Macau and the healthy long-term prospects for Macau, we are delighted to announce plans for Macau's next major development," said Chee-woo Lui, chairman of Galaxy Entertainment.
The roll-out of phase two has been brought forward and its opening will now align with the completion of major infrastructure developments in the Macau region in mid-2015, which include the expansion of border gates in Macau and Zhuhai, a high-speed railway network, completion of a ferry terminal in Taipa, a highway between Guangzhou and Zhuhai and the construction of the Hong Kong-Zhuhai-Macau bridge.
"These developments will serve as a catalyst for future growth and diversification of Macau's tourism and leisure market," said Lui.
Construction on the project is already under way, with Galaxy Entertainment funding the project through existing cash, income from operations and debt rather than issuing further equity.
Lui hinted that the company is unlikely to stop at phase two and may develop an even larger site in future.
"As we look into the future, no other operator in Macau is as well placed as GEG to take advantage of Macau's diversification and booming growth," he said. "After the completion of phase two of Galaxy Macau, we will still have one million sq.m of contiguous permitted building area for future development.
"This is an area as large as the combined phase one and phase two of Galaxy Macau. Its development will see GEG diversify its long-term income stream by attracting an ever increasing number of new customers aspiring for a truly unique resort experience in Macau."
