The Wynn Al Marjan, an integrated gaming resort under development in Ras Al Khaimah, is nearing completion on its fifteenth floor thanks to quick construction.
“Construction is rapidly progressing on the project, with work now approaching the 15th floor of the hotel. The building now stands just over 90 meters,” said Craig Billings, CEO of Wynn Resorts, during an investor and analyst call on Tuesday.
When it’s finished, it will be Ras Al Khaimah’s tallest structure. When the hotel opens in 2027, it will have 1,542 rooms and suites, including 22 exclusive Villa Estates that are located on the marina next to the resort.
The company building the Wynn Al Marjan Island resort in Ras Al Khaimah was granted a commercial gaming facility operator license by the General Commercial Gaming Regulatory Authority (GCGRA) of the United Arab Emirates, according to a statement made by Wynn Resorts last week.
Billings expressed their happiness at the license’s issuance and the public announcement made by the General Commercial Gaming Regulatory Authority (GCGRA), the federal regulator of gaming in the United Arab Emirates.
“The GCGRA members are very experienced and its establishment creates incremental clarity for investors and financing sources.”
Long-term benefit
Wynn Resorts, the company’s 40% owner, has so far invested $514.4 million (Dh1.88 billion) in the project.
Wynn Al Marjan is a joint venture between RAK Hospitality Holding and Marjan, two affiliates of Wynn Resorts.
During the second quarter, Wynn Resorts contributed $357 million of equity to its UAE joint venture. This transaction included the purchase of our 40 per cent pro rata share of all 155 acres of Island three where Al Marjan sits. “As a result, our joint venture now owns not only the land under Wynn Al Marjan but also 70 plus acres of land for potential future development on the island,” said Billings.
“We have banked land before in the US, Macau. We are confident that acquiring this sizable Al Marjan land bank will prove valuable over the long term. The UAE is the most exciting new market for our industry in decades, and our confidence in the demand and EBITDA potential of Al Marjan continues to grow… I remain incredibly bullish about the future of our company. We have the best assets in the world’s premier gaming markets. We also have an exciting high ROI development project in the UAE well underway – a development opportunity that is unique in our industry,” he said during the analyst call.
Top customer markets
In response to a question concerning the Al Marjan hotel’s primary source markets, Wynn Resorts CEO Billings stated that the UAE’s closeness to Asia and India is a benefit for the establishment.
He continued by saying that the UAE has a sizable expat community, which is advantageous for the casino.
“We have 10 million people in UAE and 9 million are non-Emiratis. That is a pretty favourable number. We have a very robust market plan. We will be ready when the doors are open. Europe is an important market too for Wynn Al Marjan, but don’t forget India also, which is a huge market in this part of the world. A lot of folks and wealthy in the UAE are from India,” he added.
According to Billings, the Al Marjan island asset will undoubtedly yield the highest relative return in terms of returns.