MGM Cotai open for business

MGM Cotai opened its doors yesterday, with casino floor traffic above expectations following the grand opening ceremony.

The opening night ceremony was an all business affair. Officiating guests included Macau chief executive Mr. Chui Sai on, along with key Macau government officials and executives from MGM Resorts.

The low key event, was followed by a strong flow of visitors keen to see what the Lion would bring just a head of CNY. The non-gaming offerings were also a draw, with food & beverage outlets at two-thirds capacity most of the night. Janice Wong’s pastry shop was a success among visitors.

Punters were also drawn to the premium gaming areas and gaming tables.

MGM Cotai is the latest addition to the MGM portfolio in China. Designed as the “jewelry box” of Cotai, it plans to offer approximately 1,400 hotel rooms and suites, meeting space, high end spa, retail offerings and food and beverage outlets and a casino.

On Wednesday, analyst Chelsea Tam said the opening marks the reverse of the recent market share loss trend for MGM Cotai, and an increase in competitiveness of Cotai East versus the Macau Peninsula. 

"MGM Cotai will expand narrow-moat MGM China’s gaming tables by 29 percent and hotel room count by 238 percent at its full capacity, giving the group more complementary room inventory to attract high-end customers," said Tam.

MGM Cotai was launched at 70 percent capacity and no junkets. Table allocation was below expectations. The stand alone VIP Villas area will come online at a later date which will allow the property a second wind down the line.

In terms of ramp up, Tam said that MGM Cotai's ramp up speed should be "decent" as the adjacent opening of Wynn Palace in 2016 ramped up strongly. 


It's promixity to the established City of Dreams will benefit the property as it has a similar premium mass focus.

"Given Wynn Palace and MGM Cotai are new properties and City of Dreams is undergoing renovation, we expect City of Dreams to lose some traffic and revenue opportunities to these two new properties in the near term. Given the recovery of the gaming market and the decent accessibility, we expect MGM to see faster ramp up compared with the initial launch of Wynn Palace," said Tam.

More news from this jurisdiction

MacauThursday, Mar 22, 2018

Melco Resorts & Entertainment said its board has approved a $500 million share repurchase program.

MacauThursday, Mar 22, 2018

The Macau Horse Racing Company has been given three years to pay its back taxes and if it fails its license will be revoked, Secretary for Economy and Finance, Lionel Leong Vai Tac said.

MacauThursday, Mar 22, 2018

At least two casinos in Macau have applied to build smoking lounges in their casinos, said the Health Bureau on Wednesday, local media reports.

MacauWednesday, Mar 21, 2018

Macau gaming machine distributor Asia Pioneer Entertainment said revenue jumped by 63.7 percent in 2017, though net profit fell due to the expenses associated with the group’s recent stock exchange listing.

MacauTuesday, Mar 20, 2018

China’s VIPs have an ever growing number of IRs to choose from, but Macau is unlikely to be knocked from its post as the top draw for high rollers any time soon, analysts say.

MacauMonday, Mar 19, 2018

Melco Resorts & Entertainment CEO Lawrence Ho said the company will take care of the family of a worker who died at the construction site of its Morpheus hotel on Sunday.

Macau, Mainland ChinaMonday, Mar 19, 2018

Zhuhai airport plans to add more flights to improve connectivity to the Macau region.