Melco Resorts and Entertainment’s Studio City Phase 2 casino is expected to begin operations in the second quarter of 2023 and the operations of the casino will be in phases, Chairman and CEO Lawrence Ho told investors in the 2Q2022 post-earnings conference call.
“Construction of Studio City Phase 2 is progressing well. We’ll be monitoring the markets closely to determine the appropriate time to open and currently anticipate phasing the opening beginning in the second quarter of 2023,” Lawrence Ho, founder, Chairman, and CEO told investors in the post-earnings analysts’ earnings call.
Construction work at the Studio City project continued in a hassle-free manner during the COVID-19 pandemic. Arguably, out of all of the construction projects the company ever had, it’s likely to be the smoothest, despite all of the COVID restrictions, Lawrence Ho added.
Over the past couple of years company management adopted a policy to reduce the budget rather than inflation or the supply chain causing an increase in budget, the Chairman added.
“And I think that’s really because of the good job that the project and construction team together with China State Construction have done,” Lawrence Ho said.
The company management indicated an approximate capital expenditure spend of about $250 million for Phase 2 of Studio City.
“Significant majority of that will be in the second half of this year,” Geoffrey Stuart Davis, Melco Resorts & Entertainment Limited – Executive VP & CFO said.
Designed by renowned international architecture firm Zaha Hadid Architects, the USD 1.3 billion Studio City Phase 2 complex further complements the integrated resort’s existing Phase 1, which features a modern interpretation of the rich detailing, bold geometries, and craftsmanship of the Art Deco period.
The new entertainment and leisure destination will offer one of Asia’s largest indoor & outdoor water parks, a six-screen Cineplex comprising two regular houses and four VIP suites, as well as a state-of-the-art MICE space.
In Studio City Phase 2 complex, the new five-star hotel towers, including Macau’s first W Hotel, are expected to raise the bar for the city accommodation offering, bringing an additional 900 rooms and suites.