Despite losing out in the contest for Marina Bay, Harrah’s Entertainment decided to stay in the game for Sentosa Island. However, according to at least one Asian gaming analyst, the two main contenders for Singapore’s second integrated casino resort licence will be Malaysian Genting International and The Bahamas-based Kerzner International. The fourth company expected to make a bid is a US consortium that includes Isle of Capri, Eighth Wonder.

The Marina Bay licence was won by Las Vegas Sands, which bid US$3.6 billion; more than both Harrah’s and Genting. The Marina Bay project submitted by Genting called for investment of US$3.2 billion and, following the Singapore Government’s decision to opt for the highest bid, the Malaysian company is likely to up the ante this time. It also holds a possibly winning hand from its tie-up with Universal Studios. Singapore wants family-based entertainment on Sentosa Island and a Universal Studios theme park should attract the tourists from around Asia.

However, Genting may not hold all the aces, Kerzner is renowned for successful casino resorts. The original Sun City in South Africa, the mammoth revenue-producing Mohegan Sun in the United States and the world-famous Atlantis, Paradise Island resort in The Bahamas are all brainchildren of Sol Kerzner. It remains to be seen whether the Singapore Government will once again choose the highest bidder, and which consortium that will be.

The Marina Bay Sands should open in 2009 with the Sentosa Island project scheduled for completion the following year. By 2010 other Asian countries may have brought in casino legislation, Japan and Thailand amongst others are known to be considering it. Singapore will need a strong incentive to bring in the tourists if it is competing with more than Macau for gambling dollars. The quality of non-gaming entertainment provided will be paramount. (E-08.16.06)

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