Having lost out twice on building the integrated resorts in Singapore, property developer CapitaLand is setting its sights on a similar resort in China.
And it says it may use the rejected proposals for Marina Bay and Sentosa on its Chinese concept.
But this will still need the green light from Chinese authorities.
While CapitaLand is keen to grow its integrated leisure, entertainment and conventions business, it says it will not restrict its investments to projects with a gaming or casino component.
The developer revealed this during a news conference to provide more details on its recent acquisition of a 20 percent stake in a casino project in Macau.
CapitaLand says the total development cost of the project, called Macao Studio City, may go up to S$764 million.
CapitaLand expects a 15.2 percent rate of return on the project, partly because of the strong tourism growth expected in Macau.
It says it is optimistic about the potential of the integrated leisure, entertainment and conventions business in other parts of Asia.
Wong Heang Fine, CEO of CapitaLand Integrated LEC says: “The total tourism receipts for the world’s tourism sector amounts to US$625 billion and Asia Pacific constitutes 17 percent of that total value.
“And if you look at Asia today, the growth rate for the tourism sector is approximately twice of the average for the world. For the last few years, Asia Pacific has grown about 6.1 percent as compared to 3.1 percent for the world.”
Source: Channel NewsAsia, 16 January 2007