RUSSIA

Primorye set for next stage

The development of the Primorye gambling zone in Russia’s Far East is hotting up with three new complexes scheduled to open next year and authorities stepping up their efforts to attract further investment.

The Primorsky Krai Development Corporation and local investors outlined their plans for the zone, which is located near Vladivostok, during G2E Asia in May. The area is seen as the most promising of Russia’s designated gambling zones given its close proximity to northern China, Japan and South Korea.

At present only Summit Ascent’s Tigre de Cristal is in operation, but the second phase of development is scheduled for completion next year with at least 12 hotel complexes with casinos, as well as entertainment facilities. The total investment amounts to more than US$2 billion.

“In 2020, the second phase of the construction of the Primorye IRC will be completed – the opening of new Naga Vladivostok and Shambala complexes will take place,” said Primorye Corporation Executive Director Igor Trofimov. “Investors are in the active stage of construction – the first floors of new buildings have already been erected. Financing in the amount of RUB2.9 billion under the program initiated by the Federal Agency for Tourism will be directed to the construction of the transport engineering infrastructure,” he said.

“We are interested in new investors. Today there are two free land lots for the construction of hotels and casinos, [and] work is underway to expand the possibilities of the non-gaming entertainment segment – the resort concept includes not only a gaming zone but also provides entertainment for family and youth recreation, such as an amusement park or water park,” he added.

NagaCorp Chairman Tim McNally said that five floors have already been erected at Naga Vladivostok. The operator of NagaWorld in Cambodia agreed to invest about $350 million in 2013 to develop a resort in the zone. It has now established local offices and moved some key personnel to oversee progress.

Investors are in the active stage of construction – the first floors of new buildings have already been erected.

It says the property is sited on an area with dual frontage and “majestic views to the sea and an inland lake flanked by two hills.”

Also opening next year will be Diamond Fortune Prim’s Imperial hotel and entertainment complex. It will house a casino, hotel, nightclub, restaurants, shops and a SPA center with a 25-meter pool. The company received investment earlier this year from Japanese company, Simple Create.

Summit Ascent Executive Director Eric Landheer spoke about the group’s plans for the second phase of expansion for Tigre de Cristal, which involves significant additional room capacity and new facilities.

“We believe that within four years the gambling zone in Primorye will already be transformed into a full-fledged resort due to the opening of new complexes, including our company’s plans to implement the“ Tigre de Cristal Phase 2,” he said.

“Additionally, our plans include the creation of eight guest villas and 22 buildings for residential apartments. We plan to increase the number of rooms to at least 350, which is three times the number of rooms in the current Tigre de Cristal.”

The project provides 25 gaming tables for mass players and about 300 slot machines, as well as 50 gaming tables for VIP guests,” said Landheer.

Some adjustments will be made to the previously conceived “Tigre de Cristal Phase 2” after the acquisition of a stake by Macau’s Suncity Group.

The approximate opening date of the new complex “Tigre de Cristal Phase 2” is scheduled for 2021.

Meanwhile, authorities in Russia’s northernmost region of Kaliningrad have given the approval to hold land auctions for about 80 hectares of the Yantarnaya gambling zone, which was previously transferred to a single investor, local media reports.

According to a speech by regional deputy Alexander Nikulin to the local parliament, the authorities are currently clearing 80 hectares of land to be leased out and intend to leave the existing investor with only 10 hectares.

“There are people who are ready to come to these sites, but, unfortunately, the land lot was completely at the disposal of one participant, and, accordingly, this limited the ability of other participants to get there and build casinos… There are about 90 hectares of the zone. Out of this territory, we have about 10 hectares left in use by the participant who won and built the facilities, and about 80 hectares will be cleared so they can be used,” Nikulin said.

Suncity’s Alvin Chau named as Summit Ascent exec. director

Suncity Chairman Alvin Chau Cheok Wa was appointed as non-executive director and chairman of Summit Ascent Holdings Limited, with effect from June 1, 2019.

The appointment follows Suncity’s acquisition of a further 24.68 percent stake in Summit Ascent in late April, bringing its total interest in the operator of the Tigre de Cristal to almost 28 percent.

Commenting on its reasons for the acquisition, Suncity said the group wants to build an integrated tourism-related platform through equity investments as well as provide tourism-related services to the resorts.

Magic Crystal gets green light for expansion

Slot machine parlor Magic Crystal, located in Russia’s westernmost Kaliningrad Region, has been granted approval to expand its venue by 1,100 square meters, local media reports.

The venue was originally opened by Neverland in April 2016 and was soon followed by the Sobranie casino run by another investor

.According to the construction permit issued by the authorities, Neverland is expected to complete expansion works by 23 February 2020. The allocated land lot for a three-storey building is situated in close proximity to the Baltic Sea.

Magic Crystal reportedly has about 150 slot machines while Sobranie has 350 slot machines and 14 gambling tables.