MGM Resorts International announced that MGM China Holdings Limited, a 51 percent-owned subsidiary, formally accepted a land concession contract in the form of a lease granted by the Macau government to develop a five-star luxury resort and casino in Cotai, Macau.
The company paid the Macau government approximately $56 million as the initial payment of the contract premium.
With a budget of approximately $2.5 billion, the resort will include approximately 1,600 hotel rooms, 500 gaming tables and 2,500 slots built on an approximately 17.8 acre site. The resort will feature over 85 percent gross floor area of non-gaming offerings, including restaurant, retail and entertainment offerings.
Construction is expected to begin after the publication of the land concession contract, and is anticipated to take up to 36 months.
MGM Resorts International is a global hospitality companies, operating a portfolio of destination resort brands, including Bellagio, MGM Grand, Mandalay Bay and The Mirage. In addition to its 51 percent interest in MGM China Holdings, Limited, which owns the MGM Macau resort and casino, the company operates 15 properties located in Nevada, Mississippi and Michigan, and has 50 percent investments in three other properties in Nevada and Illinois.
MGM China is the holding company of MGM Grand Paradise, S.A., which holds one of the six gaming concessions/subconcessions to operate casino games in Macau. MGM Grand Paradise currently owns and operates MGM Macau. It is a subsidiary of MGM Resorts International.