The Wynn Al-Marjan Island casino resort project is happening, but one development may give it an unexpected competitive advantage
Wynn Resorts has called dibs on the commercial development of casinos in the United Arab Emirates, owing to its license to run such a property issued by the newly founded regulator, the General Commercial Gaming Regulatory Authority (GCGRA).
Wynn Resorts Likely to Enjoy Strong Lead in UAE Casino Market
With MGM Resorts International looking to build a similar project in Abu Dhabi, Wynn Resorts may not have much to worry about as the regulator now seems to have decided to act more slowly on any future casino license approval, essentially giving the Wynn Resorts-backed project the upper hand.
MGM Resorts International is likely to get a nod from the GCGRA all the same, but the timeline on that is still fuzzy. According to CBRE, Wynn Resorts will enjoy a valuable head start that will go unchallenged for a while.
The firm published a breakdown of what to expect from the incoming development, based on interviews between CBRE analysts and gambling industry insiders, as part of the Las Vegas Executive series.
Wynn Resorts may have won these exceptional market conditions for itself by simply delivering what it had promised – the project is set to open in early 2027.
CBRE estimates that “momentum for any additional integrated resorts licenses” has stalled for the time being, with MGM Resorts International’s request, filed in September last year, still pending. However, a second license is surely coming, and CBRE’s analysis argues as much.
“Although we still think the awarding of a second license will happen eventually and would likely help investors gain confidence in the market (and thus, valuation credit), the benefit of a longer head start in the region is probably more valuable longer-term.”
CBRE
The Wynn Brand Poised to Gain Globally
CBRE is similarly confident in the long-term success of the Wynn Resorts brand not just in the United Arab Emirates but well beyond that market in places such as the United Kingdom and back in the United States, referencing the recent acquisition of Crown Aspinalls in London.
In light of these events, Wynn Resorts has allowed itself to be a little more aggressive and optimistic about its long-term prospects. Wynn Resorts has earlier secured a $2.4-billion loan to ensure that the Wynn Al-Marjan Island project will be arriving in time for the predetermined date.
