US-based gaming operator Mohegan has announced that it is planning to open its non-gaming offerings at its $5 billion new South Korean integrated resort by the end of this year, however speculation is rife over when its gaming operations will commence.
The group shed light on the new timelines for the project during its 4Q22 earnings call, noting that non-gaming offerings would come online “in the latter part of 2023”.
However, the casino itself is only expected to open “shortly thereafter”, depending on licensing requirements.
The group is now focusing on finishing out and expanding non-gaming elements of the property, located in Incheon, aiming to increase “hotel rooms, convention and meeting rooms” and food and beverage offerings – focusing on both the local and foreign markets – given that its casino will be foreigner-only.
Construction progress is currently at 43 percent, but is running ahead of schedule, however further investments will be needed to complete the massive project.
Mohegan has tapped the Hanwha Hotel group to manage the three five-star hotel towers which are set to open ‘in the latter half of 2023’- encompassing some 1,270 rooms and suites.
The group had previously announced that the first phase of Inspire would open in the fourth quarter of this year.
The group has also estimated that its 15,000-capacity arena – set to feature entertainment such as K-pop, will drive annual visitation to the region to 4 million.
Given the South Korean project’s location directly next to the Incheon International Airport, the group expects to tap the Southeast Asian market directly.
However, the group’s South Korea project is merely one component of its operations – which encompass seven properties in the United States and Canada.
According to the most recent results, the group saw its highest quarterly consolidated adjusted EBITDA in 25 years, totaling $120 million.
Gaming revenue for the operator totaled $280.88 million during the fourth quarter, down slightly from the same period of last year, while net revenues were $406.62 million – a rise of nearly $5 million yearly.
The group saw a profit of $48.96 million the quarter, compared to a loss of some $16.65 million in 4Q21.
