A Leighton, China State and John Holland joint venture has been awarded the $US1.2 billion ($A1.5 billion) “Las Vegas of the East” City of Dreams resort project in Macau.
Yesterday, the Melco and James Packers’ Publishing and Broadcasting Limited joint venture named Leighton-China State-John Holland as the main contractor for its flagship resort and entertainment project, currently being constructed in Cotai, Macau.
Melco PBL Entertainment will retain the rights to vet all subcontractors and suppliers. City of Dreams is expected to take around two years to complete and the first phase including the casino is scheduled to open in the second half of 2008.
City of Dreams is a premium integrated urban entertainment resort featuring a variety of luxurious resort accommodations and top-notch facilities.
It will have several hotels to be operated by Hyatt International, Crown Tower Hotel and Hard Rock International totaling 2,000 rooms and serviced apartments and will house a 40,000 sqm underwater themed casino as well as restaurants, retail shopping and other resort like facilities.
Hard Rock will have its owns four start 350-room hotel and 25,000 sq ft casino.
Melco PBL Entertainment’s chief executive Lawrence Ho said the City of Dreams will be a comprehensive integrated resort catering for all age groups, including children and families
Leighton Holdings’ chief operating office Bill Wild said City of Dreams will be a significant landmark in Macau.
China State is amongst the largest construction contractors in Hong Kong. Established in 1979, it is a vertically integrated construction powerhouse. In July 2005, China State Construction was listed on the Main Board of the Hong Kong Stock Exchange.
Melco PBL Entertainment has also received conditional commitment from a syndicate of four banks for a project financing facility amounting to approximately $US1.1 billion to finance the City of Dreams project.
The facility is lead-arranged by Australia and New Zealand Banking Group Limited, Bank of America Securities Asia Limited, Barclays Capital and Deutsche Bank AG, Hong Kong Branch. A loan of $US500 million has already been provided by the same syndicate in early September 2006 to partially finance the acquisition cost of the subconcession.
By Adam Parsons
